Delaware VIP Trust 485(b) as filed April 14, 2006

485BPOS 1 devip485b41406.htm Delaware VIP Trust 485(b) as filed April 14, 2006

SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

FORM N-1A

File No. 033-14363
File No. 811-05162

REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933 /X/

Pre-Effective Amendment No. / /

Post-Effective Amendment No. 45 /X/

and/or

REGISTRATION STATEMENT UNDER THE INVESTMENT COMPANY ACT OF 1940 /X/

Amendment No. 45
(Check appropriate box or boxes)

DELAWARE VIP TRUST
--------------------------------------------------------------------------------
(Exact Name of Registrant as Specified in Charter)

2005 Market Street, Philadelphia, Pennsylvania 19103-7094
--------------------------------------------------------------------------------
(Address of Principal Executive Offices) (Zip Code)

Registrant's Telephone Number, including Area Code: (800) 523-1918

David F. Connor, Esq., 2005 Market Street, Philadelphia, PA 19103-7094
--------------------------------------------------------------------------------
(Name and Address of Agent for Service)

Approximate Date of Public Offering: April 30, 2006

It is proposed that this filing will become effective:

/ / immediately upon filing pursuant to paragraph (b)

/X/ on April 30, 2006 pursuant to paragraph (b)

/ / 60 days after filing pursuant to paragraph (a) (1)

/ / on (date) pursuant to paragraph (a)(1)

/ / 75 days after filing pursuant to paragraph (a) (2)

/ / on (date) pursuant to paragraph (a)(2) of Rule 485

If appropriate:

/X/ This post-effective amendment designates a new effective date for a
previously filed post-effective amendment

--- C O N T E N T S ---

This Post-Effective Amendment No. 45 to Registration File No. 033-14363 includes
the following:

1. Facing Page

2. Contents Page

3. Part A - Prospectuses

4. Part B - Statement of Additional Information

5. Part C - Other Information

6. Signatures

7. Exhibits

DELAWARE VIP TRUST
Delaware VIP Balanced Series

Standard Class

2005 Market Street, Philadelphia, PA 19103-7094

Prospectus

April 30, 2006

This Prospectus offers the Delaware VIP Balanced Series. The Series is in effect
a separate fund issuing its own shares. The shares of the Series are sold only
to separate accounts of life insurance companies (life companies). The separate
accounts are used in conjunction with variable annuity contracts and variable
life insurance policies (variable contracts). The separate accounts invest in
shares of the Series in accordance with allocation instructions received from
contract owners. The investment objective and principal policies of the Series
are described in this Prospectus.

The U.S. Securities and Exchange Commission has not approved or disapproved
these securities or passed upon the accuracy of this Prospectus. Any
representation to the contrary is a criminal offense.

Table of contents
Overview page 3
Delaware VIP Balanced Series 3

How we manage the Series page 6
Our investment strategies 6
The securities we typically invest in 7
The risks of investing in the Series 11
Disclosure of portfolio holdings information 12
Investment manager 13
Portfolio managers 13
Who's who? 15

Important information about the Series page 16
Share classes 16
Salesperson and life company compensation 16
Purchase and redemption of shares 16
Valuation of shares 16
Fair valuation 17
Frequent trading of Series shares 17
Dividends, distributions and taxes 18
Certain management considerations 19

Financial highlights page 20

Overview: Delaware VIP Balanced Series

What is the Series' goal?
Delaware VIP Balanced Series seeks a balance of capital appreciation, income and
preservation of capital. Although the Series will strive to achieve its goal,
there is no assurance that it will.

What are the Series' main investment strategies?
Under normal circumstances, the Series will invest at least 25% of its net
assets in equity securities and at least 25% of its net assets in fixed-income
securities, including high-yield fixed-income securities (commonly known as
"junk bonds"). We invest in common stocks of established companies we believe
have the potential for long-term capital appreciation. In addition, we invest in
various types of fixed-income securities including U.S. government securities
and corporate bonds. Funds with this mix of stocks and bonds are commonly known
as balanced funds. The portfolio may have portfolio turnover in excess of 100%.

An investment in the Series is not a deposit of any bank and is not insured or
guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
government agency.

Who should invest in the Series
o Investors with long-term financial goals.
o Investors looking for stocks and bonds combined in a single investment.
o Investors seeking a measure of capital preservation.

Who should not invest in the Series

o Investors with short-term financial goals.
o Investors who are unwilling to own an investment whose value may fluctuate,
sometimes significantly, over the short term.

How has the Series performed?

This bar chart and table can help you evaluate the risks of investing in the
Delaware VIP Balanced Series Standard Class. We show how the annual returns for
the Series have varied over the past ten calendar years as well as the average
annual returns for the one-year, five-year and ten-year periods. The Series'
past performance is not necessarily an indication of how it will perform in the
future. The returns reflect applicable expense caps. The returns would be lower
without the expense cap. Please see footnote 1 on page 4 for additional
information about the expense cap. Moreover, the performance presented does not
reflect any separate account fees, which would reduce the returns.

[GRAPHIC OMITTED: BAR CHART SHOWING YEAR BY YEAR TOTAL RETURN (Delaware VIP
Balanced Series Standard Class)

Year-by-year total return (Delaware VIP Balanced Series Standard Class)

------- ------- ------- ------- -------- ------- -------- ------- ------ ------
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005
------- ------- ------- ------- -------- ------- -------- ------- ------ ------
15.91% 26.40% 18.62% -7.85% -3.12% -7.66% -16.27% 19.21% 5.84% 3.68%
------- ------- ------- ------- -------- ------- -------- ------- ------ ------

During the periods illustrated in this bar chart, the Class' highest quarterly
return was 15.89% for the quarter ended December 31, 1998 and its lowest
quarterly return was -16.97% for the quarter ended September 30, 2001.

Average annual returns for periods ending 12/31/05

--------- ----------------- -------------------------- -------------------------------
S&P 500
Index Lehman Brothers Aggregate
Delaware VIP (reflects no deduction Bond Index (reflects no
Balanced Series for fees, expenses or deduction for fees, expenses
Standard Class taxes) or taxes)
--------- ----------------- -------------------------- -------------------------------
1 year 3.68% 4.91% 2.43%
--------- ----------------- -------------------------- -------------------------------
5 years 0.23% 0.54% 5.87%
--------- ----------------- -------------------------- -------------------------------
10 years 4.61% 9.07% 6.16%
--------- ----------------- -------------------------- -------------------------------

The Series' returns above are compared to the performance of the S&P 500 Index
and the Lehman Brothers Aggregate Bond Index. The S&P 500 Index is an unmanaged
index of 500 widely held common stocks that is often used to represent
performance of the U.S. stock market. The Lehman Brothers Aggregate Bond Index
measures the performance of approximately 5,500 publicly traded bonds including
U.S. government, mortgage-backed, corporate and Yankee bonds. Neither index is a
perfect comparison to the Delaware VIP Balanced Series because the S&P 500 Index
does not include fixed-income securities and the Lehman Brothers Aggregate Bond
Index does not include stocks. You should remember that unlike the Series, the
indexes are unmanaged and do not reflect the actual costs of operating a mutual
fund, such as the costs of buying, selling and holding securities.

What are the Series' fees and expenses?

These tables describe the fees and expenses that you may pay if you buy and hold
shares of the Series. These tables and example do not include any fees or sales
charges imposed by your variable insurance contract for which the Series is an
investment option. If they were included your cost would be higher. Investors
should consult the contract prospectus or disclosure document for more
information.

------------------------------- ---------------------------------------------- ---------
You do not pay sales charges Maximum sales charge (load) imposed on
directly from your purchases as a percentage of offering price none
investments when you buy or ---------------------------------------------- ---------
sell shares of the Standard Maximum contingent deferred sales charge none
Class. (load) as a percentage of original purchase
price or redemption price, whichever is lower
------------------------------- ---------------------------------------------- ---------
Maximum sales charge (load) imposed on
reinvested dividends None
------------------------------- ---------------------------------------------- ---------
Redemption fees None
------------------------------- ---------------------------------------------- ---------
Exchange fees None
------------------------------- ---------------------------------------------- ---------

------------------------------- ---------------------------------------------- ---------
Annual Series operating Management fees 0.65%
expenses are deducted from ---------------------------------------------- ---------
the Series' assets. Distribution and service (12b-1) fees none
------------------------------- ---------------------------------------------- ---------
Other expenses 0.20%
------------------------------- ---------------------------------------------- ---------
Total annual fund operating expenses 0.85%
------------------------------- ---------------------------------------------- ---------
Fee waivers and payments(1) (0.05)%
------------------------------- ---------------------------------------------- ---------
Net expenses 0.80%
------------------------------- ---------------------------------------------- ---------

---------------------------------------------------------------- ------------- -----------
This example is intended to help you compare the cost of 1 year $82
investing in the Series to the cost of investing in other
mutual funds with similar investment objectives. We show the
cumulative amount of Series expenses on a hypothetical
investment of $10,000 with an annual 5% return over the time
shown.(2) This example reflects the net operating expenses
with expense waivers for the one-year period and the total
operating expenses without expense waivers for years two
through ten. Although your actual costs may be higher or
lower, based on these assumptions your costs would be those
shown here.
---------------------------------------------------------------- ------------- -----------
3 years $266
---------------------------------------------------------------- ------------- -----------
5 years $466
---------------------------------------------------------------- ------------- -----------
10 years $1,044
---------------------------------------------------------------- ------------- -----------

(1) The investment manager has contracted to waive fees and pay expenses
through April 30, 2007 in order to prevent total operating expenses
(excluding any 12b-1 fees, taxes, interest, brokerage fees, extraordinary
expenses and certain insurance costs) from exceeding 0.80% of average daily
net assets.

(2) The Series' actual rate of return may be greater or less than the
hypothetical 5% return we use here.

How we manage the Series

Our investment strategies
We seek capital appreciation by investing at least 25% of the Series' net assets
in equity securities of primarily large-capitalization companies that we believe
have long-term capital appreciation potential. We will typically follow a
value-oriented investment philosophy in selecting stocks for the Series using a
research-intensive approach that considers factors such as:

o Security prices that reflect a market valuation that is judged to be below
the estimated present or future value of the company;
o Favorable earnings growth prospects;
o Expected above-average return on equity and dividend yield;
o The financial condition of the issuer; and
o Various qualitative factors.

While our investment philosophy will typically be value-oriented, we also may
invest in issues with growth characteristics during market cycles when growth
stocks appear attractive.

To seek current income and help preserve capital, we generally invest at least
25% of the Series' net assets in various types of fixed-income securities,
including U.S. government and government agency securities, corporate bonds and
high-yield securities. Each bond in the portfolio will typically have a maturity
between one and 30 years, and the average maturity of the portfolio will
typically be between one and 10 years.

We conduct ongoing analysis of the different markets to determine the
appropriate mix of stocks and bonds for the current economic and investment
environment.

The Series' investment objective is non-fundamental. This means that the Board
of Trustees may change the objective without obtaining shareholder approval. If
the objective were changed, we would notify shareholders before the change in
the objective became effective.

The securities we typically invest in
Stocks offer investors the potential for capital appreciation, and may pay
dividends as well. Fixed-income securities offer the potential for greater
income payments than stocks and also may provide capital appreciation.

---------------------------------------- ----------------------------------
Securities How we use them
---------------------------------------- ----------------------------------
Common stocks: Securities that Generally, we invest up to 75%
represent shares of ownership in a of net assets in common stocks.
corporation. Stockholders participate
in the corporation's profits and
losses, proportionate to the number of
shares they own.
---------------------------------------- ----------------------------------
Convertible securities: Usually The Series may invest in
preferred stocks or corporate bonds convertible securities;
that can be exchanged for a set number however, we will not invest
of shares of common stock at a more than 10% of the net
predetermined price. These securities assets of the Series in
offer higher appreciation potential convertible securities that
than nonconvertible bonds and greater are rated below investment
income potential than nonconvertible grade by a nationally
preferred stocks. recognized statistical ratings
organization (NRSRO) or in
securities that are unrated
but deemed equivalent to
non-investment grade.
---------------------------------------- ----------------------------------
Mortgage-backed securities: There is no limit on
Fixed-income securities that represent government-related
pools of mortgages, with investors mortgage-backed securities or on
receiving principal and interest privately issued mortgage-backed
payments as the underlying mortgage securities that are fully
loans are paid back. Many are issued collateralized by government
and guaranteed against default by the securities.
U.S. government or its agencies or
instrumentalities, such as the Federal We may invest up to 20% of net
Home Loan Mortgage Corporation, Fannie assets in mortgage-backed
Mae and the Government National securities issued by private
Mortgage Association. Others are companies if the securities are
issued by private financial not collateralized by the U.S.
institutions, with some fully government, or its agencies or
collateralized by certificates issued instrumentalities. However,
or guaranteed by the U.S. government these securities must be rated
or its agencies or instrumentalities. at the time of purchase in one
of the four highest categories
by an NRSRO such as S&P or
Moody's. They must also
represent interests in
whole-loan mortgages,
multi-family mortgages,
commercial mortgages and other
mortgage collateral supported by
a first mortgage lien on real
estate. The privately issued
securities we invest in are
either CMOs or REMICs (see
below).
---------------------------------------- ----------------------------------
Collateralized mortgage obligations See mortgage-backed securities
(CMOs): Privately issued above.
mortgage-backed bonds whose underlying
value is the mortgages that are
grouped into different pools according
to their maturity. They are issued by
U.S. government agencies and private
issuers.
---------------------------------------- ----------------------------------
Real estate mortgage investment See mortgage-backed securities
conduits (REMICs): Privately issued above.
mortgage-backed bonds whose underlying
value is a fixed pool of mortgages
secured by an interest in real
property. Like CMOs, REMICs offer
different pools.
---------------------------------------- ----------------------------------
Asset-backed securities: Bonds or We invest only in asset-backed
notes backed by accounts receivables securities rated in one of the
including home equity, automobile or four highest categories by an
credit loans. NRSRO.
---------------------------------------- ----------------------------------
Corporate bonds: Debt obligations We focus on bonds rated in one
issued by a corporation. of the four highest categories
by an NRSRO (or, if unrated,
deemed equivalent), with
maturities typically between one
and 30 years.

---------------------------------------- ----------------------------------
Securities How we use them
---------------------------------------- ----------------------------------
High-yield corporate bonds: Debt The Series may invest in
obligations issued by a corporation high-yield corporate bonds.
and rated lower than investment grade Emphasis is typically on those
by a nationally recognized statistical rated BB or Ba by an NRSRO.
ratings organization (NRSRO) such as
S&P or Moody's. High-yield bonds, also We carefully evaluate an
known as "junk bonds," are issued by individual company's financial
corporations that have lower credit situation, its management, the
quality and may have difficulty prospects for its industry and
repaying principal and interest. the technical factors related to
its bond offering. Our goal is
to identify those companies that
we believe will be able to repay
their debt obligations in spite
of poor ratings. The Series may
invest in unrated bonds if we
believe their credit quality is
comparable to the rated bonds we
are permitted to invest in.
Unrated bonds may be more
speculative in nature than rated
bonds.
---------------------------------------- ----------------------------------
Repurchase agreements: An agreement Typically, we use repurchase
between a buyer, such as the Series, agreements as a short-term
and a seller of securities in which investment for the Series' cash
the seller agrees to buy the position. In order to enter into
securities back within a specified these repurchase agreements, the
time at the same price the buyer paid Series must have collateral of
for them, plus an amount equal to an 102% of the repurchase price.
agreed upon interest rate. Repurchase The Series will only enter into
agreements are often viewed as repurchase agreements in which
equivalent to cash. the collateral is U.S.
government securities.
---------------------------------------- ----------------------------------
American Depositary Receipts (ADRs): We may invest without limitation
Certificates issued by a U.S. bank in ADRs.
that represent the bank's holding of a
stated number of shares of a foreign
corporation. An ADR entitles the
holder to all dividends and capital
gains earned by the underlying foreign
shares. ADRs are bought and sold the
same as other U.S. securities.
---------------------------------------- ----------------------------------

---------------------------------------- ----------------------------------
Securities How we use them
---------------------------------------- ----------------------------------
Restricted and illiquid securities: We may invest up to 10% of net
Restricted securities are privately assets in illiquid securities.
placed securities whose resale is For this Series, the 10% limit
restricted under securities law. includes restricted securities
such as privately placed
Illiquid securities are securities securities that are eligible for
that do not have a ready market, and resale only among certain
cannot be easily sold within seven institutional buyers without
days at approximately the price that registration, which are commonly
the Series has valued them. known as Rule 144A Securities,
and repurchase agreements with
maturities of over seven days.
---------------------------------------- ----------------------------------

The Series may also invest in other securities including real estate investment
trusts, options, U.S. Treasury securities and foreign securities. Please see the
Statement of Additional Information (SAI) for additional descriptions of these
securities as well as those listed in the table above.

Lending securities The Series may lend up to 25% of its assets to qualified
brokers, dealers and institutional investors for their use in security
transactions. These transactions, if any, may generate additional income for the
Series.

Purchasing securities on a when-issued or delayed delivery basis Consistent with
its investment objective, the Series may invest in U.S. government securities
and corporate debt obligations on a when-issued or delayed delivery basis; that
is, paying for securities before delivery or taking delivery at a later date.
These transactions involve commitments to buy a new issue with settlement up to
60 days later. During the time between the commitment and settlement, the Series
does not accrue interest, but the market value of the bonds may fluctuate. This
can result in the Series' share value increasing or decreasing. The Series will
designate cash or securities in amounts sufficient to cover its obligations, and
will value the designated assets daily.

Borrowing from banks The Series may borrow money as a temporary measure for
extraordinary purposes or to facilitate redemptions. The Series will be required
to pay interest to the lending banks on the amount borrowed. As a result,
borrowing money could result in the Series being unable to meet its investment
objective. The Series will not borrow money in excess of one-third of the value
of its net assets.

Temporary defensive positions For temporary defensive purposes, the Series may
hold a substantial portion of its assets in cash or cash equivalents. To the
extent it holds cash or cash equivalents, the Series may be unable to achieve
its investment objective.

Portfolio turnover We anticipate that the Series' annual portfolio turnover will
exceed 100%, and may be considerably in excess of 100%. A turnover rate of 100%
would occur if, for example, the Series bought and sold all of the securities in
its portfolio once in the course of a year or frequently traded a single
security. High turnover can result in increased transaction costs for investors
and may affect the Series' performance.

The risks of investing in the Series
Investing in any mutual fund involves risk, including the risk that you may
receive little or no return on your investment, and the risk that you may lose
part or all of the money you invest. Before you invest in the Series, you should
carefully evaluate the risks. An investment in the Series typically provides the
best results when held for a number of years. The table below describes the
principal risks you assume when investing in the Delaware VIP Balanced Series.
Please see the SAI for further discussion of these risks and other risks not
discussed here.

---------------------------------------- ----------------------------------
Risks How we strive to manage them
Delaware VIP Balanced Series
---------------------------------------- ----------------------------------
Market risk is the risk that all or a We maintain a long-term
majority of the securities in a investment approach and focus on
certain market--like the stock or bond stocks we believe can appreciate
market--will decline in value because over an extended time frame
of factors such as economic regardless of interim market
conditions, future expectations or fluctuations. We do not try to
investor confidence. predict overall stock market
movements and generally do not
trade for short-term purposes.

We diversify the Series' assets
among two major categories of
investments--stocks and
bonds--which tend to increase and
decline in value in different
economic or investment
conditions.

In evaluating the use of an
index swap, we carefully
consider how market changes
could affect the swap and how
that compares to us investing
directly in the market the swap
is intended to represent.
---------------------------------------- ----------------------------------
Industry and security risk: Industry We limit the amount of the
risk is the risk that the value of Series' assets invested in any
securities in a particular industry one industry and in any
will decline because of changing individual security. We also
expectations for the performance of follow a rigorous selection
that industry. process before choosing
securities for the portfolio.
Security risk is the risk that the
value of an individual stock or bond
will decline because of changing
expectations for the performance of
the individual company issuing the
security.
---------------------------------------- ----------------------------------
Interest rate risk is the risk that We do not try to increase return
securities, particularly bonds with by predicting and aggressively
longer maturities, will decrease in capitalizing on interest rate
value if interest rates rise. moves. Instead, we aim to keep
the interest rate risk similar
Swaps may be particularly sensitive to to the Lehman Brothers Aggregate
interest rate changes. Depending on Bond Index.
the actual movements of interest rates
and how well the portfolio manager We will not invest in swaps with
anticipates them, a series could maturities of more than two
experience a higher or lower return years. Each business day we
than anticipated. calculate the amount the Series
must pay for swaps it holds and
will segregate cash or other
liquid securities to cover that
amount.
---------------------------------------- ----------------------------------
Credit risk is the risk that a bond's Our careful, credit-oriented
issuer will be unable to make timely bond selection and our
payments of interest and principal. commitment to hold a diversified
selection of high-yield bonds
Investing in so-called "junk" or are designed to manage this
"high-yield" bonds entails greater risk. We will limit the Series'
risk of principal loss than the risk investments in high-yield bonds
involved in investment grade bonds. to 20% of the Series' net assets
High-yield bonds are sometimes issued allocated to fixed-income
by companies whose earnings at the securities (typically no more
time of issuance are less than the than 8% of the Series' total net
projected debt service on the junk assets).
bonds.
---------------------------------------- ----------------------------------

---------------------------------------- -------------------------------------
Risks How we strive to manage them
Delaware VIP Balanced Series
---------------------------------------- -------------------------------------
Foreign risk is the risk that foreign We typically invest only a small
securities may be adversely affected portion of the Series' portfolio in
by political instability (including foreign securities. When we do
governmental seizures or purchase foreign securities, they
nationalization of assets), changes in are often denominated in U.S.
currency exchange rates, foreign dollars. We also tend to avoid
economic conditions or lax regulatory markets where we believe accounting
and accounting standards. Foreign principles or the regulatory
markets may also be less efficient, structure are underdeveloped.
less liquid, have greater price
volatility, less regulation and higher
transaction costs than U.S. markets.

Derivatives Risk is the possibility We will use derivatives for
that the Series may experience a defensive purposes, such as to
significant loss if it employs a protect gains or hedge against
derivatives strategy (including a potential losses in the portfolio
strategy involving credit default without actually selling a
swaps) related to a security or a security, to neutralize the impact
securities index and that security or of interest rate changes, to affect
index moves in the opposite direction diversification or to earn
from what the portfolio manager had additional income.
anticipated. Another risk of
derivative transactions is the
creditworthiness of the counterparty
because the transaction depends on the
willingness and ability of the
counterparty to fulfill its
contractual obligations. Derivatives
also involve additional expenses,
which could reduce any benefit or
increase any loss to a series from
using the strategy.
---------------------------------------- -------------------------------------

Disclosure of portfolio holdings information
A description of the Series' policies and procedures with respect to the
disclosure of the Series' portfolio securities is available in the Series' SAI.

Investment manager
The Series is managed by Delaware Management Company, a series of Delaware
Management Business Trust, which is an indirect wholly owned subsidiary of
Delaware Management Holdings, Inc. Delaware Management Company makes investment
decisions for the Series, manages the Series' business affairs and provides
daily administrative services. For these services, the manager was paid 0.60% of
average daily net assets during the last fiscal year.

A discussion of the basis for the Board of Trustee's approval of the Series'
investment advisory contract is available in the Series' semiannual report to
shareholders for the period ended June 30, 2005.

Portfolio managers
The portfolio of the Balanced Series is divided into approximately a 60% equity
and 40% fixed income component. The portfolio managers of both the equity and
fixed income components of the portfolio management team are responsible for
determining the asset allocation of each component of the portfolio.

D. Tysen Nutt, Jr., Jordan L. Irving, Anthony A. Lombardi and Robert A Vogel,
Jr. comprise the portfolio management team that is responsible for making the
day-to-day investment decisions for the equity portion of the Series. Each
portfolio manager has an equal role in making investment recommendations for the
equity portion of the Series. Messrs. Nutt, Irving, Lombardi and Vogel have been
members of the Series' portfolio management team since February 21, 2005.

Paul Grillo, Stephen R. Cianci and Timothy L. Rabe comprise the portfolio
management team that is responsible for making the day-to-day investment
decisions for the fixed-income portion of the Series. Each portfolio manager has
an equal role in making investment recommendations for the fixed income portion
of the Series. Messrs. Grillo and Cianci have been co-managing the fixed-income
portion of the Series since April 25, 2000. Mr. Rabe assumed responsibility for
the Series on February 21, 2005.

D. Tysen Nutt, Jr., Senior Vice President/Senior Portfolio Manager, joined
Delaware Investments in 2004. Prior to that, Mr. Nutt graduated from Dartmouth
College with a BA. Mr. Nutt began his investment career in 1983 at Dean Witter
Reynolds where he advanced to Vice President, Investments. In 1988, he joined
investment advisor Van Deventer & Hoch (V&H), where he managed value portfolios
for institutions and private clients. As a Senior Vice President at V&H, he was
a member of the firm's Management Committee. Mr. Nutt moved to the U.S. Active
Value Team within Merrill Lynch Investment Managers (MLIM) where he managed
mutual funds and separate accounts for institutions and private clients; he
departed MLIM as a Managing Director. In 2004, Mr. Nutt joined Delaware
Investments as a Senior Vice President/Senior Portfolio Manager. He is a member
of the New York Society of Security Analysts and the CFA Institute.

Jordan L. Irving, Vice President/Senior Portfolio Manager, joined Delaware
Investments in 2004. Prior to that, Mr. Irving graduated from Yale University
with a BA in American Studies and earned a Special Diploma in Social Studies at
Oxford University the following year. In 1998, he joined U.S. Active Value Team
within Merrill Lynch Investment Managers (MLIM) and became a Portfolio Manager
in 2000. He managed mutual funds and separate accounts for institutions and
private clients, he departed MLIM as a Vice President. In 2004, Mr. Irving
joined Delaware Investments as Vice President/Senior Portfolio Manager. While
working for MLIM, Mr. Irving competed for The United States National Rowing
Team, winning a gold medal at the 1997 World Rowing Championships in
Aiguebelette, France.

Anthony A. Lombardi, Vice President/Senior Portfolio Manager, joined Delaware
Investments in 2004. Prior to that, Mr. Lombardi graduated from Hofstra
University with a BBA and MBA in Finance. Mr. Lombardi started his financial
services career as an Investment Analyst with Crossland Savings, FSB, Brooklyn,
NY in 1989. He joined at Dean Witter Reynolds, Inc. as a Research Assistant in
1990 and rose to the position of Vice President, Research Analyst. In 1998, he
joined the U.S. Active Value Team within Merrill Lynch Investment Managers
(MLIM) and became a Portfolio Manager in 2000; he departed MLIM as a Director.
In 2004, Mr. Lombardi joined Delaware Investments as a Vice President/Senior
Portfolio Manager. He is a Chartered Financial Analyst and a member of the New
York Society of Security Analysts and the CFA Institute.

Merrill Lynch Investment Managers (MLIM) and became a Portfolio Manager with the
U.S. Active Value Team in 1998. He managed mutual funds and separate accounts
for institutions and private clients; he departed MLIM as a Director. In 2004,
Mr. Vogel joined Delaware Investments as Vice President/Senior Portfolio
Manager. Mr. Vogel is a Chartered Financial Analyst and a member of the New York
Society of Security Analysts and the Association for Investment Management and
Research.

Paul Grillo, Senior Vice President/Senior Portfolio Manager, holds a BA in
business management from North Carolina State University and an MBA in finance
from Pace University. Prior to joining Delaware Investments in 1993, Mr. Grillo
served as mortgage strategist and trader at the Dreyfus Corporation. He also
served as mortgage strategist and portfolio manager for the Chemical Investment
Group and as financial analyst at Chemical Bank. Mr. Grillo is a CFA
charterholder.

Stephen R. Cianci, Senior Vice President/Senior Portfolio Manager, holds a BS
and an MBA in finance from Widener University. He joined Delaware Investments in
1992 and assumed responsibility for maintaining the Fixed-Income Department's
investment grade analytical systems. These responsibilities included portfolio
analysis and the analysis of mortgage-backed and asset-backed securities. Mr.
Cianci is an Adjunct Professor of finance at Widener University and a CFA
charterholder.

Timothy L. Rabe, Senior Vice President/Senior Portfolio Manager, received a
bachelor's degree in finance from the University of Illinois. Prior to joining
Delaware Investments in 2000, Mr. Rabe was a high-yield portfolio manager for
Conseco Capital Management. Before that, he worked as a tax analyst for The
Northern Trust Company. He is a CFA charterholder.

The SAI for the Series provides additional information about each portfolio
manager's compensation, other accounts managed by each portfolio manager and
each portfolio manager's ownership of securities in the Series.

Who's who?

The following describes the various organizations involved in managing,
administering, and servicing the Series.

Board of Trustees
A mutual fund is governed by a board of trustees which has oversight
responsibility for the management of the fund's business affairs. Trustees
establish procedures and oversee and review the performance of the investment
manager, the distributor and others that perform services for the series.
Generally, at least 40% of the board of trustees must be independent of the
fund's investment manager and distributor. However, the Series relies on certain
exemptive rules adopted by the Securities and Exchange Commission (SEC) that
require its Board of Trustees to be comprised of a majority of such independent
trustees. These independent fund Trustees, in particular, are advocates for
shareholder interests.

Investment manager
Delaware Management Company, 2005 Market Street, Philadelphia, PA 19103-7094

An investment manager is a company responsible for selecting portfolio
investments consistent with objectives and policies stated in the mutual fund's
prospectus. The investment manager places portfolio orders with broker/dealers
and is responsible for obtaining the best overall execution of those orders. A
written contract between a mutual fund and its investment manager specifies the
services the manager performs. Most management contracts provide for the manager
to receive an annual fee based on a percentage of the fund's average daily net
assets. The manager is subject to numerous legal restrictions, especially
regarding transactions between itself and the funds it advises.

On December 31, 2005, the Manager and its affiliates within Delaware Investments
were managing in the aggregate in excess of $121.6 billion in assets in various
institutional or separately managed, investment company and insurance accounts.

Portfolio managers
Portfolio managers are employed by the investment manager to make investment
decisions for individual portfolios on a day-to-day basis. See "Portfolio
managers" for information about the portfolio managers of the Series.

Distributor
Delaware Distributors, L.P., 2005 Market Street, Philadelphia, PA 19103-7094

Shares of the Series are only sold to separate accounts of insurance companies
used in connection with variable annuity or variable life products.

Financial intermediary wholesaler
Lincoln Financial Distributors, Inc. ("LFD"), 2001 Market Street, Philadelphia,
PA 19103-7055

Pursuant to a contractual arrangement with Delaware Distributors, L.P., LFD is
primarily responsible for promoting the sale of Series shares through insurance
company sponsors, brokers, dealers and other financial intermediaries.

Custodian
JPMorgan Chase Bank, 4 Chase Metrotech Center, Brooklyn, NY 11245

Mutual funds are legally required to protect their portfolio securities and most
funds place them with a custodian, typically a qualified bank custodian, who
segregates fund securities from other bank assets.

Important Information about the Series

Salesperson and life company compensation
Your variable contract salesperson who sells your variable contract which
invests in shares of the Series may be eligible to receive the following amounts
as compensation for your investment in the Series. These amounts are paid by the
Distributor to the life companies with whom your variable contract salesperson
is associated.

------------------------------------- ----------------------------
Standard Class*
------------------------------------- ----------------------------
Commission (%) -
------------------------------------- ----------------------------
Fee to Dealer 0.25%
(annual rate of average daily net
assets)
------------------------------------- ----------------------------

* Your variable contract salesperson may be eligible to receive a fee at an
annual rate of 0.25% of average daily net assets applicable to Standard Class
shares. The Distributor may make such payments out of its own resources to life
companies that have entered into service agreements with the Distributor.

The Distributor or an affiliate may also pay an amount up to 0.40% of the
Series' net assets out of the Distributor's or the affiliate's own resources to
the life companies that sponsor your contract. Your salesperson may receive some
or all of such payment.

Purchase and redemption of shares
Shares are sold only to separate accounts of life companies at net asset value
(see "Valuation of shares"). Redemptions will be effected by the separate
accounts at the net asset value next determined after receipt of the order to
meet obligations under the variable contracts. Contract owners do not deal
directly with the Series with respect to the acquisition or redemption of Series
shares.

Valuation of shares
The price you pay for shares will depend on when we receive your purchase order.
If we or an authorized agent receive your order before the close of regular
trading on the New York Stock Exchange (NYSE), which is normally 4:00 p.m.
Eastern Time, you will pay that day's closing share price, which is based on the
Series' net asset value (NAV). If your order is received after the close of
regular trading on the NYSE, you will pay the next business day's price. A
business day is any day that the NYSE is open for business (Business Day). We
reserve the right to reject any purchase order.

We determine the NAV per share for each class of the Series at the close of
regular trading on the NYSE on each Business Day. The NAV per share for each
class of the Series is calculated by subtracting the liabilities for each class
from its total net assets and dividing the resulting number by the number of
shares outstanding for that class. Foreign securities, currencies and other
assets denominated in foreign currencies are translated into U.S. dollars at the
exchange rate of these currencies against the U.S. dollar, as provided by an
independent pricing service. We generally price securities and other assets for
which market quotations are readily available at their market value. We price
fixed-income securities on the basis of valuations provided to us by an
independent pricing service that uses methods approved by the Board of Trustees.
We price any fixed-income securities that have a maturity of less than 60 days
at amortized cost, which approximates market value. For all other securities, we
use methods approved by the Board of Trustees that are designed to price
securities at their fair market value (see "Fair valuation", below).

Fair valuation
When the Series uses fair value pricing, it may take into account any factors it
deems appropriate. The Series may determine fair value based upon developments
related to a specific security, current valuations of foreign stock indices (as
reflected in U.S. futures markets) and/or U.S. sector or broader stock market
indices. The price of securities used by the Series to calculate its NAV may
differ from quoted or published prices for the same securities. Fair value
pricing may involve subjective judgments and it is possible that the fair value
determined for a security is materially different than the value that could be
realized upon the sale of that security.

The Series anticipates using fair value pricing for securities primarily traded
on U.S. exchanges only under very limited circumstances, such as the early
closing of the exchange on which a security is traded or suspension of trading
in the security. The Series may use fair value pricing more frequently for
securities primarily traded in non-U.S. markets because, among other things,
most foreign markets close well before the Series values its securities at 4:00
p.m. Eastern Time. The earlier close of these foreign markets gives rise to the
possibility that significant events, including broad market moves, may have
occurred in the interim. To account for this, the Series may frequently value
many foreign equity securities using fair value prices based on third party
vendor modeling tools to the extent available.

Subject to the Board's oversight, the Series' Board has delegated responsibility
for valuing the Series' assets to a Pricing Committee of the Manager, which
operates under the policies and procedures approved by the Board, as described
above.

Frequent trading of Series shares
The Series discourages purchases by market timers and purchase orders (including
the purchase side of exchange orders) by contract owners identified as market
timers may be rejected. The Series' Board of Trustees has adopted policies and
procedures designed to detect, deter and prevent trading activity detrimental to
the Series and its contract owners, such as market timing. The Series will
consider anyone who follows a pattern of market timing in any fund in the
Delaware Investments family or Optimum Fund Trust to be a market timer and may
consider anyone who has followed a similar pattern of market timing at an
unaffiliated fund family to be a market timer.

Market timing of a fund occurs when investors make consecutive, rapid,
short-term "roundtrips" - that is, purchases into a fund followed quickly by
redemptions out of that fund. A short-term roundtrip is any redemption of fund
shares within 20 business days of a purchase of that fund's shares. If you make
a second such short-term roundtrip in a fund within the same calendar quarter of
a previous short-term roundtrip in that fund, you may be considered a market
timer. In determining whether market timing has occurred, the Series will
consider short-term roundtrips to include rapid purchases and sales of Series
shares through the exchange privilege. The Series reserves the right to consider
other trading patterns to be market timing.

Your ability to use the Series' exchange privilege may be limited if you are
identified as a market timer. If you are identified as a market timer, we will
execute the redemption side of your exchange order but may refuse the purchase
side of your exchange order. The Series reserves the right to restrict or
reject, without prior notice, any purchase order or exchange order for any
reason, including any purchase order or exchange order accepted by any contract
owner's financial intermediary or in any omnibus-type account. Transactions
placed in violation of the Series' market timing policy are not necessarily
deemed accepted by the Series and may be rejected by the Series on the next
business day following receipt by the Series.

Redemptions will continue to be permitted in accordance with the Series' current
Prospectus. A redemption of shares under these circumstances could be costly to
a contract owner if, for example, the shares have declined in value or the sale
results in adverse tax consequences. To avoid this risk, a contract owner should
carefully monitor the purchases, sales and exchanges of Series shares and avoid
frequent trading in Series shares.

The Series reserves the right to modify this policy, at any time without notice,
including modifications to the Series' monitoring procedures and the procedures
to close accounts to new purchases. Although the implementation of this policy
involves judgments that are inherently subjective, we attempt to apply this
policy uniformly in all cases and we seek to make judgments and applications
that are consistent with the interests of the Series' contract owners. While we
will take actions designed to detect and prevent market timing, there can be no
assurance that such trading activity will be completely eliminated. Moreover,
the Series' market timing policy does not require the Series to take action in
response to frequent trading activity. If the Series elects not to take any
action in response to frequent trading, such frequent trading and market timing
activity could continue.

Risks of market timing By realizing profits through short-term trading, contract
owners that engage in rapid purchases and sales or exchanges of the Series'
shares dilute the value of shares held by long-term contract owners. Volatility
resulting from excessive purchases and sales or exchanges of Series shares,
especially involving large dollar amounts, may disrupt efficient portfolio
management. In particular, the Series may have difficulty implementing its
long-term investment strategies if it is forced to maintain a higher level of
its assets in cash to accommodate significant short-term trading activity.
Excessive purchases and sales or exchanges of the Series' shares may also force
the Series to sell portfolio securities at inopportune times to raise cash to
accommodate short-term trading activity. This could adversely affect the Series'
performance if, for example, the Series incurs increased brokerage costs and
realization of taxable capital gains without attaining any investment advantage.

A fund that invests significantly in foreign securities may be particularly
susceptible to short-term trading strategies. This is because foreign securities
are typically traded on markets that close well before the time the fund
calculates its NAV (typically, 4:00 p.m. Eastern Time). Developments that occur
between the closing of the foreign market and the Series' NAV calculation may
affect the value of these foreign securities. The time zone differences among
international stock markets can allow a contract owner engaging in a short-term
trading strategy to exploit differences in fund share prices that are based on
closing prices of foreign securities established some time before a fund
calculates its own share price.

Any fund that invests in securities that are thinly traded, traded infrequently,
or relatively illiquid has the risk that the securities prices used to calculate
the fund's NAV may not accurately reflect current market values. A contract
owner may seek to engage in short-term trading to take advantage of these
pricing differences. Funds that may be adversely affected by such arbitrage
include, in particular, funds that significantly invest in small cap securities,
technology and other specific industry sector securities, and in certain
fixed-income securities, such as high yield bonds, asset-backed securities, or
municipal bonds.

Transaction monitoring procedures The Series maintains surveillance procedures
designed to detect excessive or short-term trading in Series shares. This
monitoring process involves several factors, which include scrutinizing
transactions in Series shares for violations of the Series' market timing policy
or other patterns of short-term or excessive trading. For purposes of these
transaction monitoring procedures, the Series may consider trading activity by
multiple accounts under common ownership, control, or influence to be trading by
a single entity. Trading activity identified by these factors, or as a result of
any other available information, will be evaluated to determine whether such
activity might constitute market timing. These procedures may be modified from
time to time to improve the detection of excessive or short-term trading or to
address other concerns. Such changes may be necessary or appropriate, for
example, to deal with issues specific to certain retirement plans, plan exchange
limits, U.S. Department of Labor regulations, certain automated or
pre-established exchange, asset allocation or dollar cost averaging programs, or
omnibus account arrangements.

Shares of the Series are held through omnibus accounts of sponsors of variable
insurance products. The Series will attempt to apply its monitoring procedures
to these omnibus accounts and to the participants in such accounts. In an effort
to discourage market timers in such accounts the Series may consider enforcement
against market timers at the participant level and at the omnibus level, up to
and including termination of the omnibus account's authorization to purchase
Series shares.

Limitations on ability to detect and curtail market timing Contract owners
seeking to engage in market timing may employ a variety of strategies to avoid
detection and, despite the efforts of the Series and its agents to detect market
timing in Series shares, there is no guarantee that the Series will be able to
identify these contract owners or curtail their trading practices. In
particular, the Series may not be able to detect market timing in Series shares
attributable to a particular investor who effects purchase, redemption and/or
exchange activity in Series shares through omnibus accounts. The difficulty of
detecting market timing may be further compounded if these entities utilize
multiple tiers or omnibus accounts.

Dividends, distributions and taxes
The Series has elected, or intends to elect, to be treated as a regulated
investment company under Subchapter M of the Internal Revenue Code. As a
regulated investment company, the Series generally pays no federal income tax on
the income and gains it distributes to you. Dividends, if any, are paid
annually. Capital gain distributions, if any, normally will be made following
the close of the fiscal year. We automatically reinvest all dividends and any
capital gains.

The tax consequences for contract owners will depend on the provisions of the
variable contracts through which they are invested in shares of the Series.
Please refer to the prospectus for the variable contracts for more information.

This discussion of "Dividends, distributions and taxes" is not intended or
written to be used as tax advice. Additional information on tax matters is
included in the SAI.

Certain management considerations

Investments by fund of funds
The Series accepts investments from the Lincoln Profile Funds, a fund of funds.
From time to time, the Series may experience large investments or redemptions
due to allocations or rebalancings by the Lincoln Profile Funds. While it is
impossible to predict the overall impact of these transactions over time, there
could be adverse effects on portfolio management. For example, the Series may be
required to sell securities or invest cash at times when it would not otherwise
do so. These transactions could also increase transaction costs or portfolio
turnover.

Manager of managers structure
At a shareholder meeting held on March 23, 2005 (or as adjourned), the Series'
shareholders approved a "manager of managers" structure that would permit
Delaware Management Company, the Series' investment advisor, to appoint and
replace sub-advisors, enter into sub-advisory agreements, and amend and
terminate sub-advisory agreements with respect to the Series, subject to Board
approval but without shareholder approval (the "manager of managers structure").
While Delaware Management Company does not currently expect to use the manager
of managers structure with respect to the Series, including any Series that
currently has a sub-advisor, Delaware Management Company may, in the future,
recommend to the Series' Board the establishment of the manager of managers
structure by recommending the hiring of one or more sub-advisors to manage all
or a portion of the Series' portfolio if it believes that doing so would be
likely to enhance the Series' performance by introducing a different investment
style or focus.

The ability to implement the manager of managers structure with respect to the
Series is contingent upon the receipt of an exemptive order from the SEC or the
adoption of a rule by the SEC authorizing the implementation of the manager of
managers structure. The use of the manager of managers structure with respect to
the Series may be subject to certain conditions set forth in the SEC exemptive
order or rule. There can be no assurance that the SEC will grant the Series'
application for an exemptive order or adopt such a rule.

The manager of managers structure would enable the Series to operate with
greater efficiency and without incurring the expense and delays associated with
obtaining shareholder approval of sub-advisory agreements. The manager of
managers structure would not permit investment management fees paid by the
Series to be increased without shareholder approval or change Delaware
Management Company's responsibilities to the Series including Delaware
Management Company's responsibility for all advisory services furnished by a
sub-advisor.

Financial highlights

The financial highlights table is intended to help you understand the financial
performance of the Standard Class of the Series. The total returns in the table
represent the rate that an investor would have earned or lost on an investment
in the Series' Standard Class (assuming reinvestment of all dividends and
distributions). All "per share" information reflects financial results for a
single Series share. Separate account expenses are not reflected. If the fees at
the separate account level or contract level were included, total return would
be lower. This information has been audited by Ernst & Young LLP, whose report,
along with the Series' financial statements, is included in the Series' annual
report, which is available upon request by calling 800 523-1918.

Delaware VIP Balanced Series
2005 2004 2003 2002 2001

Net asset value, beginning of period $13.360 $12.890 $11.170 $13.730 $15.230

Income (loss) from investment operations:
Net investment income(1) 0.341 0.245 0.211 0.258 0.329
Net realized and unrealized gain (loss)
on investments and foreign currencies 0.135 0.493 1.872 (2.430) (1.494)
-------- ------- ------- -------- --------
Total from investment operations 0.476 0.738 2.083 (2.172) (1.165)
-------- ------- ------- -------- --------
Less dividends and distributions from:
Net investment income (0.306) (0.268) (0.363) (0.388) (0.335)
-------- ------- ------- -------- --------
Total dividends and distributions (0.306) (0.268) (0.363) (0.388) (0.335)
-------- ------- ------- -------- --------
Net asset value, end of period $13.530 $13.360 $12.890 $11.170 $13.730
======== ======= ======= ======== ========
Total return(2) 3.68% 5.84% 19.21% (16.27%) (7.66%)

Ratios and supplemental data:
Net assets, end of period (000 omitted) $38,227 $45,407 $53,233 $54,789 $90,377
Ratio of expenses to average net assets 0.80% 0.77% 0.77% 0.75% 0.73%
Ratio of expenses to average net assets
prior to expense limitation and
expenses paid indirectly 0.85% 0.77% 0.77% 0.76% 0.73%
Ratio of net investment income to average
net assets 2.57% 1.91% 1.80% 2.10% 2.37%
Ratio of net investment income to average
net assets prior to expense
limitation and expenses paid
indirectly 2.52% 1.91% 1.80% 2.09% 2.37%
Portfolio turnover 200% 247% 231% 303% 336%

(1) The average shares outstanding method has been applied for per share
information.

(2) Total investment return is based on the change in net asset value of a
share during the period and assumes reinvestment of dividends and
distributions at net asset value. Total investment return reflects a waiver
and payment of fees by the manager, as applicable. Performance would have
been lower had the expense limitation not been in effect.

Delaware VIP Balanced Series

Additional information about the Series' investments is available in the Series'
annual and semiannual reports to shareholders. In the Series' shareholder
reports you will find a discussion of the market conditions and investment
strategies that significantly affected the Series' performance during the period
covered by the report. You can find more detailed information about the Series
in the current Statement of Additional Information (SAI), which we have filed
electronically with the Securities and Exchange Commission (SEC) and which is
legally a part of this Prospectus (it is incorporated by reference). If you want
a free copy of the SAI, the annual or semiannual report, or if you have any
questions about investing in the Series, you can write to us at 2005 Market
Street, Philadelphia, PA 19103-7094, or call toll-free 800 523-1918.

The Trust does not have its own Web site, and Delaware does not make the Trust's
SAI or shareholder reports available on its Web site. The insurance company that
issued your contract may make the Trust's SAI and shareholder reports available
to contract owners on the insurance company's Web site. You can find reports and
other information about the Series on the EDGAR Database on the SEC Web site
(www.sec.gov). You can also get copies of this information, after payment of a
duplicating fee, by e-mailing the SEC at publicinfo@sec.gov or by writing to the
Public Reference Section of the SEC, Washington, D.C. 20549-0102. Information
about the Series, including its SAI, can be reviewed and copied at the SEC's
Public Reference Room in Washington, D.C. You can get information on the Public
Reference Room by calling the SEC at 202 551-8090.

Investment Company Act File No. 811-05162

Delaware Series Symbol CUSIP
Delaware VIP Balanced Series
(Standard Class) 246493209

DELAWARE VIP TRUST
Delaware VIP Balanced Series

Service Class

2005 Market Street, Philadelphia, PA 19103-7094

Prospectus

April 30, 2006

The U.S. Securities and Exchange Commission has not approved or disapproved
these securities or passed upon the accuracy of this Prospectus. Any
representation to the contrary is a criminal offense.

Table of contents
Overview page 3
Delaware VIP Balanced Series 3

How we manage the Series page 6
Our investment strategies 6
The securities we typically invest in 7
The risks of investing in the Series 10
Disclosure of portfolio holdings information 11
Investment manager 12
Portfolio managers 12
Who's who? 14

Important information about the Series page 15
Share classes 15
Salesperson and life company compensation 15
Purchase and redemption of shares 15
Valuation of shares 15
Fair valuation 16
Frequent trading of Series shares 16
Dividends, distributions and taxes 17
Certain management considerations 18

Financial highlights page 19

Overview: Delaware VIP Balanced Series

An investment in the Series is not a deposit of any bank and is not insured or
guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
government agency.

Who should invest in the Series

o Investors with long-term financial goals.
o Investors looking for stocks and bonds combined in a single investment.
o Investors seeking a measure of capital preservation.

Who should not invest in the Series

o Investors with short-term financial goals.
o Investors who are unwilling to own an investment whose value may fluctuate,
sometimes significantly, over the short term.

How has the Series performed?

This bar chart and table can help you evaluate the risks of investing in the
Delaware VIP Balanced Series Service Class. We show how the annual returns for
the Series have varied over the past five calendar years as well as the average
annual returns for the one-year and five-year periods and since inception. The
Series' past performance is not necessarily an indication of how it will perform
in the future. The returns reflect applicable expense caps. The returns would be
lower without the expense caps. Please see footnotes 1 and 2 on page 4 for
additional information about the expense caps. Moreover, the performance
presented does not reflect any separate account fees, which would reduce the
returns.

[GRAPHIC OMITTED: BAR CHART SHOWING YEAR BY YEAR TOTAL RETURN (Delaware VIP
Balanced Series Service Class)]

Year-by-year total return (Delaware VIP Balanced Series Service Class)

-------------- ------------ ------------ ----------- ------------
2001 2002 2003 2004 2005
-------------- ------------ ------------ ----------- ------------
-7.76% -16.40% 18.90% 5.55% 3.51%
-------------- ------------ ------------ ----------- ------------

During the period illustrated in this bar chart, the Class' highest quarterly
return was 15.47% for the quarter ended December 31, 2001 and its lowest
quarterly return was -16.97% for the quarter ended September 30, 2001.

Average annual returns for periods ending 12/31/05

------------------ ------------------- -------------------------- ----------------------------------
S&P 500
Delaware VIP Index Lehman Brothers Aggregate Bond
Balanced Series (reflects no deduction for Index (reflects no deduction for
Service Class fees, expenses or taxes) fees, expenses or taxes)
------------------ ------------------- -------------------------- ----------------------------------
1 year 3.51% 4.91% 2.43%
------------------ ------------------- -------------------------- ----------------------------------
5 years 0.04% 0.54% 5.87%
------------------ ------------------- -------------------------- ----------------------------------
Lifetime
(Inception 5/1/00) 0.37% 9.07%* 6.16%*
------------------ ------------------- -------------------------- ----------------------------------

* The S&P 500 Index and the Lehman Brothers Aggregate Bond Index report
returns on a monthly basis as of the last day of the month. These figures
reflect the return from May 31, 2000 through December 31, 2005 for each
index.

What are the Series' fees and expenses?

---------------------------------------- ---------------------------------------- -------------
Sales charges are fees paid directly Maximum sales charge (load) imposed on
from your investments when you buy or purchases as a percentage of offering
sell shares of the Service Class. price none
---------------------------------------- ---------------------------------------- -------------
Maximum contingent deferred sales none
charge (load) as a percentage of
original purchase price or redemption
price, whichever is lower
---------------------------------------- ---------------------------------------- -------------
Maximum sales charge (load) imposed on
reinvested dividends none
---------------------------------------- ---------------------------------------- -------------
Redemption fees none
---------------------------------------- ---------------------------------------- -------------
Exchange fees none
---------------------------------------- ---------------------------------------- -------------

---------------------------------------- ---------------------------------------- -------------
Annual Series operating expenses are 0.65%
deducted from the Series' assets. Management fees
---------------------------------------- ---------------------------------------- -------------
Distribution and service (12b-1) 0.30%
fees(1)
---------------------------------------- ---------------------------------------- -------------
Other expenses 0.20%
---------------------------------------- ---------------------------------------- -------------
Total operating expenses 1.15%
---------------------------------------- ---------------------------------------- -------------
Fee waivers and payments(1,2) (0.10%)
---------------------------------------- ---------------------------------------- -------------
Net expenses 1.05%
---------------------------------------- ---------------------------------------- -------------

---------------------------------------- ---------------------------------------- -------------
This example is intended to help you 1 year $107
compare the cost of investing in the ---------------------------------------- -------------
Series to the cost of investing in 3 years $355
other mutual funds with similar ---------------------------------------- -------------
investment objectives. We show the 5 years $623
cumulative amount of Series expenses ---------------------------------------- -------------
on a hypothetical investment of 10 years $1,389
$10,000 with an annual 5% return over ---------------------------------------- -------------
the time shown.(3) This example
reflects the net operating expenses
with expense waivers for the one-year
period and the total operating
expenses without expense waivers for
years two through ten. Although your
actual costs may be higher or lower,
based on these assumptions your costs
would be those shown here.
---------------------------------------- ---------------------------------------- -------------

(2) The investment manager has contracted to waive fees and pay expenses
through April 30, 2007 in order to prevent total operating expenses
(excluding any 12b-1 fees, taxes, interest, brokerage fees, extraordinary
expenses and certain insurance costs) from exceeding 0.80% of average daily
net assets.

(3) The Series' actual rate of return may be greater or less than the
hypothetical 5% return we use here.

How we manage the Series

o Security prices that reflect a market valuation that is judged to be below
the estimated present or future value of the company;

o Favorable earnings growth prospects;

o Expected above-average return on equity and dividend yield;

o The financial condition of the issuer; and

o Various qualitative factors.

While our investment philosophy will typically be value-oriented, we also may
invest in issues with growth characteristics during market cycles when growth
stocks appear attractive.

We conduct ongoing analysis of the different markets to determine the
appropriate mix of stocks and bonds for the current economic and investment
environment.

---------------------------------------- ----------------------------------
Securities How we use them
Delaware VIP Balanced Series
---------------------------------------- ----------------------------------
Common stocks: Securities that Generally, we invest up to 75%
represent shares of ownership in a of net assets in common stocks.
corporation. Stockholders participate
in the corporation's profits and
losses, proportionate to the number of
shares they own.
---------------------------------------- ----------------------------------
Convertible securities: Usually The Series may invest in
preferred stocks or corporate bonds convertible securities; however,
that can be exchanged for a set number we will not invest more than 10%
of shares of common stock at a of the net assets of the Series
predetermined price. These securities in convertible securities that
offer higher appreciation potential are rated below investment grade
than nonconvertible bonds and greater by a nationally recognized
income potential than nonconvertible statistical ratings organization
preferred stocks. (NRSRO) or in securities that
are unrated but deemed
equivalent to non-investment
grade.
---------------------------------------- ----------------------------------
Mortgage-backed securities: There is no limit on
Fixed-income securities that represent government-related
pools of mortgages, with investors mortgage-backed securities or on
receiving principal and interest privately issued mortgage-backed
payments as the underlying mortgage securities that are fully
loans are paid back. Many are issued collateralized by government
and guaranteed against default by the securities.
U.S. government or its agencies or
instrumentalities, such as the Federal We may invest up to 20% of net
Home Loan Mortgage Corporation, Fannie assets in mortgage-backed
Mae and the Government National securities issued by private
Mortgage Association. Others are companies if the securities are
issued by private financial not collateralized by the U.S.
institutions, with some fully government, or its agencies or
collateralized by certificates issued instrumentalities. However,
or guaranteed by the U.S. government these securities must be rated
or its agencies or instrumentalities. at the time of purchase in one
of the four highest categories
by an NRSRO such as S&P or
Moody's. They must also
represent interests in
whole-loan mortgages,
multi-family mortgages,
commercial mortgages and other
mortgage collateral supported by
a first mortgage lien on real
estate. The privately issued
securities we invest in are
either CMOs or REMICs (see
below).
---------------------------------------- ----------------------------------

Collateralized mortgage obligations See mortgage-backed securities
(CMOs): Privately issued above.
mortgage-backed bonds whose underlying
value is the mortgages that are
grouped into different pools according
to their maturity. They are issued by
U.S. government agencies and private
issuers.

---------------------------------------- ----------------------------------
Real estate mortgage investment See mortgage-backed securities
conduits (REMICs): Privately issued above.
mortgage-backed bonds whose underlying
value is a fixed pool of mortgages
secured by an interest in real
property. Like CMOs, REMICs offer
different pools.
---------------------------------------- ----------------------------------
Asset-backed securities: Bonds or We invest only in asset-backed
notes backed by accounts receivables securities rated in one of the
including home equity, automobile or four highest categories by an
credit loans. NRSRO.
---------------------------------------- ----------------------------------
Corporate bonds: Debt obligations We focus on bonds rated in one
issued by a corporation. of the four highest categories
by an NRSRO (or, if unrated,
deemed equivalent), with
maturities typically between one
and 30 years.
---------------------------------------- ----------------------------------

---------------------------------------- ----------------------------------
Securities How we use them
Delaware VIP Balanced Series
---------------------------------------- ----------------------------------
High-yield corporate bonds: Debt The Series may invest in
obligations issued by a corporation high-yield corporate bonds.
and rated lower than investment grade Emphasis is typically on those
by a nationally recognized statistical rated BB or Ba by an NRSRO.
ratings organization (NRSRO) such as
S&P or Moody's. High-yield bonds, also We carefully evaluate an
known as "junk bonds," are issued by individual company's financial
corporations that have lower credit situation, its management, the
quality and may have difficulty prospects for its industry and
repaying principal and interest. the technical factors related to
its bond offering. Our goal is
to identify those companies that
we believe will be able to repay
their debt obligations in spite
of poor ratings. The Series may
invest in unrated bonds if we
believe their credit quality is
comparable to the rated bonds we
are permitted to invest in.
Unrated bonds may be more
speculative in nature than rated
bonds.
---------------------------------------- ----------------------------------
Repurchase agreements: An agreement Typically, we use repurchase
between a buyer, such as the Series, agreements as a short-term
and a seller of securities in which investment for the Series' cash
the seller agrees to buy the position. In order to enter into
securities back within a specified these repurchase agreements, the
time at the same price the buyer paid Series must have collateral of
for them, plus an amount equal to an 102% of the repurchase price.
agreed upon interest rate. Repurchase The Series will only enter into
agreements are often viewed as repurchase agreements in which
equivalent to cash. the collateral is U.S.
government securities.
---------------------------------------- ----------------------------------
American Depositary Receipts (ADRs): We may invest without limitation
Certificates issued by a U.S. bank in ADRs.
that represent the bank's holding of a
stated number of shares of a foreign
corporation. An ADR entitles the
holder to all dividends and capital
gains earned by the underlying foreign
shares. ADRs are bought and sold the
same as other U.S. securities.
---------------------------------------- ----------------------------------

Interest rate swap, index swap and We may use interest rate swaps
credit default swap agreements: In an to adjust the Series'
interest rate swap, the Series sensitivity to interest rates or
receives payments from another party to hedge against changes in
based on a variable or floating interest rates. Index swaps may
interest rate, in return for making be used to gain exposure to
payments based on a fixed interest markets that the Series invests
rate. An interest rate swap can also in, such as the corporate bond
work in reverse with the Series market. We may also use index
receiving payments based on a fixed swaps as a substitute for
interest rate and making payments futures or options contracts if
based on a variable or floating such contracts are not directly
interest rate. In an index swap, the available to the Series on
Series receives gains or incurs losses favorable terms. We may enter
based on the total return of a into credit default swaps in
specified index, in exchange for order to hedge against a credit
making interest payments to another event, to enhance total return
party. An index swap can also work in or to gain exposure to certain
reverse with a fund receiving interest securities or markets.
payments from another party in
exchange for movements in the total
return of a specified index. In a
credit default swap, the Series may
transfer the financial risk of a
credit event occurring (a bond
default, bankruptcy, restructuring,
etc.) on a particular security or
basket of securities to another party
by paying that party a periodic
premium; likewise, the Series may
assume the financial risk of a credit
event occurring on a particular
security or basket of securities in
exchange for receiving premium
payments from another party. Interest
rate swaps, index swaps and credit
default swaps may be considered to be
illiquid.
---------------------------------------- ----------------------------------
Restricted and illiquid securities: We may invest up to 10% of net
Restricted securities are privately assets in illiquid securities.
placed securities whose resale is For this Series, the 10% limit
restricted under securities law. includes restricted securities
such as privately placed
Illiquid securities are securities securities that are eligible for
that do not have a ready market, and resale only among certain
cannot be easily sold within seven institutional buyers without
days at approximately the price that registration, which are commonly
the Series has valued them. known as Rule 144A Securities,
and repurchase agreements with
maturities of over seven days.
---------------------------------------- ----------------------------------

We diversify the Series' assets
among two major categories of
investments--stocks and
bonds--which tend to increase and
decline in value in different
economic or investment
conditions.

Derivatives Risk is the possibility We will use derivatives for
that the Series may experience a defensive purposes, such as to
significant loss if it employs a protect gains or hedge against
derivatives strategy (including a potential losses in the
strategy involving credit default portfolio without actually
swaps) related to a security or a selling a security, to
securities index and that security or neutralize the impact of
index moves in the opposite direction interest rate changes, to affect
from what the portfolio manager had diversification or to earn
anticipated. Another risk of additional income.
derivative transactions is the
creditworthiness of the counterparty
because the transaction depends on the
willingness and ability of the
counterparty to fulfill its
contractual obligations. Derivatives
also involve additional expenses,
which could reduce any benefit or
increase any loss to a series from
using the strategy.
---------------------------------------- ----------------------------------

Disclosure of portfolio holdings information
A description of the Series' policies and procedures with respect to the
disclosure of the Series' portfolio securities is available in the Series' SAI.

Paul Grillo, Stephen R. Cianci and Timothy L. Rabe comprise the portfolio
management team that is responsible for making the day-to-day investment
decisions for the fixed-income portion of the Series. Each portfolio manager has
an equal role in making investment recommendations for the fixed income portion
of the Series. Messrs. Grillo and Cianci have been co-managing the fixed-income
portion of the Series since April 25, 2000. Mr. Rabe joined the fixed income
portfolio management team on February 21, 2005.

D. Tysen Nutt, Jr., Senior Vice President/Senior Portfolio Manager, joined
Delaware Investments in 2004. Prior to that, Mr. Nutt graduated from Dartmouth
College with a BA. Mr. Nutt began his investment career in 1983 at Dean Witter
Reynolds where he advanced to Vice President, Investments. In 1988, he joined
investment advisor Van Deventer & Hoch (V&H), where he managed value portfolios
for institutions and private clients. As a Senior Vice President at V&H, he was
a member of the firm's Management Committee. Mr. Nutt moved to the U.S. Active
Value Team within Merrill Lynch Investment Managers (MLIM) where he managed
mutual funds and separate accounts for institutions and private clients; he
departed MLIM as a Managing Director. In 2004, Mr. Nutt joined Delaware
Investments as a Senior Vice President/Senior Portfolio Manager. Mr. Nutt moved
to the U.S. Active Value Team within Merrill Lynch Investment Managers (MLIM).
He is a member of the New York Society of Security Analysts and the CFA
Institute.

Jordan L. Irving, Vice President/Senior Portfolio Manager, joined Delaware
Investments in 2004. Prior to that, Mr. Irving graduated from Yale University
with a BA in American Studies and earned a Special Diploma in Social Studies at
Oxford University the following year. In 1998, he joined U.S. Active Value Team
within Merrill Lynch Investment Managers (MLIM) and became a Portfolio Manager
in 2000. He managed mutual funds and separate accounts for institutions and
private clients; he departed MLIM as a Vice President. In 2004, Mr. Irving
joined Delaware Investments as Vice President/Senior Portfolio Manager. While
working for MLIM, Mr. Irving competed for The United States National Rowing
Team, winning a gold medal at the 1997 World Rowing Championships in
Aiguebelette, France.

Vogel started his financial services career as a Financial Consultant with
Merrill Lynch in 1992. In 1997 he joined Merrill Lynch Investment Managers
(MLIM) and became a Portfolio Manager with the U.S. Active Value Team in 1998.
He managed mutual funds and separate accounts for institutions and private
clients; he departed MLIM as a Director. In 2004, Mr. Vogel joined Delaware
Investments as Vice President/Senior Portfolio Manager. Mr. Vogel is a Chartered
Financial Analyst and a member of the New York Society of Security Analysts and
the Association for Investment Management and Research.

Who's who?

The following describes the various organizations involved in managing,
administering, and servicing the Series.

Board of Trustees
A mutual fund is governed by a board of trustees which has oversight
responsibility for the management of the fund's business affairs. Trustees
establish procedures and oversee and review the performance of the investment
manager, the distributor and others that perform services for the series.
Generally, at least 40% of the board of trustees must be independent of the
fund's investment manager and distributor. However, the Series relies on certain
exemptive rules adopted by the Securities and Exchange Commission (SEC) that
require its Board of Trustees to be comprised of a majority of such independent
Trustees. These independent fund Trustees, in particular, are advocates for
shareholder interests.

Investment manager
Delaware Management Company, 2005 Market Street, Philadelphia, PA 19103-7094

Distributor
Delaware Distributors, L.P., 2005 Market Street, Philadelphia, PA 19103-7094

Shares of the Series are only sold to separate accounts of insurance companies
used in connection with variable annuity or variable life products.

Financial intermediary wholesaler
Lincoln Financial Distributors, Inc. ("LFD"), 2001 Market Street, Philadelphia
19103-7055

Custodian
JPMorgan Chase Bank, 4 Chase Metrotech Center, Brooklyn, NY 11245

Important Information about the Series

Share classes
The Series offers two classes of shares, Service Class and Standard Class. The
two classes of shares are identical, except that Service Class shares are
subject to distribution, or "Rule 12b-1" fees. The Trust's 12b-1 plan allows the
Trust to pay distribution fees of up to 0.30% per year to those who sell and
distribute Service Class shares and provide services to shareholders and
contract owners. Since the 12b-1 fees are paid out of Service Class' assets on
an ongoing basis, over time these fees will increase the cost of your investment
and may cost you more than paying other types of sales charges.

------------------------------------- ----------------------------
Service Class*
------------------------------------- ----------------------------
Commission (%) -
------------------------------------- ----------------------------
12b-1 Fee to Dealer 0.30%
(annual rate of average daily net
assets)
------------------------------------- ----------------------------

The Series anticipates using fair value pricing for securities primarily traded
on U.S. exchanges only under very limited circumstances, such as the early
closing of the exchange on which a security is traded or suspension of trading
in the security. The Series may use fair value pricing more frequently for
securities primarily traded in non-U.S. markets because, among other things,
most foreign markets close well before the Series values its securities at 4:00
p.m., Eastern Time. The earlier close of these foreign markets gives rise to the
possibility that significant events, including broad market moves, may have
occurred in the interim. To account for this, the Series may frequently value
many foreign equity securities using fair value prices based on third party
vendor modeling tools to the extent available.

Your ability to use the Series' exchange privilege may be limited if you are
identified as a market timer. If you are identified as a market timer, we will
execute the redemption side of your exchange order but may refuse the purchase
side of your exchange order. The Series reserves the right to restrict or
reject, without prior notice, any purchase order or exchange order for any
reason, including any purchase order or exchange order accepted by any contract
owner's financial intermediary or in any omnibus-type account. Transactions
placed in violation of the Series' market timing policy are not necessarily
deemed accepted by the Series and may be rejected by the Series on
the next business day following receipt by the Series.

This discussion of "Dividends, distributions and taxes" is not intended or
written to be used as tax advice. Additional information on tax matters is
included in the SAI.

Certain management considerations

Financial highlights

The financial highlights table is intended to help you understand the financial
performance of the Service Class of the Series. The total returns in the table
represent the rate that an investor would have earned or lost on an investment
in the Series' Service Class (assuming reinvestment of all dividends and
distributions). All "per share" information reflects financial results for a
single Series share. Separate account expenses are not reflected. If the fees at
the separate account level or contract level were included, total return would
be lower. This information has been audited by Ernst & Young, LLP, whose report,
along with the Series' financial statements, is included in the Series' annual
report, which is available upon request by calling 800 523-1918.

Delaware VIP Balanced Series Service Class
Year Ended
12/31
2005 2004 2003 2002 2001

Net asset value, beginning of period $13.340 $12.880 $11.170 $13.720 $15.230

Income (loss) from investment operations:
Net investment income(1) 0.310 0.214 0.186 0.238 0.308
Net realized and unrealized gain (loss)
on investments and foreign
currencies 0.145 0.488 1.867 (2.421) (1.498)
-------- -------- -------- -------- --------
Total from investment operations 0.455 0.702 2.053 (2.183) (1.190)
-------- -------- -------- -------- --------
Less dividends and distributions from:
Net investment income (0.275) (0.242) (0.343) (0.367) (0.320)
-------- -------- -------- -------- --------
Total dividends and distributions (0.275) (0.242) (0.343) (0.367) (0.320)
-------- -------- -------- -------- --------
Net asset value, end of period $13.520 $13.340 $12.880 $11.170 $13.720
======== ======== ======== ======== ========
Total return(2) 3.51% 5.55% 18.90% (16.40%) (7.76%)

Ratios and supplemental data:
Net assets, end of period (000 omitted) $5 $5 $5 $4 $5
Ratio of expenses to average net assets 1.05% 1.02% 0.99% 0.90% 0.88%
Ratio of expenses to average net assets
prior to expense limitation and
expenses paid indirectly 1.15% 1.07% 1.02% 0.91% 0.88%
Ratio of net investment income to average
net assets 2.32% 1.66% 1.58% 1.95% 2.22%
Ratio of net investment income to average
net assets prior to expense
limitation and expenses paid
indirectly 2.22% 1.61% 1.55% 1.94% 2.22%
Portfolio turnover 200% 247% 231% 303% 336%

(1) The average shares outstanding method has been applied for per share
information.

(2) Total investment return is based on the change in net asset value of a
share during the period and assumes reinvestment of dividends and
distributions at net asset value. Total investment return reflects waivers
and payment of fees by the manager and distributor, as applicable.
Performance would have been lower had the expense limitation not been in
effect.

Delaware VIP Balanced Series

Investment Company Act File No. 811-05162

Delaware Series Symbol
CUSIP
Delaware VIP Balanced Series
(Service Class) 246493100

DELAWARE VIP TRUST
Delaware VIP Capital Reserves Series

Standard Class

2005 Market Street, Philadelphia, PA 19103-7094

Prospectus

April 30, 2006

This Prospectus offers the Delaware VIP Capital Reserves Series. The Series is
in effect a separate fund issuing its own shares. The shares of the Series are
sold only to separate accounts of life insurance companies (life companies). The
separate accounts are used in conjunction with variable annuity contracts and
variable life insurance policies (variable contracts). The separate accounts
invest in shares of the Series in accordance with allocation instructions
received from contract owners. The investment objective and principal policies
of the Series are described in this Prospectus.

The U.S. Securities and Exchange Commission has not approved or disapproved
these securities or passed upon the accuracy of this Prospectus. Any
representation to the contrary is a criminal offense.

Table of contents
Overview page 3
Delaware VIP Capital Reserves Series 3

Important information about the Series page 14
Share classes 14
Salesperson and life company compensation 14
Purchase and redemption of shares 14
Valuation of shares 14
Fair valuation 14
Frequent trading of Series shares 15
Dividends, distributions and taxes 16
Certain management considerations 16

Financial highlights page 18

Overview: Delaware VIP Capital Reserves Series

What is the Series' goal?
Delaware VIP Capital Reserves Series seeks a high, stable level of current
income while attempting to minimize fluctuations in principal and provide
maximum liquidity. Although the Series will strive to achieve its goal, there is
no assurance that it will.

What are the Series' main investment strategies? We invest primarily in
short-term securities, including securities issued or guaranteed by the U.S.
government, its agencies or instrumentalities, instruments secured by U.S.
government securities and debt securities issued by U.S. corporations.

Delaware VIP Capital Reserves Series is not a money market fund. A money market
fund is designed for stability of principal; consequently, the level of income
fluctuates. The Series is designed for greater stability of income at a
relatively higher level; consequently, the principal value will fluctuate over
time. The Series will attempt to provide investors with yields higher than those
available in money market vehicles by extending the average maturity of the
bonds in its portfolio beyond what is typically associated with money market
funds. The portfolio may have portfolio turnover in excess of 100%.

An investment in the Series is not a deposit of any bank and is not insured or
guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
government agency.

Who should invest in the Series
o Investors with long-term financial goals.
o Investors looking for relatively stable and high income flow.
o Investors looking for the security associated with a portfolio of high
quality fixed-income securities.

Who should not invest in the Series
o Investors with short-term financial goals.
o Investors who are unwilling to own an investment whose value may fluctuate,
sometimes significantly, over the short term.

How has the Series performed?

This bar chart and table can help you evaluate the risks of investing in the
Delaware VIP Capital Reserves Series Standard Class. We show how the annual
returns for the Series have varied over the past ten calendar years as well as
the average annual returns for the one-year, five-year and ten-year periods. The
Series' past performance is not necessarily an indication of how it will perform
in the future. The returns reflect applicable expense caps. Please see footnote
1 on page 4 for additional information about the expense cap. The returns would
be lower without the expense cap. Moreover, the performance presented does not
reflect any separate account fees, which would reduce the returns.

[GRAPHIC OMITTED: BAR CHART SHOWING YEAR BY YEAR TOTAL RETURN (Delaware VIP
Capital Reserves Series Standard Class)]

Year-by-year total return (Delaware VIP Capital Reserves Series Standard Class)

------ ------ ------ ------ ------ ------ ------ ------ ------ ------
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005
------ ------ ------ ------ ------ ------ ------ ------ ------ ------
4.05% 7.60% 6.78% 0.28% 8.46% 8.27% 7.09% 4.63% 3.66% 1.79%
------ ------ ------ ------ ------ ------ ------ ------ ------ ------

During the periods illustrated in this bar chart, the Class' highest quarterly
return was 4.16% for the quarter ended September 30, 2001 and its lowest
quarterly return was -2.32% for the quarter ended June 30, 2004.

Average annual returns for periods ending 12/31/05

--------- -------------------- -------------------------------- ----------------------------
Merrill Lynch Lehman Brothers Intermediate
Delaware VIP Capital 1- to 3-Year Treasury Index* Government/Credit Index
Reserves Series (reflects no deduction for fees, (reflects no deduction for
Standard Class expenses or taxes) fees, expenses or taxes)
--------- -------------------- -------------------------------- ----------------------------
1 year 1.79% 1.67% 1.58%
--------- -------------------- -------------------------------- ----------------------------
5 years 5.06% 3.67% 5.50%
--------- -------------------- -------------------------------- ----------------------------
10 years 5.23% 4.79% 5.80%
--------- -------------------- -------------------------------- ----------------------------

The Series' returns above are compared to the performance of the Merrill Lynch
1- to 3-Year Treasury Index and the Lehman Brothers Intermediate
Government/Credit Index. The Merrill Lynch 1- to 3-Year Treasury Index is an
unmanaged index of short-term U.S. Treasury obligations having maturities from 1
to 2.99 years. The Lehman Brothers Intermediate Government/Credit Index is based
on all publicly issued intermediate government and corporate debt securities
with an average maturity of four to five years. You should remember that, unlike
the Series, the indexes are unmanaged and do not reflect the actual costs of
operating a mutual fund, such as the costs of buying, selling and holding
securities.

* The Merill Lynch 1- to 3-Year Treasury Index is replacing the Lehman
Brothers Intermediate Government/Credit Index as the Series' benchmark. The
investment manager believes the effective duration of the Merrill Lynch 1-
to 3-Year Treasury Index better reflects the Series' investments. The
Lehman Brothers Intermediate Government/Credit Index may be excluded from
this comparison in the future.

What are the Series' fees and expenses?

These tables describe the fees and expenses that you may pay if you buy and hold
shares of the Series. These tables and example do not include any fees or sales
charges imposed by the variable insurance contract for which the Series is an
investment option. If they were included, your cost would be higher. Investors
should consult the contract prospectus or disclosure document for more
information.

---------------------------------------- ---------------------------------- ----------------
You do not pay sales charges directly Maximum sales charge (load)
from your investments when you buy or imposed on purchases as a
sell shares of the Standard Class. percentage of offering price none
---------------------------------------- ---------------------------------- ----------------
Maximum contingent deferred none
sales charge (load) as a
percentage of original purchase
price or redemption price,
whichever is lower
---------------------------------------- ---------------------------------- ----------------
Maximum sales charge (load)
imposed on reinvested dividends none
---------------------------------------- ---------------------------------- ----------------
Redemption fees none
---------------------------------------- ---------------------------------- ----------------
Exchange fees none
---------------------------------------- ---------------------------------- ----------------

---------------------------------------- ---------------------------------- ----------------
Annual Series operating expenses are Management fees 0.50%
deducted from the Series' assets. ---------------------------------- ----------------
Distribution and service (12b-1) none
fees
---------------------------------------- ---------------------------------- ----------------
Other expenses 0.21%
---------------------------------------- ---------------------------------- ----------------
Total annual fund operating 0.71%
expenses
---------------------------------------- ---------------------------------- ----------------
Fee waivers and payments(1) (0.01)%
---------------------------------------- ---------------------------------- ----------------
Net expenses 0.70%
---------------------------------------- ---------------------------------- ----------------

---------------------------------------- ---------------------------------- ----------------
This example is intended to help you 1 years $72
compare the cost of investing in the ---------------------------------- ----------------
Series to the cost of investing in 3 years $226
other mutual funds with similar ---------------------------------- ----------------
investment objectives. We show the 5 years $394
cumulative amount of Series expenses ---------------------------------- ----------------
on a hypothetical investment of 10 years $882
$10,000 with an annual 5% return over ---------------------------------- ----------------
the time shown.2 This example
reflects the net operating expenses
with expense waivers for the one-year
period and the total operating
expenses without expense waivers for
years two through ten. Although your
actual costs may be higher or lower,
based on these assumptions your costs
would be those shown here.

---------------------------------------- ---------------------------------- ----------------

(2) The Series' actual rate of return may be greater or less than the
hypothetical 5% return we use here.

How we manage the Series

Our investment strategies
Delaware VIP Capital Reserves Series is a type of current income fund that
invests primarily in a variety of high-quality debt instruments ("fixed-income
securities"), which provide high income potential.

We will strive to reduce the effects of interest rate volatility on principal by
maintaining a short effective duration for the Series similar to that of the
Merrill Lynch 1- to 3-year Treasury Index, an effective duration normally
ranging from one to three years. We will decide where to position the portfolio
within this permissible duration range based on our perception of the direction
of interest rates and the risks in the fixed-income markets. If, in our
judgment, interest rates are relatively high and borrowing requirements in the
economy are weakening, we will generally extend the duration of the Series.
Conversely, if we believe interest rates are relatively low and borrowing
requirements appear to be strengthening, we may shorten the duration.

The securities we typically invest in

Fixed-income securities offer the potential for greater income payments than
stocks, and also may provide capital appreciation.

---------------------------------------- -------------------------------
Securities How we use them
Delaware VIP Capital Reserves
Series
---------------------------------------- -------------------------------

Direct U.S. Treasury obligations We may invest without limit in
include Treasury bills, notes and bonds U.S. Treasury securities,
of varying maturities. U.S. Treasury though they are typically not
securities are backed by the "full our largest holding because
faith and credit" of the United States. they generally do not offer as
high a level of current income
as other fixed-income
securities.
---------------------------------------- -------------------------------
Mortgage-backed securities: There is no limit on
Fixed-income securities that represent government-related
pools of mortgages, with investors mortgage-backed securities or
receiving principal and interest on privately issued
payments as the underlying mortgage mortgage-backed securities that
loans are paid back. Many are issued are fully collateralized by
and guaranteed against default by the government securities.
U.S. government or its agencies or
instrumentalities, such as the Federal
Home Loan Mortgage Corporation, Fannie Mortgage-backed securities
Mae and the Government National issued by private companies, if
Mortgage Association. Others are issued the securities are not
by private financial institutions, with collateralized by securities
some fully collateralized by issued by the U.S. government,
certificates issued or guaranteed by its agencies or
the U.S. government or its agencies or instrumentalities, must be
instrumentalities. rated at the time of purchase
in one of the four highest
categories by a nationally
recognized statistical ratings
organization (NRSRO) such as
S&amp;P or Moody's. They must also
represent interests in
whole-loan mortgages,
multi-family mortgages,
commercial mortgages and other
mortgage collateral supported
by a first mortgage lien on
real estate. The privately
issued securities we invest in
are either CMOs or REMICs.
---------------------------------------- -------------------------------
Collateralized mortgage obligations See mortgage-backed securities
(CMOs): Privately issued above.
mortgage-backed bonds whose underlying
value is the mortgages that are grouped
into different pools according to their
maturity. They are issued by U.S.
government agencies and private issuers.
---------------------------------------- -------------------------------
Real estate mortgage investment See mortgage-backed securities
conduits (REMICs): Privately issued above.
mortgage-backed bonds whose underlying
value is a fixed pool of mortgages
secured by an interest in real
property. Like CMOs, REMICs offer
different pools.
---------------------------------------- -------------------------------
Asset-backed securities: Bonds or notes We invest only in asset-backed
backed by accounts receivables securities rated in one of the
including home equity, automobile or four highest categories by an
credit loans. NRSRO.
---------------------------------------- -------------------------------
Corporate debt: Debt obligations issued We focus on corporate debt with
by a corporation, including corporate investment grade ratings, that
notes, bonds and other debt securities. is bonds rated BBB or better by
S&amp;P or Baa or better by
Moody's. We may invest in debt
that is unrated, if we believe
the quality of the securities
is comparable to the ratings
above.
---------------------------------------- -------------------------------

---------------------------------------- -------------------------------
Certificates of deposit and obligations We may invest in certificates
of both U.S. and foreign banks: Debt of deposit from banks that have
instruments issued by a bank that pay assets of at least one billion
interest. dollars.
---------------------------------------- -------------------------------
Corporate commercial paper: Short-term We may invest in commercial
debt obligations with maturities paper that is rated P-1 or P-2
ranging from 2 to 270 days, issued by by Moody's and/or A-1 or A-2 by
companies. S&amp;P.
---------------------------------------- -------------------------------
Repurchase agreements: An agreement Typically, we use repurchase
between a buyer, such as the Series, agreements as a short-term
and a seller of securities in which the investment for the Series' cash
seller agrees to buy the securities position. In order to enter
back within a specified time at the into these repurchase
same price the buyer paid for them, agreements, the Series must
plus an amount equal to an agreed upon have collateral of 102% of the
interest rate. Repurchase agreements repurchase price. The Series
are often viewed as equivalent to cash. will only enter into repurchase
agreements in which the
collateral is U.S. government
securities.
---------------------------------------- -------------------------------
Interest rate swap and index swap We may use interest rate swaps
agreements: In an interest rate swap, to adjust the Series'
the Series receives payments from sensitivity to interest rates,
another party based on a Variable or or to hedge against changes in
floating interest rate in return for interest rates.
making payments based on a fixed
interest rate. An interest rate swap
can also work in reverse, with the Series Index swaps may be used to gain
receiving payments based on a fixed exposure to markets that the
interest rate and making payments based Series invests in or as a
on a variable or floating interest substitute for futures options
rate. In an index swap, the Series or forward contracts if such
receives gains or incurs losses based contracts are not directly
on the total return of a specified available to the Series on
index, in exchange for making fixed or favorable terms.
floating interest rate payments to
another party.
Interest rate swaps and index
swaps will be considered
illiquid securities (see below).
---------------------------------------- -------------------------------
Restricted and illiquid securities: We may invest up to 10% of net
Restricted securities are privately assets in illiquid securities.
placed securities whose resale is For this Series, the 10% limit
restricted under securities law. includes restricted securities
such as privately placed
securities that are eligible
Illiquid securities are securities that for resale only among certain
do not have a ready market, and cannot institutional buyers without
be easily sold within seven days at registration, which are
approximately the price that the Series commonly known as Rule 144A
has valued them. Securities, and repurchase
agreements with maturities of
over seven days.
---------------------------------------- -------------------------------

The Series may also enter into options and purchase depositary receipts. Please
see the Statement of Additional Information (SAI) for additional descriptions of
these securities as well as those listed in the table above.

a result, borrowing money could result in the Series being unable to meet its
investment objective. The Series will not borrow money in excess of one-third of
the value of its net assets.

The risks of investing in the Series

Investing in any mutual fund involves risk, including the risk that you may
receive little or no return on your investment, and the risk that you may lose
part or all of the money you invest. Before you invest in the Series, you should
carefully evaluate the risks. An investment in the Series typically provides the
best results when held for a number of years. Following are the chief risks you
assume when investing in the Delaware VIP Capital Reserves Series. Please see
the SAI for further discussion of these risks and other risks not discussed
here.

---------------------------------------- -------------------------------
Risks How we strive to manage them
Delaware VIP Capital Reserves
Series
---------------------------------------- -------------------------------

Market risk is the risk that all or a We maintain a long-term
majority of the securities in a certain investment approach and focus on
market-like the stock or bond fixed-income securities that we
market-will decline in value because of believe can continue to make
factors such as economic conditions, interest and principal payments
future expectations or investor over an extended time frame
confidence. regardless of interim market
fluctuations. We do not try to
predict overall bond market
movements and generally do not
trade for short-term purposes.
---------------------------------------- -------------------------------
Industry and security risk: Industry
risk is the risk that the value of We diversify the Series'
securities in a particular industry portfolio. We also follow a
will decline because of changing rigorous selection process
expectations for the performance of before choosing securities for
that industry. the portfolio.

Swaps may be particularly sensitive to We will not invest in interest
interest rate changes. Depending on the rate swaps with maturities of
actual movements of interest rates and more than two years. Each
how well the portfolio manager business day we calculate the
anticipates them, a series could amount the Series must pay for
experience a higher or lower return swaps it holds and will
than anticipated. segregate cash or other liquid
securities to cover that amount.
---------------------------------------- -------------------------------
Credit risk is the risk that an issuer The Series may hold securities
(or an insurer of the issuer) will be rated in investment grade
unable to make timely payments of category single-B or higher by
interest and principal. NRSROs. These securities,
however, are carefully evaluated
for creditworthiness before
Investing in high-yield debt purchase.
instruments entails the risk of
principal loss, which may be greater
than the risk involved in investment If the rating of a debt security
grade debt. High-yield debt is held by the Series falls below
sometimes issued by companies the investment grade category
earnings of which at the time the debt single-B, the Series will
is issued are less than the projected dispose of the security as soon
payments on the debt. as practicable, unless to do so
would be detrimental in light of
market conditions.
Debt securities rated in investment
grade category single-B or higher by
NRSROs may have speculative
characteristics. Changes in economic
conditions or other circumstances are
more likely to affect an issuer's
ability to make principal and
---------------------------------------- -------------------------------

---------------------------------------- -------------------------------
interest payments.
---------------------------------------- -------------------------------
Prepayment risk is the risk that We take into consideration the
homeowners will prepay mortgages during likelihood of prepayment when we
periods of low interest rates, forcing select mortgages. We may look
an investor to reinvest their money at for mortgage securities that
interest rates that might be lower than have characteristics that make
those on the prepaid mortgage. them less likely to be prepaid,
such as low outstanding loan
balance or below-market interest
rates.

---------------------------------------- -------------------------------
Liquidity risk is the possibility that We limit exposure to illiquid
securities cannot be readily sold securities. Swap agreements will
within seven days at approximately the be treated as illiquid
price that the Series has valued them. securities, but most swap
dealers will be willing to
repurchase interest rate swaps.
---------------------------------------- -------------------------------

Disclosure of portfolio holdings information

A description of the Series' policies and procedures with respect to the
disclosure of the Series' portfolio securities is available in the Series' SAI.

Investment manager
The Series is managed by Delaware Management Company, a series of Delaware
Management Business Trust, which is an indirect wholly owned subsidiary of
Delaware Management Holdings, Inc. Delaware Management Company makes investment
decisions for the Series, manages the Series' business affairs and provides
daily administrative services. For these services, the manager was paid 0.50% of
average daily net assets during the last fiscal year.

Portfolio manager
Stephen R. Cianci has primary responsibility for making day-to-day investment
decisions for the Delaware VIP Capital Reserves Series. He became manager of the
Series in April 2000.

Stephen R. Cianci, Senior Vice President/Senior Portfolio Manager, holds a BS
and an MBA in finance from Widener University. He joined Delaware Investments'
Fixed Income Department in 1992 as an investment grade quantitative research
analyst. In addition to his quantitative research responsibilities, Mr. Cianci
also served as a mortgage-backed and asset-backed securities analyst. Mr. Cianci
is an Adjunct Professor of finance at Widener University and a CFA
charterholder. He has been managing the fixed-income portion of the Series since
April 2000.

The SAI for the Series provides additional information about the portfolio
manager's compensation, other accounts managed by the portfolio manager and the
portfolio manager's ownership of securities in the Series.

Who's who?
The following describes the various organizations involved in managing,
administering, and servicing the Series.

Board of Trustees
A mutual fund is governed by a board of trustees which has oversight
responsibility for the management of the fund's business affairs. Trustees
establish procedures and oversee and review the performance of the investment
manager, the distributor and others that perform services for the series.
Generally, at least 40% of the board of trustees must be independent of the
fund's investment manager and distributor. However, the Series relies on certain
exemptive rules adopted by the Securities and Exchange Commission (SEC) that
require its Board of Trustees to be comprised of a majority of such independent
Trustees. These independent fund Trustees, in particular, are advocates for
shareholder interests.

Investment manager
Delaware Management Company, 2005 Market Street, Philadelphia, PA 19103-7094

Portfolio managers
Portfolio managers are employed by the investment manager to make investment
decisions for individual portfolios on a day-to-day basis. See "Portfolio
Manager" for information about the portfolio manager of the Series.

Distributor
Delaware Distributors, L.P., 2005 Market Street, Philadelphia, PA 19103-7094

Shares of the Series are only sold to separate accounts of insurance companies
used in connection with variable annuity or variable life products.

Financial intermediary wholesaler
Lincoln Financial Distributors, Inc. ("LFD"), 2001 Market Street, Philadelphia,
PA 19103-7055

Custodian
JPMorgan Chase Bank, 4 Chase Metrotech Center, Brooklyn, NY 11245

Important Information about the Series

We determine the NAV per share for each class of the Series at the close of
regular trading on the NYSE on each Business Day. The NAV per share for each
class of the Series is calculated by subtracting the liabilities for each class
from its total net assets and dividing the resulting number by the number of
shares outstanding for that class. We generally price securities and other
assets for which market quotations are readily available at their market value.
We price fixed-income securities on the basis of valuations provided to us by an
independent pricing service that uses methods approved by the Board of Trustees.
We price any fixed-income securities that have a maturity of less than 60 days
at amortized cost, which approximates market value. For all other securities, we
use methods approved by the Board of Trustees that are designed to price
securities at their fair market value (see "Fair valuation", below).

Fair valuation
When the Series uses fair value pricing, it may take into account any factors it
deems appropriate. The Series may determine fair value based upon developments
related to a specific security, current valuations of foreign stock indices (as
reflected in U.S. futures markets) and/or U.S. sector or broader stock market
indices. The price of securities used by the Series to calculate its NAV may
differ from quoted or published price for the same securities. Fair value
pricing may involve subjective judgments and it is possible that the fair value
determined for a security is materially different than the value that could be
realized upon the sale of that security.

differences in fund share prices that are based on closing prices of foreign
securities established some time before a fund calculates its own share price.

Dividends, distributions and taxes
The Series has elected, or intends to elect, to be treated as a regulated
investment company under Subchapter M of the Internal Revenue Code. As a
regulated investment company, the Series generally pays no federal income tax on
the income and gains it distributes to you. Dividends, if any, are declared
daily and paid monthly. Short-term capital gains distributions, if any, may be
paid with the dividend; otherwise, any distributions from net realized
securities profits normally will be distributed following the close of the
fiscal year. We automatically reinvest all dividends and any capital gains.

This discussion of "Dividends, distributions and taxes" is not intended or
written to be used as tax advice. Additional information on tax matters is
included in the SAI.

Certain management considerations

Manager of managers structure

At a shareholder meeting held on March 23, 2005 (or as adjourned), the Series'
shareholders approved a "manager of managers" structure that would permit
Delaware Management Company, the Series' investment advisor, to appoint and
replace sub-advisors, enter into sub-advisory agreements, and amend and
terminate sub-advisory agreements with respect to the Series, subject to Board
approval but without shareholder approval (the "manager of managers structure").
While Delaware Management Company does not currently expect to use the manager
of managers structure with respect to the Series, including any Series that
currently has a sub-advisor, Delaware Management Company may, in the future,
recommend to the Series' Board the establishment of the manager of managers
structure by recommending the hiring of one or more sub-advisors to manage all
or a portion of the Series' portfolio if it believes that doing so would be
likely to enhance the Series' performance by introducing a different investment
style or focus.

Financial highlights

Standard Class
Year Ended
Delaware VIP Capital Reserves Series 12/31
2005 2004 2003 2002 2001

Net asset value, beginning of period $9.940 $10.020 $9.970 $9.750 $9.530

Income (loss) from investment operations:
Net investment income(1) 0.355 0.356 0.329 0.419 0.533
Net realized and unrealized gain (loss) on
investments (0.180) 0.004 0.125 0.253 0.239
------ ------- ------ ------ -------
Total from investment operations 0.175 0.360 0.454 0.672 0.772
------ ------- ------ ------ -------
Less dividends and distributions from:
Net investment income (0.405) (0.440) (0.404) (0.452) (0.552)
------ ------- ------ ------ -------
Total dividends and distributions (0.405) (0.440) (0.404) (0.452) (0.552)
------ ------- ------ ------ -------
Net asset value, end of period $9.710 $9.940 $10.020 $9.970 $9.750
====== ======= ======= ====== ========
Total return(2) 1.79% 3.66% 4.63% 7.09% 8.27%

Ratios and supplemental data:
Net assets, end of period (000 omitted) $23,895 $25,955 $34,077 $42,698 $30,996
Ratio of expenses to average net assets 0.71% 0.62% 0.63% 0.62% 0.58%
Ratio of net investment income to average
net assets 3.61% 3.57% 3.36% 4.21% 5.46%
Portfolio turnover 259% 252% 438% 427% 290%

(1) The average shares outstanding method has been applied for per share
information.

(2) Total investment return is based on the change in net asset value of a
share during the period and assumes reinvestment of dividends and
distributions at net asset value.

Delaware VIP Capital Reserves Series

Investment Company Act File No. 811-05162

Delaware Series Symbol
CUSIP
Delaware VIP Capital Reserves Series
(Standard Class) 246493563

DELAWARE VIP TRUST
Delaware VIP Capital Reserves Series

Service Class

2005 Market Street, Philadelphia, PA 19103-7094

Prospectus

April 30, 2006

The U.S. Securities and Exchange Commission has not approved or disapproved
these securities or passed upon the accuracy of this Prospectus. Any
representation to the contrary is a criminal offense.

Table of contents
Overview page 3
Delaware VIP Capital Reserves Series 3

How we manage the Series page 6
Our investment strategies 6
The securities we typically invest in 6
The risks of investing in the Series 9
Disclosure of portfolio holdings information 10
Investment manager 10
Portfolio manager 10
Who's who? 11

Important information about the Series page 12
Share classes 12
Salesperson and life company compensation 12
Purchase and redemption of shares 12
Valuation of shares 12
Fair valuation 13
Frequent trading of Series shares 13
Dividends, distributions and taxes 14
Certain management considerations 15

Financial highlights page 16

Overview: Delaware VIP Capital Reserves Series

An investment in the Series is not a deposit of any bank and is not insured or
guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
government agency.

Who should invest in the Series

o Investors with long-term financial goals.
o Investors looking for relatively stable and high income flow.
o Investors looking for the security associated with a portfolio of high
quality fixed-income securities.

Who should not invest in the Series

o Investors with short-term financial goals.
o Investors who are unwilling to own an investment whose value may fluctuate,
sometimes significantly, over the short term.

How has the Series performed?

This bar chart and table can help you evaluate the risks of investing in the
Delaware VIP Capital Reserves Series Service Class. We show how the annual
returns for the Series have varied over the past five calendar years as well as
the average annual returns for the one-year and five-year periods and since
inception. The Series' past performance is not necessarily an indication of how
it will perform in the future. The Series' past performance does not necessarily
indicate how it will perform in the future. The returns reflect applicable
expense caps. The returns would be lower without the expense caps. Please see
footnotes 1 and 2 on page 4 for additional information about the expense caps.
Moreover, the performance presented does not reflect any separate account fees,
which would reduce the returns.

[GRAPHIC OMITTED: BAR CHART SHOWING YEAR BY YEAR TOTAL RETURN (Delaware VIP
Capital Reserves Series Service Class)]

Total return (Delaware VIP Capital Reserves Series Service Class)

-------------- ------------ ------------ ----------- ------------
2001 2002 2003 2004 2005
-------------- ------------ ------------ ----------- ------------
8.23% 6.84% 4.21% 3.23% 1.35%
-------------- ------------ ------------ ----------- ------------

During the period illustrated in this bar chart, the Class' highest quarterly
return was 4.12% for the quarter ended September 30, 2001 and its lowest
quarterly return was -2.48% for the quarter ended June 30, 2004.

Average annual returns for periods ending 12/31/05

------------------- ----------------------- -------------------------- ----------------------------
Merrill Lynch Lehman Brothers Intermediate
1- to 3-Year Government/
Delaware VIP Treasury Index* Credit Index
Capital Reserves Series (reflects no deduction for (reflects no deduction for
Service Class fees, expenses or taxes) fees, expenses or taxes)
------------------- ----------------------- -------------------------- ----------------------------
1 year 1.35% 1.67% 1.58%
------------------- ----------------------- -------------------------- ----------------------------
5 years 4.74% 3.67% 5.50%
------------------- ----------------------- -------------------------- ----------------------------
Lifetime
(Inception 5/1/00) 5.57% 4.35%** 6.46%***
------------------- ----------------------- -------------------------- ----------------------------

* The Merrill Lynch 1- to 3-Year Treasury Index is replacing the Lehman
Brothers Intermediate Government/Credit Index as the Series' benchmark. The
investment manager believes the effective duration of the Merrill Lynch 1-
to 3-Year Treasury Index better reflects the Series' investments.

** The Merrill Lynch 1- to 3- Year Treasury Index reports returns on a monthly
basis as of the last day of the month. This figure reflects the return from
May 31, 2000 through December 31, 2005. The Lehman Brothers Intermediate
Government/Credit Index may be excluded from this comparison in the future.

*** The Lehman Brothers Intermediate Government/Credit Index reports returns on
a monthly basis as of the last day of the month. This figure reflects the
return from May 31, 2000 through December 31, 2005. The Lehman Brothers
Intermediate Government/Credit Index may be excluded from this comparison
in the future.

What are the Series' fees and expenses?
These tables describe the fees and expenses that you may pay if you buy and hold
shares of the Series. These tables and example do not include any fees or sales
charges imposed by the variable insurance contract for which the Series is an
investment option. If they were included, your cost would be higher. Investors
should consult the contract prospectus or disclosure document for more
information.

---------------------------------------- ------------------------------------ ---------------
Sales charges are fees paid directly Maximum sales charge (load)
from your investments when you buy or imposed on purchases as a
sell shares of the Service Class. percentage of offering price none
---------------------------------------- ------------------------------------ ---------------
Maximum contingent deferred sales none
charge (load) as a percentage of
original purchase price or
redemption price, whichever is
lower
---------------------------------------- ------------------------------------ ---------------
Maximum sales charge (load)
imposed on reinvested dividends none
---------------------------------------- ------------------------------------ ---------------
Redemption fees none
---------------------------------------- ------------------------------------ ---------------
Exchange fees none
---------------------------------------- ------------------------------------ ---------------

---------------------------------------- ------------------------------------ ---------------
Annual Series operating expenses are 0.50%
deducted from the Series' assets. Management fees
---------------------------------------- ------------------------------------ ---------------
Distribution and service (12b-1) 0.30%
fees
---------------------------------------- ------------------------------------ ---------------
Other expenses 0.21%
---------------------------------------- ------------------------------------ ---------------
Total annual fund operating 1.01%
expenses
---------------------------------------- ------------------------------------ ---------------
Fee waivers and payments(1,2) (0.06)%
---------------------------------------- ------------------------------------ ---------------
Net expenses 0.95%
---------------------------------------- ------------------------------------ ---------------

---------------------------------------- ------------------------------------ ---------------
This example is intended to help you 1 year $97
compare the cost of investing in the ------------------------------------ ---------------
Series to the cost of investing in 3 years $316
other mutual funds with similar ------------------------------------ ---------------
investment objectives. We show the 5 years $552
cumulative amount of Series expenses ------------------------------------ ---------------
on a hypothetical investment of 10 years $1,231
$10,000 with an annual 5% return over ------------------------------------ ---------------
the time shown.(3) This example
reflects the net operating expenses
with expense waivers for the one-year
period and the total operating
expenses without expense waivers for
years two through ten.
Although your actual costs may be
higher or lower, based on these
assumptions your costs would be those
shown here.
---------------------------------------- ------------------------------------ ---------------

(3) The Series' actual rate of return may be greater or less than the
hypothetical 5% return we use here.

How we manage the Series

The securities we typically invest in

Fixed-income securities offer the potential for greater income payments than
stocks, and also may provide capital appreciation.

---------------------------------------- ----------------------------------

Securities How we use them

Delaware VIP Capital Reserves
Series
---------------------------------------- ----------------------------------

Direct U.S. Treasury obligations We may invest without limit in
include Treasury bills, notes and U.S. Treasury securities, though
bonds of varying maturities. U.S. they are typically not our
Treasury securities are backed by the largest holding because they
"full faith and credit" of the United generally do not offer as high a
States. level of current income as other
fixed-income securities.
---------------------------------------- ----------------------------------

Mortgage-backed securities: There is no limit on
Fixed-income securities that represent government-related
pools of mortgages, with investors mortgage-backed securities or on
receiving principal and interest privately issued mortgage-backed
payments as the underlying mortgage securities that are fully
loans are paid back. Many are issued collateralized by government
and guaranteed against default by the securities.
U.S. government or its agencies or
instrumentalities, such as the Federal
Home Loan Mortgage Corporation, Fannie Mortgage-backed securities
Mae and the Government National issued by private companies, if
Mortgage Association. Others are the securities are not
issued by private financial collateralized by securities
institutions, with some fully issued by the U.S. government,
collateralized by certificates issued its agencies or
or guaranteed by the U.S. government instrumentalities, must be rated
or its agencies or instrumentalities. at the time of purchase in one
of the four highest categories
by a nationally recognized
statistical ratings organization
(NRSRO) such as S&P or Moody's.
They must also represent
interests in whole-loan
mortgages, multi-family
mortgages, commercial mortgages
and other mortgage collateral
supported by a first mortgage
lien on real estate. The
privately issued securities we
invest in are either CMOs or
REMICs.
---------------------------------------- ----------------------------------

Asset-backed securities: Bonds or We invest only in asset-backed
notes backed by accounts receivables securities rated in one of the
including home equity, automobile or four highest categories by an
credit loans. NRSRO.
---------------------------------------- ----------------------------------

Corporate debt: Debt obligations We focus on corporate debt with
issued by a corporation, including investment grade ratings, that
corporate notes, bonds and other debt is bonds rated BBB or better by
securities. S&P or Baa or better by Moody's.
We may invest in debt that is
unrated, if we believe the
quality of the securities is
comparable to the ratings above.
---------------------------------------- ----------------------------------

Certificates of deposit and We may invest in certificates of
obligations of both U.S. and foreign deposit from banks that have
banks: Debt instruments issued by a assets of at least one billion
bank that pay interest. dollars.
---------------------------------------- ----------------------------------

Corporate commercial paper: Short-term We may invest in commercial
debt obligations with maturities paper that is rated P-1 or P-2
ranging from 2 to 270 days, issued by by Moody's and/or A-1 or A-2 by
companies. S&P.
---------------------------------------- ----------------------------------

Repurchase agreements: An agreement Typically, we use repurchase
between a buyer, such as the Series, agreements as a short-term
and a seller of securities in which investment for the Series' cash
the seller agrees to buy the position. In order to enter into
securities back within a specified these repurchase agreements, the
time at the same price the buyer paid Series must have collateral of
for them, plus an amount equal to an 102% of the repurchase price.
agreed upon interest rate. Repurchase The Series will only enter into
agreements are often viewed as repurchase agreements in which
equivalent to cash. the collateral is U.S.
government securities.
---------------------------------------- ----------------------------------

Interest rate swap and index swap We may use interest rate swaps
agreements: In an interest rate swap, to adjust the Series'
the Series receives payments from sensitivity to interest rates,
another party based on a variable or or to hedge against changes in
floating interest rate in return for interest rates.
making payments based on a fixed
interest rate. An interest rate swap can
also work in reverse, with the Series Index swaps may be used to gain
receiving payments based on a fixed exposure to markets that the
interest rate and making payments Series invests in or as a
based on a variable or floating substitute for futures options
interest rate. In an index swap, the or forward contracts if such
Series receives gains or incurs losses contracts are not directly
based on the total return of a available to the Series on
specified index, in exchange for favorable terms.
making interest payments to another
party. An index swap can also work in
reverse with the Series receiving Interest rate swaps and index
interest payments from another party swaps will be considered
in exchange for movements in the total illiquid securities (see below).
return of a specified index. Interest
rate swaps and index swaps may be
considered to be illiquid.

---------------------------------------- ----------------------------------

Restricted and illiquid securities: We may invest up to 10% of net
Restricted securities are privately assets in illiquid securities.
placed securities whose resale is For this Series, the 10% limit
restricted under securities law. includes restricted securities
such as privately placed
securities that are eligible for
---------------------------------------- ----------------------------------

---------------------------------------- ----------------------------------
Illiquid securities are securities resale only among certain
that do not have a ready market, and institutional buyers without
cannot be easily sold within seven registration, which are commonly
days at approximately the price that known as Rule 144A Securities,
the Series has valued them. and repurchase agreements with
maturities of over seven days.
---------------------------------------- ----------------------------------

The risks of investing in the Series
Investing in any mutual fund involves risk, including the risk that you may
receive little or no return on your investment, and the risk that you may lose
part or all of the money you invest. Before you invest in the Series, you should
carefully evaluate the risks. An investment in the Series typically provides the
best results when held for a number of years. The table below describes the
principal risks you assume when investing in the Delaware VIP Capital Reserves
Series. Please see the SAI for further discussion of these risks and other risks
not discussed here.

---------------------------------------- ----------------------------------

Risks How we strive to manage them

Delaware VIP Capital Reserves
Series
---------------------------------------- ----------------------------------

Market risk is the risk that all or a We maintain a long-term
majority of the securities in a investment approach and focus on
certain market-like the stock or bond fixed-income securities that we
market-will decline in value because believe can continue to make
of factors such as economic interest and principal payments
conditions, future expectations or over an extended time frame
investor confidence. regardless of interim market
fluctuations. We do not try to
predict overall bond market
movements and generally do not
trade for short-term purposes.
---------------------------------------- ----------------------------------
Industry and security risk: Industry
risk is the risk that the value of We diversify the Series'
securities in a particular industry portfolio. We also follow a
will decline because of changing rigorous selection process
expectations for the performance of before choosing securities for
that industry. the portfolio.

Interest rate risk is the risk that We do not try to increase return
securities, particularly bonds with by predicting and aggressively
longer maturities, will decrease in capitalizing on interest rate
value if interest rates rise. moves.

Swaps may be particularly sensitive to We will not invest in interest
interest rate changes. Depending on rate swaps with maturities of
the actual movements of interest rates more than two years. Each
and how well the portfolio manager business day we calculate the
anticipates them, a series could amount the Series must pay for
experience a higher or lower return swaps it holds and will
than anticipated. segregate cash or other liquid
securities to cover that amount.
---------------------------------------- ----------------------------------

Credit risk is the risk that an issuer The Series may hold securities
(or an insurer of the issuer) will be rated in investment grade
unable to make timely payments of category single-B or higher by
interest and principal. NRSROs. These securities,
however, are carefully evaluated
for creditworthiness before
Investing in high-yield debt purchase.
instruments entails the risk of
greater principal loss than the risk
involved in investment grade debt. If the rating of a debt security
High-yield debt is sometimes issued by held by the Series falls below
companies the earnings of which at the investment grade category
time the debt is issued are less than single-B, the Series will
the projected payments on the debt. dispose of the security as soon
as practicable, unless to do so
would be detrimental in light of
Debt securities rated in investment market conditions.
grade category single-B or higher by
NRSROs may have speculative
characteristics. Changes in economic
conditions or other circumstances are
more likely
---------------------------------------- ----------------------------------

---------------------------------------- ----------------------------------
to affect an issuer's
ability to make principal and interest
payments.
---------------------------------------- ----------------------------------

Prepayment risk is the risk that We take into consideration the
homeowners will prepay mortgages likelihood of prepayment when we
during periods of low interest rates, select mortgages. We may look
forcing an investor to reinvest their for mortgage securities that
money at interest rates that might be have characteristics that make
lower than those on the prepaid them less likely to be prepaid,
mortgage. such as low outstanding loan
balance or below-market interest
rates.
---------------------------------------- ----------------------------------

Liquidity risk is the possibility that We limit exposure to illiquid
securities cannot be readily sold securities. Swap agreements will
within seven days at approximately the be treated as illiquid
price that the Series has valued them. securities, but most swap
dealers will be willing to
repurchase interest rate swaps.
---------------------------------------- ----------------------------------

Disclosure of portfolio holdings information
A description of the Series' policies and procedures with respect to the
disclosure of the Series' portfolio securities is available in the Series' SAI.

Investment manager
The Series is managed by Delaware Management Company, a series of Delaware
Management Business Trust, which is an indirect wholly owned subsidiary of
Delaware Management Holdings, Inc. Delaware Management Company makes investment
decisions for the Series, manages the Series' business affairs and provides
daily administrative services. For these services, the manager was paid 0.50% of
average daily net assets during the last fiscal year.

Portfolio manager
Stephen R. Cianci has primary responsibility for making day-to-day investment
decisions for the Delaware VIP Capital Reserves Series. He became manager of the
Series in April 2000.

Who's who?

The following describes the various organizations involved in managing,
administering, and servicing the Series.

Board of Trustees
A mutual fund is governed by a board of trustees which has oversight
responsibility for the management of the fund's business affairs. Trustees
establish procedures and oversee and review the performance of the investment
manager, the distributor and others that perform services for the series.
Generally, at least 40% of the board of trustees must be independent of the
fund's investment manager and distributor. However, the Series relies on certain
exemptive rules adopted by the Securities and Exchange Commission (SEC) that
require its Board of Trustees to be comprised of a majority of such independent
Trustees. These independent fund Trustees, in particular, are advocates for
shareholder interests.

Investment manager
Delaware Management Company, 2005 Market Street, Philadelphia, PA 19103-7094

Portfolio managers
Portfolio managers are employed by the investment manager to make investment
decisions for individual portfolios on a day-to-day basis. See "Portfolio
manager" for information about the portfolio manager of the Series.

Distributor
Delaware Distributors, L.P., 2005 Market Street, Philadelphia, PA 19103-7094

Shares of the Series are only sold to separate accounts of insurance companies
used in connection with variable annuity or variable life products.

Financial intermediary wholesaler
Lincoln Financial Distributors, Inc. ("LFD"), 2001 Market Street, Philadelphia,
PA 19103-7055

Custodian
JPMorgan Chase Bank, 4 Chase Metrotech Center, Brooklyn, NY 11245

Important Information about the Series

We determine the NAV per share for each class of the Series at the close of
regular trading on the NYSE on each Business Day. The NAV per share for each
class of the Series is calculated by subtracting the liabilities for each class
from its total net assets and dividing the resulting number by the number of
shares outstanding for that class. We generally price securities and other
assets for which market quotations are readily available at their market value.
We price fixed-income securities on the basis of valuations provided to us by an
independent pricing service that uses methods approved by the Board of Trustees.
We price any fixed-income securities that have a maturity of less than 60 days
at amortized cost, which approximates market value. For all other securities, we
use methods approved by the Board of Trustees that are designed to price
securities at their fair market value (see "Fair valuation", below).

Fair valuation

When the Series uses fair value pricing, it may take into account any factors it
deems appropriate. The Series may determine fair value based upon developments
related to a specific security, current valuations of foreign stock indices (as
reflected in U.S. futures markets) and/or U.S. sector or broader stock market
indices. The price of securities used by the Series to calculate its NAV may
differ from quoted or published prices for the same securities. Fair value
pricing may involve subjective judgments and it is possible that the fair value
determined for a security is materially different than the value that could be
realized upon the sale of that security.

Series incurs increased brokerage costs and realization of taxable capital gains
without attaining any investment advantage.

Dividends, distributions and taxes
The Series has elected, or intends to elect, to be treated as a regulated
investment company under Subchapter M of the Internal Revenue Code. As a
regulated investment company, the Series generally pays no federal income tax on
the income and gains it distributes to you. Dividends, if any, are declared
daily and paid monthly. Short-term capital gains distributions, if any, may be
paid with the dividend; otherwise, any distributions from net realized
securities profits normally will be distributed following the close of the
fiscal year. We automatically reinvest all dividends and any capital gains.

This discussion of "Dividends, distributions and taxes" is not intended or
written to be used as tax advice. Additional information on tax matters is
included in the SAI.

Certain management considerations

Financial highlights

The financial highlights table is intended to help you understand the financial
performance of the Service Class of the Series. The total returns in the table
represent the rate that an investor would have earned or lost on an investment
in the Series' Service Class (assuming reinvestment of all dividends and
distributions). All "per share" information reflects financial results for a
single Series share. If the fees at the separate account level or contract level
were included, total return would be lower. This information has been audited by
Ernst & Young LLP, whose report, along with the Series' financial statements, is
included in the Series' annual report, which is available upon request by
calling 800 523-1918.

Delaware VIP Capital Reserves Series Service Class
Year Ended
12/31
2005 2004 2003 2002 2001

Net asset value, beginning of period $9.900 $10.000 $9.970 $9.760 $9.530

Income (loss) from investment
operations:
Net investment income(1) 0.331 0.333 0.308 0.406 0.519
Net realized and unrealized gain (loss)
on investments (0.200) (0.017) 0.105 0.243 0.249
------- ------- ------- ------- -------
Total from investment operations 0.131 0.316 0.413 0.649 0.768
------- ------- ------- ------- -------

Less dividends and distributions from:
Net investment income (0.381) (0.416) (0.383) (0.439) (0.538)
------- ------- ------- ------- -------
Total dividends and distributions (0.381) (0.416) (0.383) (0.439) (0.538)
------- ------- ------- ------- -------

Net asset value, end of period $9.650 $9.900 $10.000 $9.970 $9.760
======= ======= ======= ======= =======

Total return(2) 1.35% 3.23% 4.21% 6.84% 8.23%

Ratios and supplemental data:
Net assets, end of period (000 omitted) $4,493 $7 $6 $6 $6
Ratio of expenses to average net assets 0.96% 0.87% 0.85% 0.77% 0.73%
Ratio of expenses to average net assets
prior to expense limitation and
expenses paid indirectly 1.01% 0.92% 0.88% 0.77% 0.73%
Ratio of net investment income to
average net assets 3.36% 3.32% 3.14% 4.06% 5.31%
Ratio of net investment income to
average net assets prior to
expense limitation and expenses
paid indirectly 3.31% 3.27% 3.11% 4.06% 5.31%
Portfolio turnover 259% 252% 438% 427% 290%

(1) The average shares outstanding method has been applied for per share
information.

(2) Total investment return is based on the change in net asset value of a
share during the period and assumes reinvestment of dividends and
distributions at net asset value. Total investment return reflects waivers
and payment of fees by the distributor, as applicable. Performance would
have been lower had the waiver not been in effect.

Delaware VIP Capital Reserves Services

Investment Company Act File No. 811-05162

Delaware Series Symbol
CUSIP
Delaware VIP Capital Reserves Series
(Service Class) 246493571

DELAWARE VIP TRUST
Delaware VIP Cash Reserve Series

Standard Class

2005 Market Street, Philadelphia, PA 19103-7094

Prospectus

April 30, 2006

This Prospectus offers the Delaware VIP Cash Reserve Series. The Series is in
effect a separate fund issuing its own shares. The shares of the Series are sold
only to separate accounts of life insurance companies (life companies). The
separate accounts are used in conjunction with variable annuity contracts and
variable life insurance policies (variable contracts). The separate accounts
invest in shares of the Series in accordance with allocation instructions
received from contract owners. The investment objective and principal policies
of the Series are described in this Prospectus.

The U.S. Securities and Exchange Commission has not approved or disapproved
these securities or passed upon the accuracy of this Prospectus. Any
representation to the contrary is a criminal offense.

An investment in the Series is not a deposit of any bank and is not insured or
guaranteed by the Federal Deposit Insurance Corporation ("FDIC") or any other
government agency. An investment in a fund involves investment risks, including
possible loss of principal.

Although the Series seeks to preserve the value of your investment at $1.00 per
share, it is possible to lose money by investing in the Series.

Table of contents

Overview page 3
Delaware VIP Cash Reserve Series 3

How we manage the Series page 6
Our investment strategies 6
The securities we typically invest in 7
The risks of investing in the Series 8
Disclosure of portfolio holdings information 8
Investment manager 8
Who's who? 9

Important information about the Series page 10
Share classes 10
Salesperson and life company compensation 10
Purchase and redemption of shares 10
Valuation of shares 10
Dividends, distributions and taxes 11
Certain management considerations 11

Financial highlights page 12

Overview: Delaware VIP Cash Reserve Series

What is the Series' goal?
Delaware VIP Cash Reserve Series seeks to provide maximum current income, while
preserving principal and maintaining liquidity, by investing its assets in a
diversified portfolio of money market securities and managing the portfolio to
maintain a constant net asset value of $1 per share. Although the Series will
strive to achieve its goal, there is no assurance that it will.

What are the Series' main investment strategies? We invest primarily in
short-term money market securities, including securities issued or guaranteed by
the U.S. government, its agencies or instrumentalities and short-term debt
instruments of banks and corporations.

Delaware VIP Cash Reserve Series is a money market fund. A money market fund is
designed for stability of principal; consequently, the level of income
fluctuates.

We maintain an average maturity of 90 days or less. Also, we do not purchase any
instruments with an effective remaining maturity of more than 397 days
(approximately 13 months). We intend to hold our investments until maturity, but
we may sell them prior to maturity in order to shorten or lengthen the average
maturity of the bonds in the portfolio, increase the yield, maintain the quality
of the portfolio or maintain a stable share value.

What are the main risks of investing in the Series? Delaware VIP Cash Reserve
Series will be affected primarily by declines in interest rates that would
reduce the income provided by the Series. For a more complete discussion of
risk, please turn to "The risks of investing in the Series."

An investment in the Series is not a deposit of any bank and is not insured or
guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
government agency. Although the Series seeks to preserve the value of your
investment at $1 per share, it is possible to lose money by investing in the
Series.

Who should invest in the Series

o Investors with short-term financial goals.
o Investors who do not want an investment whose value may fluctuate over the
short term.
o Investors who are looking for a short-term, relatively safe investment to
complement more long-term investments in their portfolio.

Who should not invest in the Series

o Investors with long-term financial goals.
o Investors looking for relatively high income flow.

How has the Series performed?

This bar chart and table can help you evaluate the risks of investing in the
Delaware VIP Cash Reserve Series Standard Class. We show how the annual returns
for the Series have varied over the past ten calendar years as well as the
average annual return for the one-year, five-year and ten-year periods. The
Series' past performance is not necessarily an indication of how it will perform
in the future. Moreover, the performance presented does not reflect any separate
account fees, which would reduce the returns.

[GRAPHIC OMITTED: BAR CHART SHOWING YEAR BY YEAR TOTAL RETURN (Delaware VIP Cash
Reserve Series Standard Class)]

Year-by-year total return (Delaware VIP Cash Reserve Series Standard Class)

------ ------ ------ ------ ------ ------ ------ ------ ------ ------
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005
------ ------ ------ ------ ------ ------ ------ ------ ------ ------
4.93% 5.10% 5.08% 4.81% 6.01% 3.90% 1.26% 0.61% 0.87% 2.69%
------ ------ ------ ------ ------ ------ ------ ------ ------ ------

During the periods illustrated in this bar chart, the Class' highest quarterly
return was 1.55% for the quarter ended December 31, 2000 and its lowest
quarterly return was 0.11% for the quarter ended December 31, 2003.

Average annual returns for periods ending 12/31/05

---------------------------- ----------------------------
Delaware VIP
Cash Reserve Series
Standard Class
---------------------------- ----------------------------
1 year 2.69%
---------------------------- ----------------------------
5 years 1.86%
---------------------------- ----------------------------
10 years 3.51%
---------------------------- ----------------------------

What are the Series' fees and expenses?
These tables describe the fees and expenses that you may pay if you buy and hold
shares of the Series. These tables and example do not include any fees or sales
charges imposed by your variable insurance contract for which the Series is an
investment option. If they were included, your cost would be higher. Investors
should consult the contract prospectus or disclosure document for more
information.

---------------------------------------- ---------------------------------- ------------
You do not pay sales charges directly Maximum sales charge (load) none
from your investments when you buy or imposed on purchases as a
sell shares of the Standard Class. percentage of offering price
---------------------------------------- ---------------------------------- ------------
Maximum contingent deferred none
sales charge (load) as a
percentage of original purchase
price or redemption price,
whichever is lower
---------------------------------------- ---------------------------------- ------------
Maximum sales charge (load)
imposed on reinvested dividends none
---------------------------------------- ---------------------------------- ------------
Redemption fees none
---------------------------------------- ---------------------------------- ------------
Exchange fees none
---------------------------------------- ---------------------------------- ------------

---------------------------------------- ---------------------------------- ------------
Annual Series operating expenses are Management fees 0.45%
deducted from the Series' assets.
---------------------------------------- ---------------------------------- ------------
Distribution and service (12b-1) none
fees
---------------------------------------- ---------------------------------- ------------
Other expenses(2) 0.16%
---------------------------------------- ---------------------------------- ------------
Total annual fund operating 0.61%
expenses
---------------------------------------- ---------------------------------- ------------
Fee waivers and payments(1) ----
---------------------------------------- ---------------------------------- ------------
Net expenses 0.61%
---------------------------------------- ---------------------------------- ------------

---------------------------------------- ---------------------------------- ------------
This example is intended to help you 1 year $62
compare the cost of investing in the ---------------------------------- ------------
Series to the cost of investing in 3 years $195
other mutual funds with similar ---------------------------------- ------------
investment objectives. We show the 5 years $340
cumulative amount of Series expenses ---------------------------------- ------------
on a hypothetical investment of 10 years $762
$10,000 with an annual 5% return over ---------------------------------- ------------
the time shown.(2) This example
reflects the net operating expenses
with expense waivers for the one-year
period and the total operating
expenses without expense waivers for
years two through ten. Although your
actual costs may be higher or lower,
based on these assumptions your costs
would be those shown here.
---------------------------------------- ---------------------------------- ------------

(2) The Series' actual rate of return may be greater or less than the
hypothetical 5% return we use here.

How we manage the Series

Our investment strategies
We invest primarily in short-term money market securities, including securities
issued or guaranteed by the U.S. government, its agencies or instrumentalities
and short-term debt instruments of banks and corporations.

We maintain an average maturity of 90 days or less. Also, we do not purchase any
securities with an effective remaining maturity of more than 397 days
(approximately 13 months). We may shorten or lengthen the Series' average
maturity based on our analysis of interest rate trends.

We intend to hold our investments until maturity, but we may sell them prior to
maturity in order to shorten or lengthen the average maturity of the bonds in
the portfolio, increase the yield, maintain the quality of the portfolio or
maintain a stable share value.

Delaware VIP Cash Reserve Series uses the same investment strategy as Delaware
Cash Reserve Fund, a separate fund in the Delaware Investments family, although
performance may differ depending on such factors as the size of the funds and
the timing of investments and redemptions.

The securities we typically invest in

--------------------------------------- ----------------------------------
Securities How we use them
Delaware VIP Cash Reserve Series
--------------------------------------- ----------------------------------
Direct U.S. Treasury obligations We may invest without limit in
include Treasury bills, notes and U.S. Treasury securities. We
bonds of varying maturities. U.S. would typically invest in
Treasury securities are backed by the Treasury bills or longer term
"full faith and credit" of the United Treasury securities whose
States. remaining effective maturity
is less than 13 months.
--------------------------------------- ----------------------------------
Certificates of deposit and We may invest in certificates of
obligations of both U.S. and foreign deposit from banks that have
banks: Debt instruments issued by a assets of at least one billion
bank that pay interest. dollars.

Investments in foreign banks and
overseas branches of U.S. banks may be
subject to less stringent regulations
and different risks than U.S. domestic
banks.
---------------------------------------- ----------------------------------
Corporate commercial paper and other We may invest in commercial
corporate obligations: Short-term debt paper and other corporate
obligations with maturities ranging obligations rated in one of the
from 2 to 270 days, issued by two highest ratings categories
companies. by at least two nationally
recognized statistical ratings
organizations (NRSROs). The
purchase of a security that does
not possess those ratings must
be approved by the Board of
Trustees in accordance with the
maturity, quality and
diversification conditions with
which taxable money markets must
comply. The Series will not
invest more than 5% of its total
assets in securities rated in
the second highest category by
an NRSRO.
---------------------------------------- ----------------------------------
Repurchase agreements: An agreement Typically, we use repurchase
between a buyer, such as the Series, agreements as a short-term
and a seller of securities in which investment for the Series' cash
the seller agrees to buy the position. In order to enter into
securities back within a specified these repurchase agreements, the
time at the same price the buyer paid Series must have collateral of
for them, plus an amount equal to an 102% of the repurchase price.
agreed upon interest rate. Repurchase The Series will only enter into
agreements are often viewed as repurchase agreements in which
equivalent to cash. the collateral is U.S.
government securities.

---------------------------------------- ----------------------------------

The Series may also invest in asset-backed securities. Please see the Statement
of Additional Information (SAI) for additional descriptions of these securities
as well as those listed in the table.

The risks of investing in the Series
Investing in any mutual fund involves risk, including the risk that you may
receive little or no return on your investment, and the risk that you may lose
part or all of the money you invest. Before you invest in the Series, you should
carefully evaluate the risks. The table below describes the principal risks you
assume when investing in the Delaware VIP Cash Reserve Series. Please see the
SAI for further discussion of these risks and other risks not discussed here.

---------------------------------------- ----------------------------------
Risks How we strive to manage them
Delaware VIP Cash Reserve Series
---------------------------------------- ----------------------------------
Interest rate risk is the risk that Because the Series invests in
securities, particularly bonds with short-term securities, the value
longer maturities, will decrease in of its investments is generally
value if interest rates rise. not affected by interest rate
risk. However, a decline in
interest rates would adversely
affect the level of income
provided by the Series.
---------------------------------------- ----------------------------------
Credit risk is the risk that there is The Series holds only high
the possibility that a bond's issuer quality short-term securities.
(or an entity that insures the bond) Therefore it is generally not
will be unable to make timely payments subject to significant credit
of interest and principal. risk.

---------------------------------------- ----------------------------------
Inflation risk is the risk that the The Series is designed for
return from your investments will be short-term investment goals and
less than the increase in the cost of therefore may not outpace
living due to inflation, thus inflation over longer time
preventing you from reaching your periods. For this reason, the
financial goals. Series is not recommended as a
primary investment for people
with long-term goals.
---------------------------------------- ----------------------------------

Disclosure of portfolio holdings information
A description of the Series' policies and procedures with respect to the
disclosure of the Series' portfolio securities is available in the Series' SAI.

Investment manager
The Series is managed by Delaware Management Company, a series of Delaware
Management Business Trust, which is an indirect wholly owned subsidiary of
Delaware Management Holdings, Inc. Delaware Management Company makes investment
decisions for the Series, manages the Series' business affairs and provides
daily administrative services. For these services, the manager was paid 0.45% of
average daily net assets during the last fiscal year.

Who's who?

The following describes the various organizations involved in managing,
administering, and servicing the Series.

Board of Trustees
A mutual fund is governed by a board of trustees which has oversight
responsibility for the management of the fund's business affairs. Trustees
establish procedures and oversee and review the performance of the investment
manager, the distributor and others that perform services for the series.
Generally, at least 40% of the board of trustees must be independent of the
fund's investment manager and distributor. However, the Series relies on certain
exemptive rules adopted by the Securities and Exchange Commission (SEC) that
require its Board of Trustees to be comprised of a majority of such independent
Trustees. These independent fund Trustees, in particular, are advocates for
shareholder interests.

Investment manager
Delaware Management Company, 2005 Market Street, Philadelphia, PA 19103-7094

Distributor
Delaware Distributors, L.P., 2005 Market Street, Philadelphia, PA 19103-7094

Shares of the Series are only sold to separate accounts of insurance companies
used in connection with variable annuity or variable life products.

Financial intermediary wholesaler
Lincoln Financial Distributors, Inc. ("LFD"), 2001 Market Street, Philadelphia,
PA 19103-7055

Custodian
JPMorgan Chase Bank, 4 Chase Metrotech Center, Brooklyn, NY 11245

Important Information about the Series

Purchase and redemption of shares
Shares are sold only to separate accounts of life companies at net asset value
(see "Valuation of shares"). Redemptions will be effected by the separate
accounts at the net asset value next determined after receipt of the order to
meet obligations under the variable contracts. The Series is managed to maintain
a constant $1 per share net asset value although there is no assurance that this
objective can be achieved. Contract owners do not deal directly with the Series
with respect to the acquisition or redemption of Series shares.

Dividends, distributions and taxes
The Series has elected, or intends to elect, to be treated as a regulated
investment company under Subchapter M of the Internal Revenue Code. As a
regulated investment company, the Series generally pays no federal income tax on
the income and gains it distributes to you. Dividends, if any, are declared
daily and paid monthly. Short-term capital gains distributions, if any, may be
paid with the dividend; otherwise, any distributions from net realized
securities profits normally will be distributed following the close of the
fiscal year. We automatically reinvest all dividends and any capital gains.

This discussion of "Dividends, distributions and taxes" is not intended or
written to be used as tax advice. Additional information on tax matters is
included in the SAI.

Certain management considerations

Financial highlights

Standard Class
Year Ended
Delaware VIP Cash Reserve Series 12/31
2005 2004(1) 2003 2002(2) 2001(2)

Net asset value, beginning of period $1.000 $1.000 $1.000 $1.000 $1.000

Income from investment operations:
Net investment income 0.027 0.009 0.006 0.013 0.038
------ ------ ------ ------ ------
Total from investment operations 0.027 0.009 0.006 0.013 0.038
------ ------ ------ ------ ------
Less dividends and distributions from:
Net investment income (0.027) (0.009) (0.006) (0.013) (0.038)
------ ------ ------ ------ ------
Total dividends and distributions (0.027) (0.009) (0.006) (0.013) (0.038)
------ ------ ------ ------ ------
Net asset value, end of period $1.000 $1.000 $1.000 $1.000 $1.000
====== ====== ====== ====== ======
Total return(3) 2.69% 0.87% 0.61% 1.26% 3.90%

Ratios and supplemental data:
Net assets, end of period (000 omitted) $23,430 $29,831 $42,748 $49,809 $43,421
Ratio of expenses to average net assets 0.61% 0.55% 0.58% 0.59% 0.60%
Ratio of net investment income to average
net assets 2.62% 0.82% 0.60% 1.26% 3.78%

(1) On June 10, 2004, Delaware Management Company voluntarily made a capital
contribution of $0.001 per share to the Series in order to eliminate the
potential deviation in the Series' net asset value of $1.00 per share
caused by accumulated net realized losses. This contribution had no impact
on the Series' total return.

(2) Effective December 20, 2002, the Series declared a 10 for 1 share split.
Per share data for periods prior to this date have been restated to reflect
this share split.

(3) Total investment return is based on the change in net asset value of a
share during the period and assumes reinvestment of dividends and
distributions at net asset value.

Delaware VIP Cash Reserve Series

Additional information about the Series' investments is available in the Series'
annual and semiannual reports to shareholders. You can find more detailed
information about the Series in the current Statement of Additional Information
(SAI), which we have filed electronically with the Securities and Exchange
Commission (SEC) and which is legally a part of this Prospectus (it is
incorporated by reference). If you want a free copy of the SAI, the annual or
semiannual report, or if you have any questions about investing in the Series,
you can write to us at 2005 Market Street, Philadelphia, PA 19103-7094, or call
toll-free 800 523-1918.

Investment Company Act File No. 811-05162

Delaware Series Symbol
CUSIP
Delaware VIP Cash Reserve Series
(Standard Class) 246493407

DELAWARE VIP TRUST
Delaware VIP Cash Reserve Series

Service Class

2005 Market Street, Philadelphia, PA 19103-7094

Prospectus

April 30, 2006

The U.S. Securities and Exchange Commission has not approved or disapproved
these securities or passed upon the accuracy of this Prospectus. Any
representation to the contrary is a criminal offense.

Although the Series seeks to preserve the value of your investment at $1.00 per
share, it is possible to lose money by investing in the Series.

Table of contents
Overview page 3
Delaware VIP Cash Reserve Series 3

Financial highlights page 12

Overview: Delaware VIP Cash Reserve Series

Delaware VIP Cash Reserve Series is a money market fund. A money market fund is
designed for stability of principal; consequently, the level of income
fluctuates.

What are the main risks of investing in the Series? Delaware VIP Cash Reserve
Series will be affected primarily by declines in interest rates that would
reduce the income provided by the Series.

For a more complete discussion of risk, please turn to "The risks of investing
in the Series."

Who should invest in the Series

Who should not invest in the Series

o Investors with long-term financial goals.
o Investors looking for relatively high income flow.

How has the Series performed?

This bar chart and table can help you evaluate the risks of investing in the
Delaware VIP Cash Reserve Series Service Class. We show how the annual returns
for the Series have varied over the past five calendar years as well as the
average annual return for the one-year and five-year periods and since
inception. The Series' past performance is not necessarily an indication of how
it will perform in the future. Moreover, the performance presented does not
reflect any separate account fees, which would reduce the returns.

[GRAPHIC OMITTED: BAR CHART SHOWING YEAR BY YEAR TOTAL RETURN (Delaware VIP Cash
Reserve Series Service Class)]

Year-by-year total return (Delaware VIP Cash Reserve Series Service Class)

-------------- ------------ ------------ ----------- ------------
2001 2002 2003 2004 2005
-------------- ------------ ------------ ----------- ------------
3.75% 1.13% 0.40% 0.60% 2.43%
-------------- ------------ ------------ ----------- ------------

During the period illustrated in this bar chart, the Class' highest quarterly
return was 1.34% for the quarter ended March 31, 2001 and its lowest quarterly
return was 0.04% for the quarter ended December 31, 2003.

Average annual returns for periods ending 12/31/05

---------------------------- ----------------------------
Delaware VIP
Cash Reserve Series
Service Class
---------------------------- ----------------------------
1 year 2.43%
---------------------------- ----------------------------
5 years 1.65%
---------------------------- ----------------------------
Lifetime
(Inception 5/1/00) 2.16%
---------------------------- ----------------------------

What are the Series' fees and expenses?
These tables describe the fees and expenses that you may pay if you buy and hold
shares of the Series. These tables and example do not include any fees or sales
charges imposed by your variable insurance contract for which the Series is an
investment option. If they were included, your cost would be higher. Investors
should consult the contract prospectus or disclosure document for more
information.

----------------------------------------- ---------------------------------- ----------------
Sales charges are fees paid directly Maximum sales charge (load) none
from your investments when you buy or imposed on purchases as a
sell shares of the Service Class. percentage of offering price
----------------------------------------- ---------------------------------- ----------------
Maximum contingent deferred none
sales charge (load) as a
percentage of original purchase
price or redemption price,
whichever is lower
----------------------------------------- ---------------------------------- ----------------
Maximum sales charge (load)
imposed on reinvested dividends none
----------------------------------------- ---------------------------------- ----------------
Redemption fees none
----------------------------------------- ---------------------------------- ----------------
Exchange fees none
----------------------------------------- ---------------------------------- ----------------

----------------------------------------- ---------------------------------- ----------------
Annual Series operating expenses are Management fees 0.45%
deducted from the Series' assets.
----------------------------------------- ---------------------------------- ----------------
Distribution and service (12b-1) 0.30%
fees(1)
----------------------------------------- ---------------------------------- ----------------
Other expenses 0.16%
----------------------------------------- ---------------------------------- ----------------
Total annual fund operating 0.91%
expenses
----------------------------------------- ---------------------------------- ----------------
Fee waivers and payments(2) ----
----------------------------------------- ---------------------------------- ----------------
Net expenses 0.86%
----------------------------------------- ---------------------------------- ----------------

----------------------------------------- ---------------------------------- ----------------
This example is intended to help you 1 year $88
compare the cost of investing in the ---------------------------------- ----------------
Series to the cost of investing in 3 years $285
other mutual funds with similar ---------------------------------- ----------------
investment objectives. We show the 5 years $499
cumulative amount of Series expenses on ---------------------------------- ----------------
a hypothetical investment of $10,000 10 years $1,115
with an annual 5% return over the time ---------------------------------- ----------------
shown.(3) This example reflects the net
operating expenses with expense waivers
for the one-year period and the total
operating expenses without expense
waivers for years two through ten.
Although your actual costs may be
higher or lower, based on these
assumptions your costs would be those
shown here.
----------------------------------------- ---------------------------------- ----------------

(3) The Series' actual rate of return may be greater or less than the
hypothetical 5% return we use here.

How we manage the Series

The securities we typically invest in

---------------------------------------- ----------------------------------
Securities How we use them
Delaware VIP Cash Reserve Series
---------------------------------------- ----------------------------------
Direct U.S. Treasury obligations We may invest without limit in
include Treasury bills, notes and U.S. Treasury securities. We
bonds of varying maturities. U.S. would typically invest in
Treasury securities are backed by the Treasury bills or longer term
"full faith and credit" of the United Treasury securities whose
States. remaining effective maturity is
less than 13 months.
---------------------------------------- ----------------------------------
Certificates of deposit and We may invest in certificates of
obligations of both U.S. and foreign deposit from banks that have
banks: Debt instruments issued by a assets of at least one billion
bank that pay interest. dollars.

The Series may also invest in asset-backed securities. Please see the Statement
of Additional Information (SAI) for additional descriptions of these securities
as well as those listed in the table.

The risks of investing in the Series
Investing in any mutual fund involves risk, including the risk that you may
receive little or no return on your investment, and the risk that you may lose
part or all of the money you invest. Before you invest in the Series, you should
carefully evaluate the risks. The table below describes the principal risks you
assume when investing in the Delaware VIP Cash Reserve Series. Please see the
SAI for further discussion of these risks and other risks not discussed here.

We limit our investments to
those which the Board of
Trustees has determined to
involve minimal credit risks and
to be of high quality and which
will otherwise meet the
maturity, quality and
diversification conditions with
which taxable money market funds
must comply.
---------------------------------------- ----------------------------------
Inflation risk is the risk that the The Series is designed for
return from your investments will be short-term investment goals and
less than the increase in the cost of therefore may not outpace
living due to inflation, thus inflation over longer time
preventing you from reaching your periods. For this reason, the
financial goals. Series is not recommended as a
primary investment for people
with long-term goals.
---------------------------------------- ----------------------------------

Disclosure of portfolio holdings information
A description of the Series' policies and procedures with respect to the
disclosure of the Series' portfolio securities is available in the Series' SAI.

Investment manager
The Series is managed by Delaware Management Company, a series of Delaware
Management Business Trust, which is an indirect wholly owned subsidiary of
Delaware Management Holdings, Inc. Delaware Management Company makes investment
decisions for the Series, manages the Series' business affairs and provides
daily administrative services. For these services, the manager was paid 0.45% of
average daily net assets during the last fiscal year.

Who's who?

The following describes the various organizations involved in managing,
administering, and servicing the Series.

Board of Trustees
A mutual fund is governed by a board of trustees which has oversight
responsibility for the management of the fund's business affairs. Trustees
establish procedures and oversee and review the performance of the investment
manager, the distributor and others that perform services for the series.
Generally, at least 40% of the board of trustees must be independent of the
fund's investment manager and distributor. However, the Series relies on certain
exemptive rules adopted by the Securities and Exchange Commission (SEC) that
require its Board of Trustees to be comprised of a majority of such independent
Trustees. These independent fund Trustees, in particular, are advocates for
shareholder interests.

Investment manager
Delaware Management Company, 2005 Market Street, Philadelphia, PA 19103-7094

An investment manager is a company responsible for selecting portfolio
investments consistent with objectives and policies stated in the mutual fund's
Prospectus. The investment manager places portfolio orders with broker/dealers
and is responsible for obtaining the best overall execution of those orders. A
written contract between a mutual fund and its investment manager specifies the
services the manager performs. Most management contracts provide for the manager
to receive an annual fee based on a percentage of the fund's average daily net
assets. The manager is subject to numerous legal restrictions, especially
regarding transactions between itself and the funds it advises.

Distributor
Delaware Distributors, L.P., 2005 Market Street, Philadelphia, PA 19103-7094

Shares of the Series are only sold to separate accounts of insurance companies
used in connection with variable annuity or variable life products.

Financial intermediary wholesaler
Lincoln Financial Distributors, Inc. ("LFD"), 2001 Market Street, Philadelphia,
PA 19103-7055

Custodian
JPMorgan Chase Bank, 4 Chase Metrotech Center, Brooklyn, NY 11245

Important Information about the Series

Salesperson compensation and life company compensation
Your variable contract salesperson who sells your variable contract which
invests in shares of the Series may be eligible to receive the following amounts
as compensation for your investment in the Series. These amounts are paid by the
Distributor to the life companies with whom your variable contract salesperson
is associated.

Purchase and redemption of shares
Shares are sold only to separate accounts of life companies at net asset value
(see "Valuation of shares"). Redemptions will be effected by the separate
accounts at the net asset value next determined after receipt of the order to
meet obligations under the variable contracts. The Series is managed to maintain
a constant $1 per share net asset value although there is no assurance that this
objective can be achieved. Contract owners do not deal directly with the Series
with respect to the acquisition or redemption of Series shares.

Dividends, distributions and taxes
The Series has elected, or intends to elect, to be treated as a regulated
investment company under Subchapter M of the Internal Revenue Code. As a
regulated investment company, the Series generally pays no federal income tax on
the income and gains it distributes to you. Dividends, if any, are declared
daily and paid monthly. Short-term capital gains distributions, if any, may be
paid with the dividend; otherwise, any distributions from net realized
securities profits normally will be distributed following the close of the
fiscal year. We automatically reinvest all dividends and any capital gains.

This discussion of "Dividends, distributions and taxes" is not intended or
written to be used as tax advice. Additional information on tax matters is
included in the SAI.

Certain management considerations

Financial highlights

The financial highlights table is intended to help you understand the financial
performance of the Service Class of the Series. The total returns in the table
represent the rate that an investor would have earned or lost on an investment
in the Series' Service Class (assuming reinvestment of all dividends and
distributions). All "per share" information reflects financial results for a
single Series share. Separate account expenses are not reflected. If the fees at
the separate account level or contract level were included, total return would
be lower. This information has been audited by Ernst & Young LLP, whose report,
along with the Series' financial statements, is included in the Series' annual
report, which is available upon request by calling 800 523-1918.

Service Class
Year Ended
Delaware VIP Cash Reserve Series 12/31
2005 2004(1) 2003 2002(2) 2001(2)

Net asset value, beginning of period $1.000 $1.000 $1.000 $1.000 $1.000

Income from investment operations:
Net investment income 0.024 0.006 0.004 0.011 0.037
-------- -------- -------- -------- --------

Total from investment operations 0.024 0.006 0.004 0.011 0.037
-------- -------- -------- -------- --------

Less dividends and distributions
from:
Net investment income (0.024) (0.006) (0.004) (0.011) (0.037)
-------- -------- -------- -------- --------
Total dividends and distributions (0.024) (0.006) (0.004) (0.011) (0.037)
-------- -------- -------- -------- --------
Net asset value, end of period $1.000 $1.000 $1.000 $1.000 $1.000
======== ======== ======== ======== ========
Total return(3) 2.43% 0.60% 0.40% 1.13% 3.75%

Ratios and supplemental data:
Net assets, end of period (000
omitted) $6 $5 $5 $5 $5
Ratio of expenses to average net
assets 0.86% 0.80% 0.80% 0.74% 0.75%
Ratio of expenses to average net
assets prior to expense
limitation and expenses
paid indirectly 0.91% 0.85% 0.83% 0.74% 0.75%

Ratio of net investment income to
average net assets 2.37% 0.57% 0.38% 1.11% 3.63%
Ratio of net investment income to
average net assets prior to
expense limitation and
expenses paid indirectly 2.32% 0.52% 0.35% 1.11% 3.63%

(2) Effective December 20, 2002, the Series declared a 10 for 1 share split.
Per share data for periods prior to this date have been restated to reflect
this share split.

(3) Total investment return is based on the change in net asset value of a
share during the period and assumes reinvestment of dividends and
distributions at net asset value. Total investment return reflects waivers
and payment of fees by the distributor, as applicable. Performance would
have been lower had the waiver not been in effect.

Delaware VIP Cash Reserve Series

Investment Company Act File No. 811-05162

Delaware Series Symbol
CUSIP
Delaware VIP Cash Reserve Series
(Service Class) 246493308

DELAWARE VIP TRUST
Delaware VIP Diversified Income Series

Standard Class

2005 Market Street, Philadelphia, PA 19103-7094

Prospectus

April 30, 2006

This Prospectus offers the Delaware VIP Diversified Income Series. The Series is
in effect a separate fund issuing its own shares. The shares of the Series are
sold only to separate accounts of life insurance companies (life companies). The
separate accounts are used in conjunction with variable annuity contracts and
variable life insurance policies (variable contracts). The separate accounts
invest in shares of the Series in accordance with allocation instructions
received from contract owners. The investment objective and principal policies
of the Series are described in this Prospectus.

The U.S. Securities and Exchange Commission has not approved or disapproved
these securities or passed upon the accuracy of this Prospectus. Any
representation to the contrary is a criminal offense.

Table of contents
Overview page 3
Delaware VIP Diversified Income Series 3

How we manage the Series page 6
Our investment strategies 6
The securities we typically invest in 7
The risks of investing in the Series 12
Disclosure of portfolio holdings information 15
Investment manager 15
Portfolio managers 15
Who's who? 17

Important information about the Series page 18
Share classes 18
Salesperson and life company compensation 18
Purchase and redemption of shares 18
Valuation of shares 18
Fair valuation 19
Frequent trading of Series shares 19
Dividends, distributions and taxes 20
Certain management considerations 21

Financial highlights page 22

Overview: Delaware VIP Diversified Income Series

What is the Series' goal?
Delaware VIP Diversified Income Series seeks maximum long-term total return
consistent with reasonable risk. Although the Series will strive to achieve its
goal, there is no assurance that it will.

What are the Series' main investment strategies? We invest primarily in bonds
allocated among three sectors of the fixed-income market. These sectors include:

o the High-Yield Sector, consisting of high-yielding, higher risk,
lower-rated, or unrated fixed-income securities that we believe to be
similarly rated, issued by U.S. companies. (These involve higher risks and
are commonly known as junk bonds.)

o the Investment Grade Sector, consisting of investment grade debt
obligations of U.S. companies and those issued or guaranteed by the U.S.
government, its agencies or instrumentalities, or by U.S. companies.

o the International Sector, consisting of obligations of foreign governments,
their agencies and instrumentalities, and other fixed-income securities of
issuers in foreign countries and denominated in foreign currencies in both
developed and emerging markets. (An issuer is considered to be from the
country where it is located, where the majority of its assets are located,
or where it generates the majority of its operating income.)

We determine the amount of the Series' assets that will be allocated to each of
the three sectors based on our analysis of economic and market conditions, and
our assessment of the returns and potential for appreciation from each sector.
We will periodically reallocate the Series' assets. The portfolio may have
portfolio turnover in excess of 100%.

What are the main risks of investing in the Series? Investing in any mutual fund
involves risk, including the risk that you may lose part or all of the money you
invest. Over time, the value of your investment in the Series will increase and
decrease according to changes in the value of the securities in the Series'
portfolio. This Series will be affected primarily by declines in bond prices,
which can be caused by an adverse change in interest rates, adverse economic
conditions or poor performance from specific industries or bond issuers. The
Series is also subject to the special risks associated with high-yield bond
investing and with foreign investing. In particular, high-yield bonds are rated
below investment grade and are subject to a higher risk that issuers will be
unable to make interest or principal payments, particularly under adverse
economic conditions. Foreign investing involves risks related to currency
valuations, political instability, economic instability or lax accounting and
regulatory standards. These risk are greater for investments in emerging
markets. The Series may have a portfolio turnover rate in excess of 100%, which
can result in increased transaction costs for investors and may affect the
Series' performance.

For a more complete discussion of risk, please turn to "The risks of investing
in the Series."

An investment in the Series is not a deposit of any bank and is not insured or
guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
government agency.

Who should invest in the Series

o Investors with long-term financial goals.
o Investors looking for an investment that offers professional allocation
among key types of fixed-income securities.
o Investors looking for a fixed-income investment that offers potential for
high current income and total return.

Who should not invest in the Series

o Investors with short-term financial goals.
o Investors who are unwilling to own an investment whose value may fluctuate,
sometimes significantly, over the short term.

How has the Series performed?

This bar chart and table can help you evaluate the risks of investing in the
Delaware VIP Diversified Income Series Standard Class. We show how the annual
returns for the Series have varied over the past two calendar years as well as
the average annual return for the one-year period and since inception. The
Series' past performance is not necessarily an indication of how it will perform
in the future. The returns reflect applicable expense caps. The returns would be
lower without the expense cap. Please see footnote 1 on page 4 for additional
information about the expense cap. Moreover, the performance presented does not
reflect any separate account fees, which would reduce the returns.

[GRAPHIC OMITTED: BAR CHART SHOWING YEAR BY YEAR TOTAL RETURN (Delaware VIP
Diversified Income Series Standard Class)]

Year-by-year total return (Delaware VIP Diversified Income Series Standard Class)

-------------- ------------
2004 2005
-------------- ------------
8.47% -0.45%
-------------- ------------

During the period illustrated in this bar chart, the Class' highest quarterly
return was 4.53% for the quarter ended December 31, 2004 and its lowest
quarterly return was -2.36% for the quarter ended June 30, 2004.

Average annual returns for periods ending 12/31/05

---------------------------- -------------------------------- -------------------------
Lehman Brothers
Aggregate Bond Index
Delaware VIP (reflects no deduction
Diversified Income Series for fees, expenses or
Standard Class taxes)
---------------------------- -------------------------------- -------------------------
1 year -0.45% 2.43%
---------------------------- -------------------------------- -------------------------
Lifetime
(Inception 5/16/03) 4.96% 6.98%*
---------------------------- -------------------------------- -------------------------

The Series' returns above are compared to the performance of the Lehman Brothers
Aggregate Bond Index. The Lehman Brothers Aggregate Bond Index measures the
performance of about 6,500 U.S. corporate and government bonds. You should
remember that unlike the Series, the index is unmanaged and does not reflect the
actual costs of operating a mutual fund, such as the costs of buying, selling
and holding securities.

* The Lehman Brothers Aggregate Bond Index reports returns on a monthly basis
as of the last day of the month. This figure reflects the return from May
31, 2003 through December 31, 2005.

What are the Series' fees and expenses?
These tables describe the fees and expenses that you may pay if you buy and hold
shares of the Series. These tables and example do not include any fees or sales
charges imposed by your variable insurance contract for which the Series is an
investment option. If they were included, your cost would be higher. Investors
should consult the contract prospectus or disclosure document for more
information.

---------------------------------------- ---------------------------------- -----------------
You do not pay sales charges directly Maximum sales charge (load) none
from your investments when you buy or imposed on purchases as a
sell shares of the Standard Class. percentage of offering price
---------------------------------------- ---------------------------------- -----------------
Maximum contingent deferred none
sales charge (load) as a
percentage of original purchase
price or redemption price,
whichever is lower
---------------------------------------- ---------------------------------- -----------------
Maximum sales charge (load)
imposed on reinvested dividends none
---------------------------------------- ---------------------------------- -----------------
Redemption fees none
---------------------------------------- ---------------------------------- -----------------
Exchange fees none
---------------------------------------- ---------------------------------- -----------------

---------------------------------------- ---------------------------------- -----------------
Annual Series operating expenses are Management fees 0.65%
deducted from the Series' assets.
---------------------------------------- ---------------------------------- -----------------
Distribution and service (12b-1) none
fees
---------------------------------------- ---------------------------------- -----------------
Other expenses 0.21%
---------------------------------------- ---------------------------------- -----------------
Total annual fund operating 0.86%
expenses
---------------------------------------- ---------------------------------- -----------------
Fee waivers and payments(1) (0.05)%
---------------------------------------- ---------------------------------- -----------------
Net expenses 0.81%
---------------------------------------- ---------------------------------- -----------------

---------------------------------------- ---------------------------------- -----------------
This example is intended to help you 1 year $83
compare the cost of investing in the ---------------------------------- -----------------
Series to the cost of investing in 3 years $269
other mutual funds with similar ---------------------------------- -----------------
investment objectives. We show the 5 years $472
cumulative amount of Series expenses ---------------------------------- -----------------
on a hypothetical investment of 10 years $1,056
$10,000 with an annual 5% return over ---------------------------------- -----------------
the time shown.(2) This example
reflects the net operating expenses
with expense waivers for the one-year
period and the total operating
expenses without expense waivers for
years two through ten. Although your
actual costs may be higher or lower,
based on these assumptions your costs
would be those shown here.
---------------------------------------- ---------------------------------- -----------------

(2) The Series' actual rate of return may be greater or less than the
hypothetical 5% return we use here.

How we manage the Series

Our investment strategies
Delaware VIP Diversified Income Series is a type of fixed-income fund that
invests in three distinct sectors of the fixed-income market as it pursues its
investment objective of seeking maximum long-term total return consistent with
reasonable risk. Certain economic and market events generally may have a greater
impact on certain types of bonds. By spreading the portfolio assets among three
key types of bonds, we strive to reduce the affect that such events might have
on the portfolio. The foundation of our strategy is the belief that when one or
more bond sectors are not performing well, the others may continue to provide
high income and appreciation potential, helping to support the Series'
performance.

Following are the three key sectors we focus on, as well as our general
investment approach in each sector:

o In the Investment Grade Sector, we select U.S. government and high-quality
corporate bonds primarily on the basis of their income potential. In
periods of slower U.S. economic growth, these bonds might also provide a
stabilizing influence on the portfolio, which could enhance total return.

o In the High-Yield Sector, we purchase U.S. high-yield corporate bonds to
increase the portfolio's income potential. These bonds are of lower quality
and involve the risk that the issuing companies may not be able to pay
interest or repay principal. However, we carefully select the high-yield
bonds for the portfolio after evaluating both the company's fundamental
strength and the bond's liquidity.

o In the International Sector, we select foreign bonds to add diversification
to the portfolio. Because foreign markets are often affected by different
economic cycles than the U.S. markets, foreign bonds may experience
performance cycles that are different as well. In selecting foreign bonds
for the portfolio, we strive to manage the risk associated with foreign
investing through a thorough analysis of the bond's issuer and the
inflation trends in the country where the bond is issued.

In determining how much of the portfolio to allocate to each sector, we review
economic and market conditions and interest rate trends as well as the potential
risks and rewards associated with each sector. Under normal circumstances, as
little as 5% or as much as 50% of the Series' assets may be invested in each of
the High-Yield Sector and International Sector. Under normal circumstances,
there is no minimum or maximum limit on the amount of the Series' assets that
may be invested in the Investment Grade Sector. The Series' investments in
emerging markets will be limited to no more than 15% of the Series' total
assets.

The securities we typically invest in
Fixed-income securities offer the potential for greater income payments than
stocks, and also may provide capital appreciation.

---------------------------------------- ----------------------------------
Securities How we use them
Delaware VIP Diversified Income
Series
---------------------------------------- ----------------------------------
High-yield corporate bonds: Debt The Series may invest up to 50%
obligations issued by a corporation of net assets in high-yield
and rated lower than investment grade corporate bonds. Emphasis is
by a nationally recognized statistical typically on those rated BB or
ratings organization (NRSRO) such as Ba by an NRSRO.
S&P or Moody's. High-yield bonds, also
known as "junk bonds," are issued by We carefully evaluate an
corporations that have poor credit individual company's financial
quality and may have difficulty situation, its management, the
repaying principal and interest. prospects for its industry and
the technical factors related to
its bond offering. Our goal is
to identify those companies that
we believe will be able to repay
their debt obligations in spite
of poor ratings. The Series may
invest in unrated bonds if we
believe their credit quality is
comparable to the rated bonds we
are permitted to invest in.
Unrated bonds may be more
speculative in nature than rated
bonds.
---------------------------------------- ----------------------------------
U.S. government securities: Direct The Series may invest without
U.S. obligations including bills, limit in direct U.S. government
notes, bonds as well as other debt obligations.
securities issued by the U.S. Treasury
or securities of U.S. government
agencies or instrumentalities which
are backed by the full faith and
credit of the United States.
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Mortgage-backed securities: We may invest without limit in
Fixed-income securities that represent government-related
pools of mortgages, with investors mortgage-backed securities or
receiving principal and interest fully collateralized privately
payments as the underlying mortgage issued mortgage-backed
loans are paid back. Many are issued securities.
and guaranteed against default by the
U.S. government or its agencies or
instrumentalities, such as the Federal
Home Loan Mortgage Corporation, Fannie
Mae and the Government National
Mortgage Association. Others are
issued by private financial
institutions, with some fully
collateralized by certificates issued
or guaranteed by the U.S. government
or its agencies or instrumentalities.
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Collateralized Mortgage Obligations The Series may invest in CMOs
(CMOs) and Real Estate Mortgage and REMICs. Certain CMOs and
Investment Conduits (REMICs): CMOs are REMICs may have variable or
privately issued mortgage-backed bonds floating interest rates and
whose underlying value is the others may be stripped. Stripped
mortgages that are collected into mortgage securities are
different pools according to their generally considered illiquid
maturity. They are issued by U.S. and to such extent, together
government agencies and private with any other illiquid
issuers. REMICs are privately issued investments, will not exceed the
mortgage-backed bonds whose underlying Series' limit on illiquid
value is a fixed pool of mortgages securities. In addition, subject
secured by an interest in real to certain quality and
property. Like CMOs, REMICs offer collateral limitations, the
different pools. Series may invest up to 20% of
its total assets in CMOs and
REMICs issued by private
entities which are not
collateralized by securities
issued or guaranteed by the U.S.
government, its agencies or
instrumentalities, so called
non-agency mortgage-backed
securities.
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Asset-backed securities: Bonds or We invest only in asset-backed
notes backed by accounts receivables securities rated in one of the
including home equity, automobile or four highest categories by an
credit loans. NRSRO.
---------------------------------------- ----------------------------------

However, we will limit
investment in foreign securities
of issuers located in emerging
or developing countries that are
rated below investment grade to
no more than 15% of the Series'
net assets.
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Zero coupon bonds and payment-in-kind We may invest in zero coupon
bonds: Zero coupon securities are debt bonds and payment in kind bonds,
obligations which do not entitle the though we do not expect this to
holder to any periodic payments of be a significant component of
interest prior to maturity or a our strategy. The market prices
specified date when the securities of these bonds are generally
begin paying current interest. more volatile than the market
Therefore, they are issued and traded prices of securities that pay
at a price lower than their face interest periodically and are
amounts or par value. Payment-in-kind likely to react to changes in
bonds pay interest or dividends in the interest rates to a greater
form of additional bonds or preferred degree than interest-paying
stock. bonds having similar maturities
and credit quality. They may
have certain tax consequences
which, under certain conditions,
could be adverse to the Series.
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Options and futures: Options represent At times when we anticipate
a right to buy or sell a security or adverse conditions, we may want
group of securities at an agreed upon to protect gains on securities
price at a future date. The purchaser without actually selling them.
of an option may or may not choose to We might use options or futures
go through with the transaction; the to neutralize the effect of any
seller of an option must go through price declines, without selling
with the transaction if the option is the bond or bonds, or as a hedge
exercised. against changes in interest
rates.
Futures contracts are agreements for
the purchase or sale of securities at Use of these strategies can
a specified price, on a specified increase the operating costs of
date. Unlike an option, a futures the Series and can lead to loss
contract must be executed unless it is of principal.
sold before the settlement date.

Options and futures are generally
considered to be derivative securities.
---------------------------------------- ----------------------------------

These transactions may increase
the Series' expenses.
---------------------------------------- ----------------------------------
American Depositary Receipts (ADRs), The Series may invest in
European Depositary Receipts (EDRs), sponsored and unsponsored ADRs.
and Global Depositary Receipts Such ADRs that the Series may
(GDRs): ADRs are receipts issued by a invest in will be those that are
U.S. depositary (usually a U.S. bank) actively traded in the United
and EDRs and GDRs are receipts issued States.
by a depositary outside of the United
States (usually a non-U.S. bank or In conjunction with its
trust company or a foreign branch of a investments in foreign
U.S. bank). Depositary receipts securities, the Series may also
represent an ownership interest in an invest in sponsored and
underlying security that is held by unsponsored EDRs and GDRs.
the depositary. Generally, the
underlying security represented by an
ADR is issued by a foreign issuer and
the underlying security represented by
an EDR or GDR may be issued by a
foreign or U.S. issuer. Sponsored
depositary receipts are issued jointly
by the issuer of the underlying
security and the depositary, and
unsponsored depositary receipts are
issued by the depositary without the
participation of the issuer of the
underlying security. Generally, the
holder of the depositary receipt is
entitled to all payments of interest,
dividends or capital gains that are
made on the underlying security.
---------------------------------------- ----------------------------------

Interest rate swap, index swap and We may use interest rate swaps
credit default swap agreements: In an to adjust the Series'
interest rate swap, the Series sensitivity to interest rates or
receives payments from another party to hedge against changes in
based on a variable or floating interest rates. Index swaps may
interest rate, in return for making be used to gain exposure to
payments based on a fixed interest markets that the Series invests
rate. An interest rate swap can also in, such as the corporate bond
work in reverse with the Series market. We may also use index
receiving payments based on a fixed swaps as a substitute for
interest rate and making payments futures or options contracts if
based on a variable or floating such contracts are not directly
interest rate. In an index swap, the available to the Series on
Series receives gains or incurs losses favorable terms. We may enter
based on the total return of a into credit default swaps in
specified index, in exchange for order to hedge against a credit
making interest payments to another event, to enhance total return
party. An index swap can also work in or to gain exposure to certain
reverse with the Series receiving securities or markets.
interest payments from another party
in exchange for movements in the total
return of a specified index. In a
credit default swap, the Series may
transfer the financial risk of a
credit event occurring (a bond
default, bankruptcy, restructuring,
etc.) on a particular security or
basket of securities to another party
by paying that party a periodic
premium; likewise, the Series may
assume the financial risk of a credit
event occurring on a particular
security or basket of securities in
exchange for receiving premium
payments from another party. Interest
rate swaps, index swaps and credit
default swaps may be considered to be
illiquid.
---------------------------------------- ----------------------------------
Illiquid securities: Securities that We may invest up to 10% of net
do not have a ready market, and cannot assets in illiquid securities,
be easily sold within seven days at including repurchase agreements
approximately the price that the with maturities of over seven
Series has valued them. days.
---------------------------------------- ----------------------------------

The Series may also invest in other securities including real estate investment
trusts. Please see the Statement of Additional Information (SAI) for additional
descriptions of these securities as well as those listed in the table.

Temporary defensive positions For temporary defensive purposes, the Series may
hold a substantial portion of its assets in cash or cash equivalents. To the
extent it holds these securities, the Series may be unable to achieve its
investment objective.

Portfolio turnover We anticipate that the Series' annual portfolio turnover may
be greater than 100%, and may be considerably in excess of 100%. A turnover rate
of 100% would occur if, for example, the Series bought and sold all of the
securities in its portfolio once in the course of a year or frequently traded a
single security. High turnover can result in increased transaction costs for
investors and may affect the Series' performance.

The risks of investing in the Series
Investing in any mutual fund involves risk, including the risk that you may
receive little or no return on your investment, and the risk that you may lose
part or all of the money you invest. Before you invest in the Series, you should
carefully evaluate the risks. An investment in the Series typically provides the
best results when held for a number of years. The table below describes the
principal risks you assume when investing in the Delaware VIP Diversified Income
Series. Please see the SAI for further discussion of these risks and other risks
not discussed here.

Investing in so-called "junk" or Our holdings of high quality
"high-yield" bonds entails the risk of investment grade bonds are less
greater principal loss than the risk subject to credit risk and may
involved in investment grade bonds. help to balance any credit
High-yield bonds are sometimes issued problems experienced by
by companies whose earnings at the individual high-yield bond
time the bond is issued are less than issuers or foreign issuers.
the projected debt payments on the
bonds. When selecting dealers with whom
we would make interest rate or
Some analysts believe a protracted index swap agreements, we focus
economic downturn would severely on those with high quality
disrupt the market for high-yield ratings and do careful credit
bonds, adversely affect the value of analysis before investing.
outstanding bonds and adversely affect
the ability of high-yield issuers to
repay principal and interest. It is
likely that protracted periods of
economic uncertainty would cause
increased volatility in the market
prices of high-yield bonds, an
increase in the number of high-yield
bond defaults and corresponding
volatility in a series' net asset
value.

If there were a national credit crisis
or an issuer were to become insolvent,
principal values could be adversely
affected.
---------------------------------------- ----------------------------------
Futures and options risk is the We will use options and futures
possibility that a series may for defensive purposes, such as
experience a significant loss if it to protect gains in the
employs an option or futures strategy portfolio without actually
related to a security or a market selling the security or to
index and that security or index moves neutralize the impact of
in the opposite direction from what interest rate changes. We will
the portfolio managers anticipated. not use futures and options for
Futures and options also involve speculative reasons or in an
additional expenses, which could effort to enhance return.
reduce any benefit or increase any
loss to a series using the strategy.
---------------------------------------- ----------------------------------
Foreign risk is the risk that foreign The Series will attempt to
securities may be adversely affected reduce foreign investing risks
by political instability (including through portfolio
governmental seizures or diversification, credit analysis
nationalization of assets), changes in and attention to trends in the
currency exchange rates, foreign world economies, industries and
economic conditions or inadequate financial markets.
regulatory and accounting standards.
Foreign markets may also be less We carefully evaluate the
efficient, less liquid, have greater political and economic
price volatility, less regulation and situations in the countries
higher transaction costs than U.S. where we invest and take these
markets. risks into account before we
select securities for the
portfolio. However, there is no
way to eliminate foreign risks
when investing internationally.
---------------------------------------- ----------------------------------
Foreign government securities risk: The Series attempts to reduce
Involves the ability of a foreign the risks associated with
government or government related investing in foreign governments
issuer to make timely and ultimate by limiting the portion of
payments on its external debt portfolio assets that may be
obligations. This ability to make invested in such securities.
payments will be strongly influenced
by the issuer's balance of payments,
including export performance, its
access to international credits and
investments, fluctuations in interest
rates and the extent of its foreign
reserves.
---------------------------------------- ----------------------------------

---------------------------------------- ----------------------------------
Risks How we strive to manage them
Delaware VIP Diversified Income
Series
---------------------------------------- ----------------------------------
Currency risk is the risk that the We may try to hedge currency
value of an investment may be risk by purchasing foreign
negatively affected by changes in currency exchange contracts. By
foreign currency exchange rates. agreeing to purchase or sell
Adverse changes in exchange rates may foreign securities at a pre-set
reduce or eliminate any gains produced price on a future date, the
by investments that are denominated in Series strives to protect the
foreign currencies and may increase value of the stock it owns from
any losses. future changes in currency
rates. We will use forward
In 1999 eleven European countries currency exchange contracts only
joined the European Economic and for defensive measures, not to
Monetary Union (EMU), which enhance portfolio returns.
established a common currency for the However, there is no assurance
participating countries. This that a strategy such as this
currency is known as the "euro". It will be successful.
has replaced legacy currencies such as
the French franc and the deutschemark,
which were converted to euros at fixed
exchange rates. The main initial
consequence for investors is that this
has created a much bigger and more
liquid bond and equity market. This
has eliminated currency risk within
the euro zone, but the risk that the
euro will fluctuate versus third
currencies such as the U.S. dollar has
not been eliminated or reduced.
Within the euro zone, our view is that
the longer term risks are economic and
political - a single currency means a
single monetary policy, which may not
suit an individual country at a
particular time. There are no
explicit legal provisions for a
country to exit EMU; such an exit
pre-supposes a strong political demand
for it, of which there is no sign at
this point in time.
---------------------------------------- ----------------------------------

Emerging markets risk is the The Series may purchase
possibility that the risks associated securities of issuers in any
with international investing will be foreign country, developed and
greater in emerging markets than in emerging. The Series cannot
more developed foreign markets eliminate these risks but will
because, among other things, emerging attempt to manage these risks
markets may have less stable political through portfolio
and economic environments. In diversification, credit
addition, in many emerging markets, analysis, and attention to
there is substantially less publicly trends in the economy,
available information about issuers industries and financial markets
and the information available tends to and other relevant factors.
be of a lesser quality. Economic
markets and structures tend to be less
mature and diverse and the securities
markets which are subject to less
government regulation or supervision
may also be smaller, less liquid and
subject to greater price volatility.
---------------------------------------- ----------------------------------
Liquidity risk is the possibility that A less liquid secondary market
securities cannot be readily sold may have an adverse effect on
within seven days at approximately the our ability to dispose of
price that the Series has valued them. particular issues, when
necessary, to meet the Series'
The high-yield secondary market is liquidity needs or in response
particularly susceptible to liquidity to a specific event, such as the
problems when the institutions, such declining creditworthiness of
as mutual funds and certain financial the issuer. In striving to
institutions that dominate it, manage this risk, we evaluate
temporarily stop buying bonds for the size of a bond issuance as a
regulatory, financial or other reasons. way to anticipate its likely
liquidity level.

We may invest only 10% of net
assets in illiquid securities,
excluding Rule 144A securities
described above.
---------------------------------------- ----------------------------------

---------------------------------------- ----------------------------------
Risks How we strive to manage them
Delaware VIP Diversified Income
Series
---------------------------------------- ----------------------------------
Derivatives Risk is the possibility We will use derivatives for
that the Series may experience a defensive purposes, such as to
significant loss if it employs a protect gains or hedge against
derivatives strategy (including a potential losses in the
strategy involving credit default portfolio without actually
swaps) related to a security or a selling a security, to
securities index and that security or neutralize the impact of
index moves in the opposite direction interest rate changes, to affect
from what the portfolio manager had diversification or to earn
anticipated. Another risk of additional income.
derivative transactions is the
creditworthiness of the counterparty
because the transaction depends on the
willingness and ability of the
counterparty to fulfill its
contractual obligations. Derivatives
also involve additional expenses,
which could reduce any benefit or
increase any loss to a series from
using the strategy.
---------------------------------------- ----------------------------------
Valuation risk is the risk that a less We will strive to manage this
liquid secondary market, as described risk by carefully evaluating
above, can make it more difficult for individual bonds and by limiting
a series to obtain precise valuations the amount of the portfolio that
of the high-yield securities in its can be allocated to privately
portfolio. During periods of reduced placed high-yield securities.
liquidity, judgment plays a greater
role in valuing high-yield securities.
---------------------------------------- ----------------------------------
Legislative and regulatory risk: The We monitor the status of
United States Congress has from time regulatory and legislative
to time taken or considered proposals to evaluate any
legislative actions that could possible effects they might have
adversely affect the high-yield bond on the Series' portfolio.
market. For example, Congressional
legislation has, with some exceptions,
generally prohibited federally insured
savings and loan institutions from
investing in high-yield securities.
Regulatory actions have also affected
the high-yield market. Similar
actions in the future could reduce
liquidity for high-yield issues,
reduce the number of new high-yield
securities being issued and could make
it more difficult for a fund to attain
its investment objective.
---------------------------------------- ----------------------------------

Disclosure of portfolio holdings information
A description of the Series' policies and procedures with respect to the
disclosure of the Series' portfolio securities is available in the Series' SAI.

Investment manager
The Series is managed by Delaware Management Company. Delaware Management
Company makes investment decisions for the Series, manages the Series' business
affairs and provides daily administrative services. For these services, the
Manager was paid 0.58% of average daily net assets during the last fiscal year.

Portfolio managers
Paul Grillo has primary responsibility for making day-to-day investment
decisions for the Series. When making decisions for the Series, Mr. Grillo
regularly consults with Ryan K. Brist, Stephen R. Cianci, Timothy L. Rabe and
Philip R. Perkins.

at the Dreyfus Corporation. He also served as mortgage strategist and portfolio
manager for the Chemical Investment Group and as financial analyst at Chemical
Bank. Mr. Grillo is a CFA charterholder.

Ryan K. Brist
Executive Vice President/Managing Director - Fixed Income
Mr. Brist earned his bachelor's degree from Indiana University. Prior to joining
Delaware Investments in August 2000, he served as a Senior Trader and Corporate
Specialist for Conseco Capital Management's fixed-income group. He previously
worked in oil/gas investment banking as an Analyst for Dean Witter Reynolds in
New York. He is a Chartered Financial Analyst.

Stephen R. Cianci
Senior Vice President/Senior Portfolio Manager
Mr. Cianci holds a BS and an MBA in Finance from Widener University. He joined
Delaware Investments' Fixed Income Department in 1992 as an investment grade
quantitative research analyst. In addition to his quantitative research
responsibilities, Mr. Cianci also served as a mortgage-backed and asset-backed
securities analyst. Mr. Cianci is an Adjunct Professor of Finance at Widener
University and a CFA charterholder.

Philip R. Perkins
Senior Vice President/Senior Portfolio Manager
Mr. Perkins holds a B.A. from the University of Notre Dame. He joined Delaware
Investments in June 2003 from Deutsche Bank A.G., where he served as a Managing
Director in Global Markets. He was Chief Operating Officer for the Bank's
Emerging Markets Division, based in London. From 1998 to 2001, he was based in
Moscow and responsible for Local Markets Trading. Prior to that, Mr. Perkins was
Chief Executive Officer of Dinner Key Advisors Inc., a Registered Broker dealer
founded to trade derivative mortgage backed bonds with institutional clients. He
began his career at Salomon Brothers, where he was a Mortgage/CMO trader from
1985 to 1990.

Timothy L. Rabe
Senior Vice President/Senior Portfolio Manager
Mr. Rabe received a bachelor's degree in finance from the University of
Illinois. Prior to joining Delaware Investments in 2000, Mr. Rabe was a
high-yield portfolio manager for Conseco Capital Management. Before that, Mr.
Rabe worked as a tax analyst for The Northern Trust Company. Mr. Rabe has 9
years of investment company experience and is a CFA charterholder.

Who's who?
The following describes the various organizations involved in managing,
administering, and servicing the Series.

Board of Trustees
A mutual fund is governed by a board of trustees which has oversight
responsibility for the management of the fund's business affairs. Trustees
establish procedures and oversee and review the performance of the investment
manager, the distributor and others that perform services for the series.
Generally, at least 40% of the board of trustees must be independent of the
fund's investment manager and distributor. However, the Series relies on certain
exemptive rules adopted by the Securities and Exchange Commission (SEC) that
require its Board of Trustees to be comprised of a majority of such independent
Trustees. These independent fund Trustees, in particular, are advocates for
shareholder interests.

Investment manager
Delaware Management Company, 2005 Market Street, Philadelphia, PA 19103-7094

Distributor
Delaware Distributors, L.P., 2005 Market Street, Philadelphia, PA 19103-7094

Shares of the Series are only sold to separate accounts of insurance companies
used in connection with variable annuity or variable life products.

Financial intermediary wholesaler
Lincoln Financial Distributors, Inc. ("LFD"), 2001 Market Street, Philadelphia,
PA 19103-7055

Custodian
JPMorgan Chase Bank, 4 Chase Metrotech Center, Brooklyn, NY 11245

Important Information about the Series

------------------------------------- ----------------------------
STANDARD CLASS*
------------------------------------- ----------------------------
Commission (%) -
------------------------------------- ----------------------------
Fee to Dealer 0.25%
(annual rate of average daily net
assets)
------------------------------------- ----------------------------

other securities, we use methods approved by the Board of Trustees that are
designed to price securities at their fair market value (see "Fair valuation",
below).

Series to take action in response to frequent trading activity. If the Series
elects not to take any action in response to frequent trading, such frequent
trading and market timing activity could continue.

income tax on the income and gains it distributes to you. Dividends and capital
gain distributions, if any, are distributed annually. We automatically reinvest
all dividends and any capital gains.

This discussion of "Dividends, distributions and taxes" is not intended or
written to be used as tax advice. Additional information on tax matters is
included in the SAI.

Certain management considerations

Financial highlights

Delaware VIP Diversified Income Series Standard Class
5/16/03(1)
Year ended Year ended to
12/31/05 12/31/04 12/31/03

Net asset value, beginning of period $9.450 $8.940 $8.500

Income (loss) from investment operations:
Net investment income(2) 0.373 0.348 0.240
Net realized and unrealized gain (loss)
on investments and foreign currencies (0.416) 0.395 0.200
------- ------ -------
Total from investment operations (0.043) 0.743 0.440
------- ------ -------
Less dividends and distributions from:
Net investment income (0.099) (0.233) ---
Net realized gain on investments (0.048) ---- ---
------- ------ -------
Total dividends and distributions (0.147) (0.233) ---
------- ------ -------
Net asset value, end of period $9.260 $9.450 $8.940
======= ====== =======
Total return(3) (0.45%) 8.47% 5.18%

Ratios and supplemental data:
Net assets, end of period (000 omitted) $90,811 $14,770 $2,104
Ratio of expenses to average net assets 0.79% 0.80% 0.80%
Ratio of expenses to average net assets
prior to expense limitation and
expenses paid indirectly 0.86% 0.98% 1.59%
Ratio of net investment income to average
net assets 4.02% 3.82% 4.43%
Ratio of net investment income to average
net assets prior to expense limitation
and expenses paid indirectly 3.95% 3.64% 3.64%
Portfolio turnover 400% 493% 521%

(1) Commencement of operations; ratios and portfolio turnover have been
annualized and total return has not been annualized.

(2) The average shares outstanding method has been applied for per share
information.

(3) Total investment return is based on the change in net asset value of a
share during the period and assumes reinvestment of dividends and
distributions at net asset value. Total investment return reflects waivers
and payment of fees by the manager. Performance would have been lower had
the expense limitation not been in effect.

Delaware VIP Diversified Income Series

Investment Company Act File No. 811-05162

Delaware Series Symbol
CUSIP
Delaware VIP Diversified Income Series
(Standard Class) 246493548

DELAWARE VIP TRUST
Delaware VIP Diversified Income Series

Service Class

2005 Market Street, Philadelphia, PA 19103-7094

Prospectus

April 30, 2006

The U.S. Securities and Exchange Commission has not approved or disapproved
these securities or passed upon the accuracy of this Prospectus. Any
representation to the contrary is a criminal offense.

Table of contents
Overview page 3
Delaware VIP Diversified Income Series 3

How we manage the Series page 6
Our investment strategies 6
The securities we typically invest in 7
The risks of investing in the Series 13
Disclosure of portfolio holdings information 16
Investment manager 16
Portfolio managers 16
Who's who? 18

Important information about the Series page 19
Share classes 19
Salesperson and life company compensation 19
Purchase and redemption of shares 19
Valuation of shares 19
Fair valuation 20
Frequent trading of Series shares 20
Dividends, distributions and taxes 21
Certain management considerations 22

Financial highlights page 23

Overview: Delaware VIP Diversified Income Series

What are the Series' main investment strategies? We invest primarily in bonds
allocated among three sectors of the fixed-income market. These sectors include:

What are the main risks of investing in the Series? Investing in any mutual fund
involves risk, including the risk that you may lose part or all of the money you
invest. Over time, the value of your investment in the Series will increase and
decrease according to changes in the value of the securities in the Series'
portfolio. This Series will be affected primarily by declines in bond prices,
which can be caused by an adverse change in interest rates, adverse economic
conditions or poor performance from specific industries or bond issuers. The
Series is also subject to the special risks associated with high-yield bond
investing and with foreign investing. In particular, high-yield bonds are rated
below investment grade and are subject to a higher risk that issuers will be
unable to make interest or principal payments, particularly under adverse
economic conditions. Foreign investing involves risks related to currency
valuations, political instability, economic instability or lax accounting and
regulatory standards. These risks are greater for investments in emerging
markets. The Series may have a portfolio turnover rate in excess of 100%, which
can result in increased transaction costs for investors and may affect the
Series' performance. For a more complete discussion of risk, please turn to "The
risks of investing in the Series."

An investment in the Series is not a deposit of any bank and is not insured or
guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
government agency.

Who should invest in the Series

Who should not invest in the Series

o Investors with short-term financial goals.
o Investors who are unwilling to own an investment whose value may fluctuate,
sometimes significantly, over the short term.

How has the Series performed?

This bar chart and table can help you evaluate the risks of investing in the
Delaware VIP Diversified Income Series Service Class. We show how the annual
returns for the Series have varied over the past two calendar years as well as
the average annual return for the one-year period and since inception. The
Series' past performance is not necessarily an indication of how it will perform
in the future. The returns reflect applicable expense caps. The returns would be
lower without the expense caps. Please see footnotes 1 and 2 on page 4 for
additional information about the expense caps. Moreover, the performance
presented does not reflect any separate account fees, which would reduce the
returns.

[GRAPHIC OMITTED: BAR CHART SHOWING YEAR BY YEAR TOTAL RETURN (Delaware VIP
Diversified Income Series Service Class)]

Year-by-year total return (Delaware VIP Diversified Income Series Service Class)

-------------- ------------
2004 2005
-------------- ------------
7.85% -0.59%
-------------- ------------

During the period illustrated in this bar chart, the Class' highest quarterly
return was 4.44% for the quarter ended December 31, 2004 and its lowest
quarterly return was -2.47% for the quarter ended June 30, 2004.

Average annual returns for periods ending 12/31/05

---------------------------- -------------------------------- -------------------------
Lehman Brothers
Aggregate Bond Index
Delaware VIP (reflects no deduction
Diversified Income Series for fees, expenses or
Service Class taxes)
---------------------------- -------------------------------- -------------------------
1 year -0.59% 2.43%
---------------------------- -------------------------------- -------------------------
Lifetime
(Inception 5/16/03) 4.67% 2.59%*
---------------------------- -------------------------------- -------------------------

* The Lehman Brothers Aggregate Bond Index reports returns on a monthly basis
as of the last day of the month. This figure reflects the return from May
31, 2003 through December 31, 2005.

What are the Series' fees and expenses?
These tables describe the fees and expenses that you may pay if you buy and hold
shares of the Series. These tables and example do not include any fees or sales
charges imposed by your variable insurance contract for which the Series is an
investment option. If they were included, your cost would be higher. Investors
should consult the contract prospectus or disclosure document for more
information.

---------------------------------------- ---------------------------------- -----------------
Sales charges are fees paid directly Maximum sales charge (load) none
from your investments when you buy or imposed on purchases as a
sell shares of the Service Class. percentage of offering price
---------------------------------------- ---------------------------------- -----------------
Maximum contingent deferred none
sales charge (load)
as a percentage of original
purchase price or redemption
price, whichever is lower
---------------------------------------- ---------------------------------- -----------------
Maximum sales charge (load)
imposed on reinvested dividends none
---------------------------------------- ---------------------------------- -----------------
Redemption fees none
---------------------------------------- ---------------------------------- -----------------
Exchange fees none
---------------------------------------- ---------------------------------- -----------------

---------------------------------------- ---------------------------------- -----------------
Annual Series operating expenses are Management fees 0.65%
deducted from the Series' assets.
---------------------------------------- ---------------------------------- -----------------
Distribution and service (12b-1) 0.30%
fees(1)
---------------------------------------- ---------------------------------- -----------------
Other expenses 0.21%
---------------------------------------- ---------------------------------- -----------------
Total annual fund operating 1.16%
expenses
---------------------------------------- ---------------------------------- -----------------
Fee waivers and payments(1)(2) (0.10)%
---------------------------------------- ---------------------------------- -----------------
Net expenses 1.06%
---------------------------------------- ---------------------------------- -----------------

---------------------------------------- ---------------------------------- -----------------
This example is intended to help you 1 year $108
compare the cost of investing in the ---------------------------------- -----------------
Series to the cost of investing in 3 years $359
other mutual funds with similar ---------------------------------- -----------------
investment objectives. We show the 5 years $629
cumulative amount of Series expenses ---------------------------------- -----------------
on a hypothetical investment of 10 years $1,400
$10,000 with an annual 5% return over ---------------------------------- -----------------
the time shown.(3) This example
reflects the net operating expenses
with expense waivers for the one-year
period and the total operating
expenses without expense waivers for
years two through ten.
Although your actual costs may be
higher or lower, based on these
assumptions your costs would be those
shown here.
---------------------------------------- ---------------------------------- -----------------

(3) The Series' actual rate of return may be greater or less than the
hypothetical 5% return we use here.

How we manage the Series

Following are the three key sectors we focus on, as well as our general
investment approach in each sector:

o In the High Yield Sector, we purchase U.S. high-yield corporate bonds to
increase the portfolio's income potential. These bonds are of lower quality
and involve the risk that the issuing companies may not be able to pay
interest or repay principal. However, we carefully select the high-yield
bonds for the portfolio after evaluating both the company's fundamental
strength and the bond's liquidity.

The securities we typically invest in
Fixed-income securities offer the potential for greater income payments than
stocks, and also may provide capital appreciation.

---------------------------------------- ----------------------------------
Securities How we use them
Delaware VIP Diversified Income
Series
---------------------------------------- ----------------------------------
High-yield corporate bonds: Debt The Series may invest up to 50%
obligations issued by a corporation of net assets in high-yield
and rated lower than investment grade corporate bonds. Emphasis is
by a nationally recognized statistical typically on those rated BB or
ratings organization (NRSRO) such as Ba by an NRSRO.
S&P or Moody's. High-yield bonds, also
known as "junk bonds," are issued by We carefully evaluate an
corporations that have poor credit individual company's financial
quality and may have difficulty situation, its management, the
repaying principal and interest. prospects for its industry and
the technical factors related to
its bond offering. Our goal is
to identify those companies that
we believe will be able to repay
their debt obligations in spite
of poor ratings. The Series may
invest in unrated bonds if we
believe their credit quality is
comparable to the rated bonds we
are permitted to invest in.
Unrated bonds may be more
speculative in nature than rated
bonds.
---------------------------------------- ----------------------------------
U.S. government securities: Direct The Series may invest without
U.S. obligations including bills, limit in direct U.S. government
notes, bonds as well as other debt obligations.
securities issued by the U.S. Treasury
or securities of U.S. government
agencies or instrumentalities which
are backed by the full faith and
credit of the United States.
---------------------------------------- ----------------------------------
Mortgage-backed securities: We may invest without limit
Fixed-income securities that represent in government-related
pools of mortgages, with investors mortgage-backed securities or
receiving principal and interest fully collateralized privately
payments as the underlying mortgage issued mortgage-backed
loans are paid back. Many are issued securities.
and guaranteed against default by the
U.S. government or its agencies or
instrumentalities, such as the Federal
Home Loan Mortgage Corporation, Fannie
Mae and the Government National
Mortgage Association. Others are
issued by private financial
institutions, with some fully
collateralized by certificates issued
or guaranteed by the U.S. government
or its agencies or instrumentalities.
---------------------------------------- ----------------------------------
Collateralized Mortgage Obligations The Series may invest in CMOs
(CMOs) and Real Estate Mortgage and REMICs. Certain CMOs and
Investment Conduits (REMICs): CMOs are REMICs may have variable or
privately issued mortgage-backed bonds floating interest rates and
whose underlying value is the others may be stripped. Stripped
mortgages that are collected into mortgage securities are
different pools according to their generally considered illiquid
maturity. They are issued by U.S. and to such extent, together
government agencies and private with any other illiquid
issuers. REMICs are privately issued investments, will not exceed the
mortgage-backed bonds whose underlying Series' limit on illiquid
value is a fixed pool of mortgages securities. In addition, subject
secured by an interest in real to certain quality and
property. Like CMOs, REMICs offer collateral limitations, the
different pools. Series may invest up to 20% of
its total assets in CMOs and
REMICs issued by private
entities which are not
collateralized by securities
issued or guaranteed by the U.S.
government, its agencies or
instrumentalities, so called
non-agency mortgage backed
securities.
---------------------------------------- ----------------------------------
Asset-backed securities: Bonds or We invest only in asset-backed
notes backed by accounts receivables securities rated in one of the
including home equity, automobile or four highest categories by an
credit loans. NRSRO.
---------------------------------------- ----------------------------------

Options and futures are generally
considered to be derivative securities.
---------------------------------------- ----------------------------------

---------------------------------------- ----------------------------------
Securities How we use them
Delaware VIP Diversified Income
Series
---------------------------------------- ----------------------------------
Interest rate swap, index swap and We may use interest rate swaps
credit default swap agreements: In an to adjust the Series'
interest rate swap, the Series sensitivity to interest rates or
receives payments from another party to hedge against changes in
based on a variable or floating interest rates. Index swaps may
interest rate, in return for making be used to gain exposure to
payments based on a fixed interest markets that the Series invests
rate. An interest rate swap can also in, such as the corporate bond
work in reverse with the Series market. We may also use index
receiving payments based on a fixed swaps as a substitute for
interest rate and making payments futures or options contracts if
based on a variable or floating such contracts are not directly
interest rate. In an index swap, the available to the Series on
Series receives gains or incurs losses favorable terms. We may enter
based on the total return of a into credit default swaps in
specified index, in exchange for order to hedge against a credit
making interest payments to another event, to enhance total return
party. An index swap can also work in or to gain exposure to certain
reverse with the Series receiving securities or markets.
interest payments from another party
in exchange for movements in the total
return of a specified index. In a
credit default swap, a series may
transfer the financial risk of a
credit event occurring (a bond
default, bankruptcy, restructuring,
etc.) on a particular security or
basket of securities to another party
by paying that party a periodic
premium; likewise, the Series may
assume the financial risk of a credit
event occurring on a particular
security or basket of securities in
exchange for receiving premium
payments from another party. Interest
rate swaps, index swaps and credit
default swaps may be considered to be
illiquid.
---------------------------------------- ----------------------------------
Illiquid securities: Securities that We may invest up to 10% of net
do not have a ready market, and cannot assets in illiquid securities,
be easily sold within seven days at including repurchase agreements
approximately the price that the with maturities of over seven
Series has valued them. days.
---------------------------------------- ----------------------------------

Temporary defensive positions For temporary defensive purposes, the Series may
hold a substantial portion of its assets in cash or cash equivalents. To the
extent that the Series holds such instruments, it may be unable to achieve its
investment objective.

The risks of investing in the Series
Investing in any mutual fund involves risk, including the risk that you may
receive little or no return on your investment, and the risk that you may lose
part or all of the money you invest. Before you invest in the Series, you should
carefully evaluate the risks. An investment in the Series typically provides the
best results when held for a number of years. The table below describes the
principal risks you assume when investing in the Delaware VIP Diversified Income
Series. Please see the SAI for further discussion of these risks and other risks
not discussed here.

Investing in so-called "junk" or Our holdings of high quality
"high-yield" bonds entails the greater investment grade bonds are less
risk of principal loss than the risk subject to credit risk and may
involved in investment grade bonds. help to balance any credit
High-yield bonds are sometimes issued problems experienced by
by companies whose earnings at the individual high-yield bond
time the bond is issued are less than issuers or foreign issuers.
the projected debt payments on the
bonds. When selecting dealers with whom
we would make interest rate or
Some analysts believe a protracted index swap agreements, we focus
economic downturn would severely on those with high quality
disrupt the market for high-yield ratings and do careful credit
bonds, adversely affect the value of analysis before investing.
outstanding bonds and adversely affect
the ability of high-yield issuers to
repay principal and interest. It is
likely that protracted periods of
economic uncertainty would cause
increased volatility in the market
prices of high-yield bonds, an
increase in the number of high-yield
bond defaults and corresponding
volatility in a series' net asset
value.

We may invest only 10% of net
assets in illiquid securities,
excluding Rule 144A securities
described above.
---------------------------------------- ----------------------------------

---------------------------------------- ----------------------------------
Risks How we strive to manage them
Delaware VIP Diversified Income
Series
---------------------------------------- ----------------------------------
Derivatives Risk is the possibility We will use derivatives for
that the Series may experience a defensive purposes, such as to
significant loss if it employs a protect gains or hedge against
derivatives strategy (including a potential losses in the
strategy involving swaps, such as portfolio without actually
interest rate swaps, index swaps and selling a security, to
credit default swaps) related to a neutralize the impact of
security or a securities index and interest rate changes, to affect
that security or index moves in the diversification or to earn
opposite direction from what the additional income.
portfolio manager had anticipated.
Another risk of derivative
transactions is the creditworthiness
of the counterparty because the
transaction depends on the willingness
and ability of the counterparty to
fulfill its contractual obligations.
Derivatives also involve additional
expenses, which could reduce any
benefit or increase any loss to a
series from using the strategy.
---------------------------------------- ----------------------------------
Valuation risk is the risk that a less We will strive to manage this
liquid secondary market, as described risk by carefully evaluating
above, can make it more difficult for individual bonds and by limiting
a series to obtain precise valuations the amount of the portfolio that
of the high-yield securities in its can be allocated to privately
portfolio. During periods of reduced placed high-yield securities.
liquidity, judgment plays a greater
role in valuing high-yield securities.
---------------------------------------- ----------------------------------
Legislative and regulatory risk: The We monitor the status of
United States Congress has from time regulatory and legislative
to time taken or considered proposals to evaluate any
legislative actions that could possible effects they might have
adversely affect the high-yield bond on the Series' portfolio.
market. For example, Congressional
legislation has, with some exceptions,
generally prohibited federally insured
savings and loan institutions from
investing in high-yield securities.
Regulatory actions have also affected
the high-yield market. Similar actions
in the future could reduce liquidity
for high-yield issues, reduce the
number of new high-yield securities
being issued and could make it more
difficult for the Series to attain its
investment objective.
---------------------------------------- ----------------------------------

Disclosure of portfolio holdings information
A description of the Series' policies and procedures with respect to the
disclosure of the Series' portfolio securities is available in the Series' SAI.

Portfolio managers

Paul Grillo has primary responsibility for making day-to-day investment
decisions for the Series. When making decisions for the Series, Mr. Grillo
regularly consults with Ryan K. Brist, Stephen R. Cianci, Timothy L. Rabe and
Philip R. Perkins.

Paul Grillo
Senior Vice President/Senior Portfolio Manager
Mr. Grillo holds a BA in Business Management from North Carolina State
University and an MBA in Finance from Pace University. Prior to joining Delaware
Investments in 1993, Mr. Grillo served as mortgage strategist and trader at the
Dreyfus Corporation. He also served as mortgage strategist and portfolio manager
for the Chemical Investment Group and as financial analyst at Chemical Bank. Mr.
Grillo is a CFA charterholder.

Who's who?

The following describes the various organizations involved in managing,
administering, and servicing the Series.

Board of Trustees
A mutual fund is governed by a board of trustees which has oversight
responsibility for the management of the fund's business affairs. Trustees
establish procedures and oversee and review the performance of the investment
manager, the distributor and others that perform services for the series.
Generally, at least 40% of the board of trustees must be independent of the
fund's investment manager and distributor. However, the Series relies on certain
exemptive rules adopted by the Securities and Exchange Commission (SEC) that
require its Board of Trustees to be comprised of a majority of such independent
Trustees. These independent fund Trustees, in particular, are advocates for
shareholder interests.

Investment manager
Delaware Management Company, 2005 Market Street, Philadelphia, PA 19103-7094

Distributor
Delaware Distributors, L.P., 2005 Market Street, Philadelphia, PA 19103-7094

Shares of the Series are only sold to separate accounts of insurance companies
used in connection with variable annuity or variable life products.

Financial intermediary wholesaler
Lincoln Financial Distributors, Inc. ("LFD"), 2001 Market Street, Philadelphia,
PA 19103-7055

Custodian
JPMorgan Chase Bank, 4 Chase Metrotech Center, Brooklyn, NY 11245

Important Information about the Series

Purchase and redemption of shares

Shares are sold only to separate accounts of life companies at net asset value
(see "Valuation of shares"). Redemptions will be effected by the separate
accounts at the net asset value next determined after receipt of the order to
meet obligations under the variable contracts. Contract owners do not deal
directly with the Series with respect to the acquisition or redemption of Series
shares.

This discussion of "Dividends, distributions and taxes" is not intended or
written to be used as tax advice. Additional information on tax matters is
included in the SAI.

Certain management considerations

Financial highlights

The financial highlights table is intended to help you understand the financial
performance of the Service Class of the Series. The total returns in the table
represent the rate that an investor would have earned or lost on an investment
in the Series' Service Class (assuming reinvestment of all dividends and
distributions). All "per share" information reflects financial results for a
single Series share. Separate account expenses are not reflected. If the fees at
the separate account level or contract level were included, total return would
be lower. This information has been audited by Ernst & Young LLP, whose report,
along with the Series' financial statements, is included in the Series' annual
report, which is available upon request by calling 800 523-1918.

Delaware VIP Diversified Income Series Service Class
5/16/03(1)
to
Year ended 12/31 12/31/03
2005 2004

Net asset value, beginning of period $9.410 $8.930 $8.500

Income (loss) from investment operations:
Net investment income(2) 0.350 0.326 0.216
Net realized and unrealized gain (loss)
on investments and foreign currencies (0.406) 0.373 0.214
------- ------ ------
Total from investment operations (0.056) 0.699 0.430
------- ------ ------
Less dividends and distributions from:
Net investment income (0.076) (0.219) ---
Net realized gain on investments (0.048) --- ---
------- ------ ------
Total dividends and distributions (0.124) (0.219) ---
------- ------ ------
Net asset value, end of period $9.230 $9.410 $8.930
======= ======= ======
Total return(3) (0.59%) 7.85% 5.06%

Ratios and supplemental data:
Net assets, end of period (000 omitted) $130,870 $47,417 $---
Ratio of expenses to average net assets 1.04% 1.05% 1.05%
Ratio of expenses to average net assets
prior to expense limitation and
expenses paid indirectly 1.16% 1.28% 1.89%
Ratio of net investment income to average
net assets 3.77% 3.57% 4.18%
Ratio of net investment income to average
net assets prior to expense limitation
and expenses paid indirectly 3.65% 3.34% 3.34%
Portfolio turnover 400% 493% 521%

(1) Commencement of operations; ratios and portfolio turnover have been
annualized and total return has not been annualized.

(2) The average shares outstanding method has been applied for per share
information.

(3) Total investment return is based on the change in net asset value of a
share during the period and assumes reinvestment of dividends and
distributions at net asset value. Total investment return reflects waivers
and payment of fees by the manager and distributor, as applicable.
Performance would have been lower had the expense limitation not been in
effect.

Delaware VIP Diversified Income Series

Investment Company Act File No. 811-05162

Delaware Series Symbol
CUSIP
Delaware VIP Diversified Income Series
(Service Class) 246493555

DELAWARE VIP TRUST
Delaware VIP Emerging Markets Series

Standard Class

2005 Market Street, Philadelphia, PA 19103-7094

Prospectus

April 30, 2006

This Prospectus offers the Delaware VIP Emerging Markets Series. The Series is
in effect a separate fund issuing its own shares. The shares of the Series are
sold only to separate accounts of life insurance companies (life companies). The
separate accounts are used in conjunction with variable annuity contracts and
variable life insurance policies (variable contracts). The separate accounts
invest in shares of the Series in accordance with allocation instructions
received from contract owners. The investment objective and principal policies
of the Series are described in this Prospectus.

The U.S. Securities and Exchange Commission has not approved or disapproved
these securities or passed upon the accuracy of this Prospectus. Any
representation to the contrary is a criminal offense.

Table of contents
Overview page 3
Delaware VIP Emerging Markets Series 3

How the Series is managed page 8
Investment strategies 8
The securities the Series typically invests in 10
The risks of investing in the Series 13
Disclosure of portfolio holdings information 15
Investment manager and sub-advisor 16
Portfolio managers 16
Who's who? 16

Financial highlights page 22

Overview: Delaware VIP Emerging Markets Series

Effective at the close of business on August 25, 2005, the Series is no longer
offered (1) under new participation agreements to insurance companies that seek
to include the Series in their products; or (2) under existing participation
agreements for use with new insurance products. Contract owners of existing
insurance companies that offer the Series are able to continue to make purchases
of shares, including purchases through reinvestment of dividends or capital
gains distributions, and exchanges, regardless of whether they own, or have
owned in the past, shares of the Series. The Series reserves the right to modify
this policy at any time.

What is the Series' goal?
Delaware VIP Emerging Markets Series seeks long-term capital appreciation.
Although the Series will strive to achieve its goal, there is no assurance that
it will.

What are the Series' main investment strategies?
The Series invests primarily in equity securities of issuers from emerging
foreign countries. Under normal circumstances, at least 80% of the Series' net
assets will be in investments of emerging market issuers (the "80% policy").

The Series' portfolio managers may invest up to 35% of the Series' net assets in
fixed-income securities issued by companies in emerging countries or by foreign
governments, their agents, instrumentalities or political sub-divisions. The
Series' portfolio managers may invest in fixed-income securities that are
denominated in the currencies of emerging market countries. All of these may be
high-yield, high risk fixed-income securities (commonly known as "junk bonds").
The portfolio may have portfolio turnover in excess of 100%.

In selecting investments for the Series:

o The Series' portfolio managers strive to identify well-managed companies
that are undervalued based on such factors as assets, earnings, dividends
or growth potential.

o The Series' portfolio managers consider whether the future dividends on a
stock are expected to increase faster than, slower than, or in line with
the level of inflation in order to compare the value of different stocks.
The Series' portfolio managers then estimate what they think the value of
those anticipated future dividends would be worth if they were being paid
today. The Series' portfolio managers believe this gives them an estimate
of the stock's true value. Because the Series invests primarily in emerging
market issuers, there may be less information available for the portfolio
managers to use in making this analysis than is available for more
developed countries.

o The Series' portfolio managers generally prefer to purchase securities in
countries where the currency is undervalued or fair-valued compared to
other countries because these securities may offer greater return
potential. The Series' portfolio managers attempt to determine whether a
particular currency is overvalued or undervalued by comparing the amount of
goods and services that a dollar will buy in the United States to the
amount of foreign currency required to buy the same amount of goods and
services in another country. When the dollar buys less, the foreign
currency may be overvalued, and when the dollar buys more, the foreign
currency may be undervalued.

What are the main risks of investing in the Series? Investing in any mutual fund
involves risk, including the risk that you may lose part or all of the money you
invest. Over time, the value of your investment in the Series will increase and
decrease according to changes in the value of the securities held in the Series'
portfolio. These fluctuations can be even more pronounced for funds like
Delaware VIP Emerging Markets Series, which invests in emerging market issuers.
This Series will be affected primarily by declines in stock prices, which can be
caused by a drop in foreign stock markets or poor performance in specific
industries or companies. The value of the Series' investments and, therefore,
the price of the Series' shares may be more volatile than investments in more
developed markets. Because the Series invests in international securities in
developing countries, it will be affected by international investment risks
related to currency valuations, political instability, economic instability, or
lax accounting and regulatory standards. High portfolio turnover can increase a
Series' transaction costs and lower returns.

The Series may invest in high-yield, high risk foreign fixed-income securities,
which are subject to substantial risks, particularly during periods of economic
downturns or rising interest rates.

The Series is considered "non-diversified" under federal laws and rules that
regulate mutual funds. This means that the Series may allocate more of its net
assets to investments in single securities than a "diversified" fund. Thus,
adverse effects on an investment held by the Series may affect a larger portion
of overall assets and subject the Series to greater risks.

For a more complete discussion of risk, please turn to "The risks of investing
in the Series."

The Series' 80% policy described above may be changed without shareholder
approval. However, shareholders would be given at least 60 days notice prior to
any such change.

An investment in the Series is not a deposit of any bank and is not insured or
guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
government agency.

Who should invest in the Series

o Investors with long-term financial goals.
o Investors looking for a portfolio of securities of emerging markets which
may offer high return potential but can be substantially more risky than
investments in either the U.S. or established foreign countries.

Who should not invest in the Series

o Investors with short-term financial goals.
o Investors who are unwilling to accept share prices that may fluctuate,
sometimes significantly, over the short term.
o Investors who do not understand or are unwilling to accept the significant
risks associated with investing in emerging markets.

How has the Series performed?

This bar chart and table can help you evaluate the risks of investing in the
Delaware VIP Emerging Markets Series Standard Class. We show how the annual
returns for the Series have varied over the past eight calendar years as well as
the average annual return for the one-year and five-year periods and since
inception. The Series' past performance is not necessarily an indication of how
it will perform in the future. The returns reflect applicable expense caps. The
returns would be lower without the expense cap. Please see footnote 1 on page 5
for additional information about the expense cap. Moreover, the performance
presented does not reflect any separate account fees, which would reduce the
returns.

[GRAPHIC OMITTED: BAR CHART SHOWING YEAR BY YEAR TOTAL RETURN (Delaware VIP
Emerging Markets Series Standard Class)]

Year-by-year total return (Delaware VIP Emerging Markets Series Standard Class)

-------- ------- -------- ------ ------ ------- ------- -------
1998 1999 2000 2001 2002 2003 2004 2005
-------- ------- -------- ------ ------ ------- ------- -------
-32.48% 48.28% -23.60% 5.28% 5.17% 70.54% 33.47% 27.49%
-------- ------- -------- ------ ------ ------- ------- -------

During the periods illustrated in this bar chart, the Class' highest quarterly
return was 26.41% for the quarter ended June 30, 2003 and its lowest quarterly
return was -22.25% for the quarter ended June 30, 1998.

Average annual returns for periods ending 12/31/05

---------------------------- ---------------------------------- --------------------------------------
Morgan Stanley Capital International
Delaware VIP Emerging Markets Free Index
Emerging Markets Series (reflects no deduction for fees,
Standard Class expenses or taxes)
---------------------------- ---------------------------------- --------------------------------------
1 year 27.49% 34.54%
---------------------------- ---------------------------------- --------------------------------------
5 years 26.30% 19.44%
---------------------------- ---------------------------------- --------------------------------------
Lifetime
(Inception 5/1/97) 9.42% 6.06%*
---------------------------- ---------------------------------- --------------------------------------

The Series' returns above are compared to the performance of the Morgan Stanley
Capital International Emerging Markets Free Index. The Morgan Stanley Capital
International Emerging Markets Free Index is a U.S. dollar denominated index
comprised of stocks of countries with below average per capita GDP as defined by
the World Bank, foreign ownership restrictions, a lax regulatory environment,
and greater perceived market risk than in the developed countries. Within this
index, Morgan Stanley Capital International Emerging Markets Free Index aims to
capture an aggregate of 60% of local market capitalization. You should remember
that unlike the Series, the index is unmanaged and does not reflect the actual
costs of operating a mutual fund, such as the costs of buying, selling and
holding securities.

* The Morgan Stanley Capital International EAFE Index reports returns on a
monthly basis as of the last day of the month. This figure reflects the
return from May 31, 1997 through December 31, 2005.

What are the Series' fees and expenses?
These tables describe the fees and expenses that you may pay if you buy and hold
shares of the Series. These tables and example do not include any fees or sales
charges imposed by your variable insurance contract for which the Series is an
investment option. If they were included, your cost would be higher. Investors
should consult the contract prospectus or disclosure document for more
information.

---------------------------------------- ---------------------------------- -----------------
You do not pay sales charges directly Maximum sales charge (load) none
from your investments when you buy or imposed on
sell shares of the Standard Class. purchases as a percentage of
offering price
---------------------------------------- ---------------------------------- -----------------
Maximum contingent deferred none
sales charge (load) as a
percentage of original purchase
price or redemption price,
whichever is lower
---------------------------------------- ---------------------------------- -----------------
Maximum sales charge (load)
imposed on reinvested dividends none
---------------------------------------- ---------------------------------- -----------------
Redemption fees none
---------------------------------------- ---------------------------------- -----------------
Exchange fees none
---------------------------------------- ---------------------------------- -----------------

---------------------------------------- ---------------------------------- -----------------
Annual Series operating expenses are Management fees 1.25%
deducted from the Series' assets.
---------------------------------------- ---------------------------------- -----------------
Distribution and service (12b-1) none
fees
---------------------------------------- ---------------------------------- -----------------
Other expenses 0.32%
---------------------------------------- ---------------------------------- -----------------
Total annual fund operating 1.57%
expenses
---------------------------------------- ---------------------------------- -----------------
Fee waivers and payments(1) (0.07)%
---------------------------------------- ---------------------------------- -----------------
Net expenses 1.50%
---------------------------------------- ---------------------------------- -----------------

---------------------------------------- ---------------------------------- -----------------
This example is intended to help you 1 year $153
compare the cost of investing in the ---------------------------------- -----------------
Series to the cost of investing in 3 years $489
other mutual funds with similar ---------------------------------- -----------------
investment objectives. We show the 5 years $849
cumulative amount of Series expenses ---------------------------------- -----------------
on a hypothetical investment of 10 years $1,861
$10,000 with an annual 5% return over ---------------------------------- -----------------
the time shown.(2) This example
reflects the net operating expenses
with expense waivers for the one-year
period and the total operating
expenses without expense waivers for
years two through ten.
Although your actual costs may be
higher or lower, based on these
assumptions your costs would be those
shown here.
---------------------------------------- ---------------------------------- -----------------

(2) The Series' actual rate of return may be greater or less than the
hypothetical 5% return we use here.

How the Series is managed

Investment strategies
Delaware VIP Emerging Markets Series seeks long-term capital appreciation. The
Series may invest in a broad range of equity securities, including common
stocks. The Series' primary emphasis will be in investments of emerging markets
issuers.

The Series' portfolio managers consider an "emerging market issuer" to be any
country that:

o the international financial community, including the World Bank and the
International Finance Corporation generally recognizes to be an emerging or
developing country;

o the United Nations classifies as developing; or

o is included in the International Finance Corporation Free Index or the
Morgan Stanley Capital International Emerging Markets Free Index.

Developing or emerging countries include almost every nation in the world except
the United States, Canada, Japan, Australia, New Zealand and most nations
located in Western and Northern Europe. A representative list of the countries
where we may invest includes: Argentina, Brazil, Chile, China, Croatia, Czech
Republic, Egypt, Estonia, Hungary, India, Indonesia, Israel, Malaysia, Mexico,
Morocco, Panama, Poland, Republic of Korea, Russia, South Africa, Taiwan and
Thailand. The Series' portfolio managers may invest in other countries,
particularly as markets in other emerging countries develop. More than 25% of
the Series' total assets may be invested in the securities of issuers located in
the same country.

In deciding whether a company is from an emerging country, the Series' portfolio
managers evaluate publicly available information and question individual
companies to determine if the company meets at least one of the following
criteria:

o the principal trading market for the company's securities is in an emerging
country;

o the company generates 50% or more of its annual revenue from operations in
emerging countries, even though the company's securities are traded in an
established market or in a combination of emerging and established markets;
or

o the company is organized under the laws of, and has a principal office in,
an emerging country.

Currently, investing in many emerging countries is not feasible or may involve
significant political risks. The Series' portfolio managers focus their
investments in emerging countries where they consider the economies to be
developing strongly and where the markets are becoming more sophisticated. In
deciding where to invest, the Series' portfolio managers place particular
emphasis on factors such as economic conditions (including growth trends,
inflation rates and trade balances), regulatory and currency controls,
accounting standards and political and social conditions. The Series' portfolio
managers believe investment opportunities may result from an evolving long-term
trend favoring market-oriented economies, a trend that may particularly benefit
countries having developing markets.

When the Series' portfolio managers evaluate individual companies, they aim to
apply a value-oriented selection process. That is, the Series' portfolio
managers strive to purchase stocks that are selling for less than their true
value. In order to estimate what a security's true value is, the Series'
portfolio managers evaluate its future income potential, taking into account the
impact both currency fluctuations and inflation might have on that income
stream. The Series' portfolio managers then determine what that income would be
worth if paid today. That helps them decide what they think the security is
worth today. The Series' portfolio managers then compare their estimate of the
security's value to its current price to determine if it is a good value.
However, in emerging markets, more of the return is expected to come from
capital appreciation rather than income. Thus, there is greater emphasis on the
portfolio managers' assessment of the company's future growth potential.

The Series may invest up to 35% of its net assets in high-yield, high risk
foreign fixed-income securities. This typically includes Brady Bonds.

Delaware VIP Emerging Markets Series uses the same investment strategy as
Delaware Emerging Markets Fund, a separate fund in the Delaware Investments
family, although performance may differ depending on such factors as the size of
the funds and the timing of investments and redemptions.

The Series' investment objective is non-fundamental. This means that the Board
of Trustees may change the objective without obtaining shareholder approval. If
the objective were changed, the Series would notify shareholders before the
change in the objective became effective.

The securities the Series typically invests in
Stocks offer investors the potential for capital appreciation, and may pay
dividends as well. Fixed-income securities offer the potential for greater
income payments than stocks, and also may provide capital appreciation.

---------------------------------------- ----------------------------------
Securities How the Series uses them
Delaware VIP Emerging Markets
Series
---------------------------------------- ----------------------------------
Common stocks: Securities that The Series will invest its
represent shares of ownership in an assets in common stocks, some of
emerging market corporation. which will be dividend-paying
Stockholders participate in the stocks.
corporation's profits and losses,
proportionate to the number of shares
they own.
---------------------------------------- ----------------------------------
Corporate bonds: Debt obligations The Series may invest up to 35%
issued by U.S. or foreign corporations. of its net assets in corporate
obligations issued by emerging
country companies. These bonds
may be high risk, fixed-income
securities.
---------------------------------------- ----------------------------------
Foreign government securities: Debt The Series' portfolio managers
obligations issued by a government may invest a portion of the
other than the United States or by an Series' assets in foreign
agency, instrumentality or political governmental securities issued
subdivision of such governments. by emerging or developing
countries, which may be lower
rated, including securities
rated below investment grade.
---------------------------------------- ----------------------------------
Investment company securities: In some The Series may hold open-end and
countries, investments by U.S. mutual closed-end investment company
funds are generally made by purchasing securities if the Series'
shares of investment companies that in portfolio managers believe the
turn invest in the securities of such country offers good investment
countries. opportunities. These
investments involve an indirect
payment of a portion of the
expenses of the other investment
companies, including their
advisory fees.
---------------------------------------- ----------------------------------
Foreign currency transactions: A The Series may invest in
forward foreign currency exchange securities issued in any
contract involves an obligation to currency and hold foreign
purchase or sell a specific currency currency. Securities of issuers
on a fixed future date at a price that within a given country may be
is set at the time of the contract. denominated in the currency of
The future date may be any number of another country or in
days from the date of the contract as multinational currency units
agreed by the parties involved. such as the euro.

Although the Series values its
assets daily in U.S. dollars, it
does not intend to convert its
holdings of foreign currencies
into U.S. dollars on a daily
basis. The Series will,
however, from time to time,
purchase or sell foreign
currencies and/or engage in
forward foreign currency
exchange transactions. The
Series may conduct its foreign
currency transactions on a cash
basis at the rate prevailing in
the foreign currency exchange
market or through a forward
foreign currency exchange
contract or forward contract.

---------------------------------------- ----------------------------------
Brady Bonds: These are debt securities The Series may invest in Brady
issued under the framework of the Bonds. The Series' portfolio
Brady Plan, an initiative for debtor managers believe that the
nations to restructure their economic reforms undertaken by
outstanding external indebtedness countries in connection with the
(generally, commercial bank debt). issuance of Brady Bonds can make
Brady Bonds tend to be of lower the debt of countries that have
quality and more speculative than issued or have announced plans
securities of developed country to issue these bonds a viable
issuers. opportunity for investment.
---------------------------------------- ----------------------------------
High-yield, high risk fixed-income The Series may invest up to 35%
securities: Securities that are rated of its net assets, in
lower than BBB by S&P or Baa by high-yield, high risk foreign
Moody's, or if unrated, of comparable fixed-income securities.
quality. These securities, also known
as "junk bonds," may be issued by
companies or governments of emerging
or developing countries, which may be
less creditworthy. The risk that these
companies or governments may not be
able to make interest or principal
payments is substantial.
---------------------------------------- ----------------------------------
Repurchase agreements: An agreement Typically, the Series' portfolio
between a buyer, such as the Series, managers use repurchase
and a seller of securities in which agreements as a short-term
the seller agrees to buy the investment for the Series' cash
securities back within a specified position. In order to enter
time at the same price the buyer paid into these repurchase
for them, plus an amount equal to an agreements, the Series must have
agreed upon interest rate. Repurchase collateral of 102% of the
agreements are often viewed as repurchase price. The Series may
equivalent to cash. enter into repurchase agreements
in which the collateral is any
security in which it may invest,
but normally uses U.S.
government securities as
collateral.
---------------------------------------- ----------------------------------
Restricted securities: Privately The Series' portfolio managers
placed securities whose resale is may invest in privately placed
restricted under securities law. securities, including those that
are eligible for resale only
among certain institutional
buyers without registration
which are commonly known as Rule
144A Securities. Restricted
securities that are determined
to be illiquid may not exceed
the Series' 10% limit on
illiquid securities, which is
described below.
---------------------------------------- ----------------------------------
Illiquid securities: Securities that The Series' portfolio managers
do not have a ready market, and cannot may invest up to 10% of net
be easily sold within seven days at assets in illiquid securities,
approximately the price that the including repurchase agreements
Series has valued them. with maturities of over seven
days.
---------------------------------------- ----------------------------------

The Series may also invest in other securities including preferred stocks,
convertible securities, zero coupon bonds, warrants, futures and options. Please
see the Statement of Additional Information (SAI) for additional descriptions of
these securities as well as those listed in the table above.

Lending securities The Series may loan up to 25% of its assets to qualified
broker/dealers or institutional investors for their use relating to short-sales
or other securities transactions. These transactions, if any, may generate
additional income for the Series.

Temporary defensive positions For temporary defensive purposes, the Series may
hold all or a substantial portion of its assets in high quality debt instruments
issued by foreign governments, their agencies, instrumentalities or political
subdivisions, the U.S. government, its agencies or instrumentalities and which
are backed by the full faith and credit of the U.S. government. The Series may
also invest all or a substantial portion of its assets in high quality debt
instruments issued by foreign or U.S. companies. Any corporate debt obligations
will be rated AA or better by S&P, or Aa or better by Moody's or, if unrated,
will be determined to be of comparable quality. To the extent it holds these
securities, the Series may be unable to achieve its investment objective.

Portfolio turnover We anticipate that the Series' annual portfolio turnover will
not exceed 100%. It is possible, however, that portfolio turnover will be higher
than expected. Higher turnover can result in increased transaction costs for
investors and may affect the Series' performance.

The risks of investing in the Series
Investing in any mutual fund involves risk, including the risk that you may
receive little or no return on your investment, and the risk that you may lose
part or all of the money you invest. Before you invest in the Series, you should
carefully evaluate the risks. An investment in the Series typically provides the
best results when held for a number of years. The table below describes the
principal risks you assume when investing in the Delaware VIP Emerging Markets
Series. Please see the SAI for further discussion of these risks and other risks
not discussed here.

--------------------------------------- -----------------------------------
Risks How the Series strives to manage
them
Delaware VIP Emerging Markets
Series
--------------------------------------- -----------------------------------
Market risk is the risk that all or a The Series' portfolio managers
majority of the securities in a maintain a long-term investment
certain market--like the stock or bond approach and focus on stocks they
market--will decline in value because believe can appreciate over an
of factors such as economic extended time frame regardless of
conditions, future expectations or interim market fluctuations. In
investor confidence. deciding what portion of the
Series' portfolio should be
invested in any individual
country, the Series' portfolio
managers evaluate a variety of
factors, including opportunities
and risks relative to other
countries. The Series' portfolio
managers can also somewhat reduce
market risk by holding a
diversified portfolio.
--------------------------------------- -----------------------------------
Industry and security risk: Industry The Series' portfolio managers
risk is the risk that the value of typically hold a number of
securities in a particular industry different securities in a variety
will decline because of changing of sectors in order to minimize
expectations for the performance of the impact that a poorly
that industry. performing security would have on
the Series. This risk is more
Security risk is the risk that the significant for the Series, which
value of an individual stock or bond is a non-diversified fund.
will decline because of changing
expectations for the performance of
the individual company issuing the
security.
--------------------------------------- -----------------------------------
Foreign risk is the risk that foreign The Series' portfolio managers
securities may be adversely affected carefully evaluate the overall
by political instability (including situations in the countries where
governmental seizures or we invest in an attempt to reduce
nationalization of assets), changes these risks. The Series'
in currency exchange rates, foreign portfolio managers also tend to
economic conditions or lax regulatory avoid markets where they believe
and accounting standards. Foreign accounting principles or the
markets may also be less efficient, regulatory structure are too
less liquid, have greater price underdeveloped.
volatility, less regulation and
higher transaction costs than U.S.
markets.
-------------------------------------- -----------------------------------

Another way in which the Series
can protect against this risk is
by holding stocks whose earnings
are from exports or priced in
U.S. dollars, so that a
devaluation means unchanged U.S.
dollars earnings (and higher
local currency earnings).
-------------------------------------- -----------------------------------
Small company risk is the risk that The Series may invest in small
prices of smaller companies may be companies and would be subject to
more volatile than larger companies this risk. The Series' portfolio
because of limited financial managers typically hold a number
resources or dependence on narrow of different stocks in order to
product lines. Small company risk reduce the impact that one small
also comes from lower liquidity company stock would have on the
typically associated with small Series. This risk is more
company stocks, which means the significant for the Series, which
price may be affected by poorly is a non-diversified fund.
executed trades, even if the
underlying business of the company
is unchanged.
-------------------------------------- -----------------------------------
Political risk is the risk that The Series' portfolio managers
countries or the entire region where carefully evaluate the political
the Series invests may experience situations in the countries where
political instability, which may they invest and take into account
cause greater fluctuation in the any potential risks before they
value and liquidity of our select securities for the
investments due to changes in portfolio. The Series' portfolio
currency exchange rates, managers can also somewhat reduce
governmental seizures or political risk by holding a
nationalization of assets. diversified portfolio. However,
there is no way to eliminate
political risk when investing
internationally.
--------------------------------------- -----------------------------------
Emerging markets risk is the Striving to manage this risk, the
possibility that the risks associated portfolio managers carefully
with international investing will be screen securities within emerging
greater in emerging markets than in markets and attempt to consider
more developed foreign markets material risks associated with an
because, among other things, emerging individual company or bond
markets may have less stable issuer. The Series' portfolio
political and economic environments. managers cannot eliminate
emerging market risk and
consequently encourage
shareholders to invest in this
Series only if they have a
long-term time horizon, over
which the potential of individual
securities is more likely to be
realized.
--------------------------------------- -----------------------------------
Inefficient market risk is the risk The Series will attempt to reduce
that foreign markets may be less these risks by investing in a
liquid, have greater price number of different countries,
volatility, less regulation and and noting trends in the economy,
higher transaction costs than U.S. industries and financial markets.
markets.
--------------------------------------- -----------------------------------

The Series also compares the
risk-reward potential of foreign
government securities being
considered to that offered by
equity securities to determine
whether to allocate assets to
equity or fixed-income
investments.
--------------------------------------- -----------------------------------
Credit risk of high-yield, high risk The Series may invest up to 35%
fixed-income securities is the risk of its net assets in high-yield,
that securities rated lower than BBB high risk foreign fixed-income
by S&P and Baa by Moody's are securities.
considered to be of poor standing and
predominantly speculative as to the The Series' portfolio managers
issuer's ability to repay interest intend to limit their investment
and principal. in any single lower rated bond,
which can help to reduce the
These bonds are often issued by less effect of an individual default
creditworthy companies or by highly on the Series. The Series'
leveraged (indebted) firms, which are portfolio managers also intend to
generally less able than more limit their overall holdings of
financially stable firms to make bonds in this category. Such
scheduled payments of interest and limitations may not protect the
principal. The risks posed by bonds Series from widespread bond
issued under such circumstances are defaults brought about by a
substantial. sustained economic downturn or
from price declines that might
If there were a national credit result from changes in the
crisis or an issuer were to become quality ratings of individual
insolvent, principal values could be bonds.
adversely affected.
--------------------------------------- -----------------------------------
Transaction costs risk is the risk The Series' portfolio managers
that the costs of buying, selling and strive to monitor transaction
holding foreign securities, including costs and to choose an efficient
brokerage, tax and custody costs, may trading strategy for the Series.
be higher than those involved in
domestic transactions.
--------------------------------------- -----------------------------------

Disclosure of portfolio holdings information
A description of the Series' policies and procedures with respect to the
disclosure of the Series' portfolio securities is available in the Series' SAI.

Investment manager and sub-advisor
The Series is managed by Delaware Management Company, a series of Delaware
Management Business Trust, which is an indirect, wholly owned subsidiary of
Delaware Management Holdings, Inc. Delaware Management Company makes investment
decisions for the Series, manages the Series' business affairs and provides
daily administrative services.

Mondrian Investment Partners Limited ("Mondrian") is the sub-advisor for the
Series. As sub-advisor, Mondrian is responsible for day-to-day management of the
Series' assets. Delaware Management Company administers the Series' business
affairs and has ultimate responsibility for all investment advisory services for
the Series. Delaware Management Company also supervises the sub-advisor's
performance. The aggregate advisory fee paid by the Series was 1.15% during the
last fiscal year.

A discussion of the basis for the Board of Trustee's approval of the Series'
investment advisory contracts is available in the Series' semiannual report to
shareholders for the period ended June 30, 2005.

Portfolio managers
Robert Akester has primary responsibility for making day-to-day investment
decisions for Delaware VIP Emerging Markets Series. In making investment
decisions for the Series, Mr. Akester regularly consults with five colleagues
who, together with Mr. Akester, form the Equities Emerging Markets team at
Mondrian.

Robert Akester, Senior Portfolio Manager of Mondrian, joined Mondrian in 1996.
Mr. Akester, who began his investment career in 1969, was most recently a
Director of Hill Samuel Investment Management Ltd., which he joined in 1985. His
prior experience included working as a Senior Analyst and head of the South-East
Asian Research team at James Capel, and as a Fund Manager at Prudential
Assurance Co., Ltd. Mr. Akester holds a BS in Economics from University College,
London and is an associate of the Institute of Actuaries, with a certificate in
Finance and Investment. He has been managing the Series since its inception.

Who's who?

The following describes the various organizations involved in managing,
administering, and servicing the Series.

Board of Trustees
A mutual fund is governed by a board of trustees which has oversight
responsibility for the management of the fund's business affairs. Trustees
establish procedures and oversee and review the performance of the investment
manager, the distributor and others that perform services for the series.
Generally, at least 40% of the board of trustees must be independent of the
fund's investment manager and distributor. However, the Series relies on certain
exemptive rules adopted by the Securities and Exchange Commission (SEC) that
require its Board of Trustees to be comprised of a majority of such independent
Trustees. These independent fund Trustees, in particular, are advocates for
shareholder interests.

Investment manager
Delaware Management Company, 2005 Market Street, Philadelphia, PA 19103-7094

An investment manager is a company responsible for selecting portfolio
investments consistent with objectives and policies stated in the mutual fund's
prospectus. The investment manager places portfolio orders with broker/dealers
and is responsible for obtaining the best overall execution of those orders. A
written contract between a mutual fund and its investment manager specifies the
services the investment manager performs. Most management contracts provide for
the investment manager to receive an annual fee based on a percentage of the
fund's average daily net assets. The investment manager is subject to numerous
legal restrictions, especially regarding transactions between itself and the
funds it advises. The investment manager has delegated certain responsibilities
mentioned above to the sub-advisor.

Sub-advisor
Mondrian Investment Partners Ltd., Third Floor, 80 Cheapside, London, England
EC2V 6EE.

A sub-advisor is a company generally responsible for the management of a fund's
assets and is selected and supervised by the investment manager. The sub-advisor
is responsible for managing all or a portion of the fund's assets and will then
place portfolio orders with broker/dealers and is responsible for obtaining the
best overall execution of those orders. A written contract between the
investment manager and sub-advisor specifies the services the sub-advisor
performs. Most sub-advisory contracts provide for the sub-advisor to receive an
annual fee based on a percentage of the fund's average daily net assets. The
sub-advisor is subject to numerous legal restrictions, especially regarding
transactions between itself and the funds it advises. The investment manager has
delegated certain responsibilities (described under the "Investment manager"
section above) to the sub-advisor.

Portfolio managers
Portfolio managers are employed by the investment manager or sub-advisor to make
investment decisions for individual portfolios on a day-to-day basis. See
"Portfolio managers" for information about the portfolio managers of the Series.

Distributor
Delaware Distributors, L.P., 2005 Market Street, Philadelphia, PA 19103-7094

Shares of the Series are only sold to separate accounts of insurance companies
used in connection with variable annuity or variable life products.

Financial intermediary wholesaler
Lincoln Financial Distributors, Inc. ("LFD"), 2001 Market Street, Philadelphia,
PA 19103-7055

Custodian
JPMorgan Chase Bank, 4 Chase Metrotech Center, Brooklyn, NY 11245

Important information about the Series

U.S. dollars at the exchange rate of these currencies against the U.S. dollar,
as provided by an independent pricing service. We generally price securities and
other assets for which market quotations are readily available at their market
value. We price fixed-income securities on the basis of valuations provided to
us by an independent pricing service that uses methods approved by the Board of
Trustees. We price fixed-income securities that have a maturity of less than 60
days at amortized cost, which approximates market value. For all other
securities, we use methods approved by the Board of Trustees that are designed
to price securities at their fair market value (see "Fair valuation", below).

Subject to the Board's oversight, the Series' Board has delegated responsibility
for valuing the Series' assets to a Pricing Committee of the investment manager,
which operates under the policies and procedures approved by the Board, as
described above.

through omnibus accounts. The difficulty of detecting market timing may be
further compounded if these entities utilize multiple tiers or omnibus accounts.

This discussion of "Dividends, distributions and taxes" is not intended or
written to be used as tax advice. Additional information on tax matters is
included in the SAI.

Certain management considerations

Financial highlights

Delaware VIP Emerging Markets Series
Standard Class
Year Ended
12/31

2005 2004 2003 2002 2001

Net asset value, beginning of period $14.500 $11.180 $6.770 $6.610 $6.310

Income from investment operations:
Net investment income(1) 0.412 0.263 0.210 0.215 0.199
Net realized and unrealized gain
on investments and foreign
currencies 3.519 3.388 4.410 0.137 0.133
------- ------- ------ ------ -------
Total from investment operations 3.931 3.651 4.620 0.352 0.332
------- ------- ------ ------ -------
Less dividends and distributions
from:
Net investment income (0.051) (0.331) (0.210) (0.192) (0.032)

Net realized gain on investments (0.180) ---- ---- ---- ----
------- ------- ------ ------ -------
Total dividends and distributions (0.231) (0.331) (0.210) (0.192) (0.032)
------- ------- ------ ------ -------
Net asset value, end of period $18.200 $14.500 $11.180 $6.770 $6.610
======= ======= =======- ====== ======

Total return(2) 27.49% 33.47% 70.54% 5.17% 5.28%

Ratios and supplemental data:
Net assets, end of period (000
omitted) $120,292 $36,966 $14,304 $12,651 $12,071
Ratio of expenses to average net
assets 1.47% 1.50% 1.49% 1.43% 1.45%
Ratio of expenses to average net
assets prior to expense
limitation and expenses paid
indirectly 1.57% 1.63% 1.58% 1.46% 1.45%
Ratio of net investment income to
average net assets 2.55% 2.15% 2.64% 3.15% 3.04%
Ratio of net investment income to
average net assets prior to
expense limitation and
expenses paid indirectly 2.45% 2.02% 2.55% 3.12% 3.04%
Portfolio turnover 18% 34% 71% 39% 41%

(1) The average shares outstanding method has been applied for per share
information.

(2) Total investment return is based on the change in net asset value of a
share during the period and assumes reinvestment of dividends and
distributions at net asset value. Total investment return reflects waivers
and payment of fees by the manager, as applicable. Performance would have
been lower had the expense limitation not been in effect.

Delaware VIP Emerging Markets Series

Investment Company Act File No. 811-05162

Delaware Series Symbol
CUSIP
Delaware VIP Emerging Markets Series
(Standard Class) 246493878

DELAWARE VIP TRUST
Delaware VIP Emerging Markets Series

Service Class

2005 Market Street, Philadelphia, PA 19103-7094

Prospectus

April 30, 2006

The U.S. Securities and Exchange Commission has not approved or disapproved
these securities or passed upon the accuracy of this Prospectus. Any
representation to the contrary is a criminal offense.

Table of contents
Overview page 3
Delaware VIP Emerging Markets Series 3

How the Series is managed page 7
Investment strategies 7
The securities the Series typically invests in 7
The risks of investing in the Series 12
Disclosure of portfolio holdings information 14
Investment manager and sub-advisor 15
Portfolio managers 15
Who's who? 16

Important information about the Series page 17
Share classes 17
Salesperson and life company compensation 17
Purchase and redemption of shares 17
Valuation of shares 17
Fair valuation 18
Frequent trading of Series shares 18
Dividends, distributions and taxes 20
Certain management considerations 20

Financial highlights page 21

Overview: Delaware VIP Emerging Markets Series

Effective at the close of business on August 25, 2005, the Series is no longer
offered (1) under new participation agreements to insurance companies that seek
to include the Series in their products; or (2) under existing participation
agreements for use with new insurance products. Contract owners of existing
insurance companies that offer the Series are able to continue to make purchases
of shares, including purchases through reinvestment of dividends or capital
gains distributions, and exchanges, regardless of whether they own, or have
owned in the past, shares of the Series. The 12b-1 fee for Service shares of the
Series will be capped at 0.25% for the duration of the limited offering
described above. The Series reserves the right to modify this policy at any
time.

What is the Series' goal?
Delaware VIP Emerging Markets Series seeks long-term capital appreciation.
Although the Series will strive to achieve its goal, there is no assurance that
it will.

What are the Series' main investment strategies? The Series invests primarily in
equity securities of issuers from emerging foreign countries. Under normal
circumstances, the Series' will invest at least 80% of net assets in investments
of emerging market issuers (the "80% policy").

The Series' portfolio managers may invest up to 35% of the Series' net assets in
fixed-income securities issued by companies in emerging countries or by foreign
governments, their agents, instrumentalities or political sub-divisions. The
Series' portfolio managers may invest in fixed-income securities that are
denominated in the currencies of emerging market countries. All of these may be
high-yield, high risk fixed-income securities commonly known as "junk bonds").
The portfolio may have portfolio turnover in excess of 100%.

In selecting investments for the Series:

o The Series' portfolio managers strive to identify well-managed companies
that are undervalued based on such factors as assets, earnings, dividends
or growth potential.

What are the main risks of investing in the Series? Investing in any mutual fund
involves risk, including the risk that you may lose part or all of the money you
invest. Over time, the value of your investment in the Series will increase and
decrease according to changes in the value of the securities held in the Series'
portfolio. These fluctuations can be even more pronounced for funds like
Delaware VIP Emerging Markets Series, which invests in emerging market issuers.
This Series will be affected primarily by declines in stock prices, which can be
caused by a drop in foreign stock markets or poor performance in specific
industries or companies. The value of the Series' investments and, therefore,
the price of the Series' shares may be more volatile than investments in more
developed markets. Because the Series invests in international securities in
developing countries, it will be affected by international investment risks
related to currency valuations, political instability, economic instability, or
lax accounting and regulatory standards. High portfolio turnover can increase a
Series' transaction costs and lower returns.

The Series may invest in high-yield, high risk foreign fixed-income securities,
which are subject to substantial risks, particularly during periods of economic
downturns or rising interest rates.

For a more complete discussion of risk, please turn to "The risks of investing
in the Series."

The Series' 80% policy described above may be changed without shareholder
approval. However, shareholders would be given at least 60 days notice prior to
any such change.

An investment in the Series is not a deposit of any bank and is not insured or
guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
government agency.

Who should invest in the Series

Who should not invest in the Series

How has the Series performed?

This bar chart and table can help you evaluate the risks of investing in the
Delaware VIP Emerging Markets Series Service Class. We show how the annual
returns for the Series have varied over the past five calendar years as well as
the average annual return for the one-year and five-year periods and since
inception. The Series' past performance is not necessarily an indication of how
it will perform in the future. The returns reflect applicable expense caps. The
returns would be lower without the expense caps. Please see footnotes 1 and 2 on
page 4 for additional information about the expense caps. Moreover, the
performance presented does not reflect any separate account fees, which would
reduce the returns.

[GRAPHIC OMITTED: BAR CHART SHOWING YEAR BY YEAR TOTAL RETURN (Delaware VIP
Emerging Markets Series Service Class)]

Year-by-year total return (Delaware VIP Emerging Markets Series Service Class)

-------------- ------------ ------------ ----------- ------------
2001 2002 2003 2004 2005
-------------- ------------ ------------ ----------- ------------
5.15% 5.03% 70.10% 33.26% 27.11%
-------------- ------------ ------------ ----------- ------------

During the period illustrated in this bar chart, the Class' highest quarterly
return was 26.37% for the quarter ended June 30, 2003 and its lowest quarterly
return was -19.94% for the quarter ended September 30, 2001.

Average annual returns for periods ending 12/31/05

---------------------------- -------------------------------- -------------------------
Morgan Stanley Capital
International Emerging
Markets Free Index
Delaware VIP (reflects no deduction
Emerging Markets Series for fees, expenses or
Service Class taxes)
---------------------------- -------------------------------- -------------------------
1 year 27.11% 34.54%
---------------------------- -------------------------------- -------------------------
5 years 26.05% 19.44%
---------------------------- -------------------------------- -------------------------
Lifetime
(Inception 5/1/00) 18.86% 12.16%*
---------------------------- -------------------------------- -------------------------

* The Morgan Stanley Capital International Emerging Markets Free Index reports
returns on a monthly basis as of the last day of the month. This figure reflects
the return from May 31, 2000 through December 31, 2005.

What are the Series' fees and expenses?(1)
These tables describe the fees and expenses that you may pay if you buy and hold
shares of the Series. These tables and example do not include any fees or sales
charges imposed by your variable insurance contract for which the Series is an
investment option. If they were included, your cost would be higher. Investors
should consult the contract prospectus or disclosure document for more
information.

--------------------------------------------------------------------------------
Sales charges are fees paid directly Maximum sales charge (load) none
from your investments when you buy imposed on purchases as a
or sell shares of the Service Class. percentage of offering price
--------------------------------------------------------------------------------
Maximum contingent deferred sales none
charge (load) as a percentage of
original purchase price or
redemption price, whichever is
lower
--------------------------------------------------------------------------------
Maximum sales charge (load) none
imposed on reinvested dividends
--------------------------------------------------------------------------------
Redemption fees none
--------------------------------------------------------------------------------
Exchange fees none
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
Annual Series operating expenses Management fees 1.25%
are deducted from the Series'
assets.
--------------------------------------------------------------------------------
Distribution and service (12b-1) 0.30%
fees(1)
--------------------------------------------------------------------------------
Other expenses 0.32%
--------------------------------------------------------------------------------
Total annual fund operating 1.87%
expenses
--------------------------------------------------------------------------------
Fee waivers and payments(2) (0.12)%
--------------------------------------------------------------------------------
Net expenses 1.75%
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
This example is intended to help 1 year $178
you compare the cost of investing -------------------------------------------
in the Series to the cost of 3 years $576
investing in other mutual funds -------------------------------------------
with similar investment objectives. 5 years $1,000
We show the cumulative amount of -------------------------------------------
Series expenses on a hypothetical 10 years $2,181
investment of $10,000 with an -------------------------------------------
annual 5% return over the time
shown.(3) This example reflects the
net operating expenses with expense
waivers for the one-year period and
the total operating expenses
without expense waivers for years
two through ten. Although your
actual costs may be higher or
lower, based on these assumptions
your costs would be those shown
here.
--------------------------------------------------------------------------------

(1) Service Class shares subject to a 12b-1 fee of 0.30% of average daily net
assets. The Series' Distributor has contracted to waive the 12b-1 fees to
no more than 0.25% of average daily net assets through the later of April
30, 2007 or until the Series is offered under new participation agreements
or under new contracts with existing insurance companies (other than the
update and modification of existing contracts in the normal course of
business that may require registration or re-registration under state
insurance laws as a new insurance contract, provided the new insurance
contract effectively replaces the current insurance contract).

(3) The Series' actual rate of return may be greater or less than the
hypothetical 5% return we use here.

How the Series is managed

Investment strategies

Delaware VIP Emerging Markets Series seeks long-term capital appreciation. The
Series may invest in a broad range of equity securities, including common
stocks. The Series' primary emphasis will in investments of emerging market
issuers.

The Series' portfolio managers consider an "emerging market issuer" to be any
country that:

o the international financial community, including the World Bank and the
International Finance Corporation generally recognizes to be an emerging or
developing country;

o the United Nations classifies as developing; or

o is included in the International Finance Corporation Free Index or the
Morgan Stanley Capital International Emerging Markets Free Index.

Developing or emerging countries include almost every nation in the world except
the United States, Canada, Japan, Australia, New Zealand and most nations
located in Western and Northern Europe. A representative list of the countries
where we may invest includes: Argentina, Brazil, Chile, China, Croatia, Czech
Republic, Egypt, Estonia, Hungary, India, Indonesia, Israel, Malaysia, Mexico,
Morocco, Panama, Poland, Republic of Korea, Russia, South Africa, Taiwan, and
Thailand. We may invest in other countries, particularly as markets in other
emerging countries develop. More than 25% of the Series' total assets may be
invested in the securities of issuers located in the same country.

o the principal trading market for the company's securities is in an emerging
country;

o the company is organized under the laws of, and has a principal office in,
an emerging country.

When the Series' portfolio managers evaluate individual companies they aim to
apply a value-oriented selection process. That is, the Series' portfolio
managers strive to purchase stocks that are selling for less than their true
value. In order to estimate what a security's true value is, the Series'
portfolio managers evaluate its future income potential, taking into account the
impact both currency fluctuations and inflation might have on that income
stream. The Series' portfolio managers then determine what that income would be
worth if paid today. That helps the Series' portfolio managers decide what they
think the security is worth today. The Series' portfolio managers then compare
their estimate of the security's value to its current price to determine if it
is a good value. However, in emerging markets, more of the return is expected to
come from capital appreciation rather than income. Thus, there is greater
emphasis on the portfolio managers' assessment of the company's future growth
potential.

The Series may invest up to 35% of its net assets in high-yield, high risk
foreign fixed-income securities. This typically includes so-called Brady Bonds.

The Series' investment objective is non-fundamental. This means that the Board
of Trustees may change the objective without obtaining shareholder approval. If
the objective were changed, the Series would notify shareholders before the
change in the objective became effective.

---------------------------------------- ----------------------------------
Securities How the Series uses them
Delaware VIP Emerging Markets
Series
---------------------------------------- ----------------------------------
Common stocks: Securities that The Series will invest its
represent shares of ownership in a assets in common stocks, some of
corporation. Stockholders participate which will be dividend-paying
in the corporation's profits and stocks.
losses, proportionate to the number of
shares they own.
---------------------------------------- ----------------------------------
Corporate bonds: Debt obligations The Series may invest in
issued by U.S. or foreign corporations. corporate obligations issued by
emerging country companies.
These bonds may be high risk,
fixed-income securities.
---------------------------------------- ----------------------------------
Foreign government securities: Debt The Series' portfolio managers
obligations issued by a government may invest a portion of the
other than the United States or by an Series' assets in foreign
agency, instrumentality or political governmental securities issued
subdivision of such governments. by emerging or developing
countries, which may be lower
rated, including securities
rated below investment grade.
---------------------------------------- ----------------------------------
Investment company securities: In some The Series may hold open-end and
countries, investments by U.S. mutual closed-end investment company
funds are generally made by purchasing securities if the Series'
shares of investment companies that in portfolio managers believe the
turn invest in the securities of such country offers good investment
countries. opportunities. These investments
involve an indirect payment of a
portion of the expenses of the
other investment companies,
including their advisory fees.
---------------------------------------- ----------------------------------
Foreign currency transactions: A The Series may invest in
forward foreign currency exchange securities issued in any
contract involves an obligation to currency and hold foreign
purchase or sell a specific currency currency. Securities of issuers
on a fixed future date at a price that within a given country may be
is set at the time of the contract. denominated in the currency of
The future date may be any number of another country or in
days from the date of the contract as multinational currency units
agreed by the parties involved. such as the euro.

Although the Series values its
assets daily in U.S. dollars, it
does not intend to convert its
holdings of foreign currencies
into U.S. dollars on a daily
basis. The Series will, however,
from time to time, purchase or
sell foreign currencies and/or
engage in forward foreign
currency exchange transactions.
The Series may conduct its
foreign currency transactions on
a cash basis at the rate
prevailing in the foreign
currency exchange market or
through a forward foreign
currency exchange contract or
forward contract.

---------------------------------------- ----------------------------------
Securities How the Series uses them
Delaware VIP Emerging Markets
Series
---------------------------------------- ----------------------------------
American Depositary Receipts (ADRs), The Series may invest in
European Depositary Receipts (EDRs), sponsored and unsponsored ADRs,
and Global Depositary Receipts (GDRs): EDRs and GDRs, generally
ADRs are receipts issued by a U.S. focusing on those whose
depositary (usually a U.S. bank) and underlying securities are issued
EDRs and GDRs are receipts issued by a by foreign entities.
depositary outside of the U.S.
(usually a non-U.S. bank or trust To determine whether to purchase
company or a foreign branch of a U.S. a security in a foreign market
bank). Depositary receipts represent or through depositary receipts,
an ownership interest in an underlying the Series' portfolio managers
security that is held by the evaluate the price levels, the
depositary. Generally, the holder of transaction costs, taxes and
the depositary receipt is entitled to administrative costs involved
all payments of interest, dividends or with each security to identify
capital gains that are made on the the most efficient choice.
underlying security.
---------------------------------------- ----------------------------------
Brady Bonds: These are debt securities The Series may invest in Brady
issued under the framework of the Bonds. The Series' portfolio
Brady Plan, an initiative for debtor managers believe that the
nations to restructure their economic reforms undertaken by
outstanding external indebtedness countries in connection with the
(generally, commercial bank debt). issuance of Brady Bonds can make
Brady Bonds tend to be of lower the debt of countries that have
quality and more speculative than issued or have announced plans
securities of developed country to issue these bonds a viable
issuers. opportunity for investment.

---------------------------------------- ----------------------------------
High-yield, high risk fixed-income The Series may invest up to 35%
securities: Securities that are rated of its net assets, in
lower than BBB by S&P or Baa by high-yield, high risk foreign
Moody's, or if unrated, of comparable fixed-income securities.
quality. These securities, also known
as "junk bonds," may be issued by
companies or governments of emerging
or developing countries, which may be
less creditworthy. The risk that these
companies or governments may not be
able to make interest or principal
payments is substantial.

---------------------------------------- ----------------------------------
Repurchase agreements: An agreement Typically, the Series' portfolio
between a buyer, such as the Series, managers use repurchase
and a seller of securities in which agreements as a short-term
the seller agrees to buy the investment for the Series' cash
securities back within a specified position. In order to enter into
time at the same price the buyer paid these repurchase agreements, the
for them, plus an amount equal to an Series must have collateral of
agreed upon interest rate. Repurchase 102% of the repurchase price.
agreements are often viewed as The Series may enter into
equivalent to cash. repurchase agreements in which
the collateral is any security
in which it may invest, but
normally uses U.S. government
securities as collateral.
---------------------------------------- ----------------------------------
Restricted securities: Privately The Series' portfolio managers
placed securities whose resale is may invest in privately placed
restricted under securities law. securities, including those that
are eligible for resale only
among certain institutional
buyers without registration
which are commonly known as Rule
144A Securities. Restricted
securities that are determined
to be illiquid may not exceed
the Series' 10% limit on
illiquid securities, which is
described below.

---------------------------------------- ----------------------------------
Illiquid securities: Securities that The Series' portfolio managers
do not have a ready market, and cannot may invest up to 10% of net
be easily sold within seven days at assets in illiquid securities,
approximately the price that the including repurchase agreements
Series has valued them. with maturities of over seven
days.
---------------------------------------- ----------------------------------

The risks of investing in the Series
Investing in any mutual fund involves risk, including the risk that you may
receive little or no return on your investment, and the risk that you may lose
part or all of the money you invest. Before you invest in the Series, you should
carefully evaluate the risks. An investment in the Series typically provides the
best results when held for a number of years. The table below describes the
principal risks you assume when investing in the Delaware VIP Emerging Markets
Series. Please see the SAI for further discussion of these risks and other risks
not discussed here.

---------------------------------------- ----------------------------------
Risks How the Series strives to manage
them
Delaware VIP Emerging Markets
Series
---------------------------------------- ----------------------------------
Market risk is the risk that all or a The Series' portfolio managers
majority of the securities in a maintain a long-term investment
certain market--like the stock or bond approach and focus on stocks the
market--will decline in value because Series' portfolio managers
of factors such as economic believe can appreciate over an
conditions, future expectations or extended time frame regardless
investor confidence. of interim market fluctuations.
In deciding what portion of the
Series' portfolio should be
invested in any individual
country, the Series' portfolio
managers evaluate a variety of
factors, including opportunities
and risks relative to other
countries. The Series' portfolio
managers can also somewhat
reduce market risk by holding a
diversified portfolio.
---------------------------------------- ----------------------------------
Industry and security risk: Industry The Series' portfolio managers
risk is the risk that the value of typically hold a number of
securities in a particular industry different securities in a
will decline because of changing variety of sectors in order to
expectations for the performance of minimize the impact that a
that industry. poorly performing security would
have on the Series. This risk is
Security risk is the risk that the more significant for the Series,
value of an individual stock or bond which is a non-diversified fund.
will decline because of changing
expectations for the performance of
the individual company issuing the
security.
---------------------------------------- ----------------------------------
Foreign risk is the risk that foreign The Series' portfolio managers
securities may be adversely affected carefully evaluate the overall
by political instability (including situations in the countries
governmental seizures or where they invest in an attempt
nationalization of assets), changes in to reduce these risks. The
currency exchange rates, foreign Series' portfolio managers also
economic conditions or lax regulatory tend to avoid markets where they
and accounting standards. Foreign believe accounting principles or
markets may also be less efficient, the regulatory structure are too
less liquid, have greater price underdeveloped.
volatility, less regulation and higher
transaction costs than U.S. markets.
---------------------------------------- ----------------------------------
Currency risk is the risk that the The Series may try to hedge its
value of an investment may be currency risk by purchasing
negatively affected by changes in foreign currency exchange
foreign currency exchange rates. contracts. If the Series agrees
Adverse changes in exchange rates may to purchase or sell foreign
reduce or eliminate any gains produced securities at a pre-set price on
by investments that are denominated in a future date, the Series
foreign currencies and may increase attempts to protect the value of
any losses. a security its own from future
changes in currency rates. If
the Series has agreed to
purchase or sell a security, it
may also use foreign currency
exchange contracts to "lock-in"
the security's price in terms of
U.S. dollars or another
applicable currency. The Series
may use forward currency
exchange contracts only for
defensive or protective
measures, not to enhance
portfolio returns. However,
there is no assurance that such
a strategy will be successful.

Another way in which the Series
can protect against this risk is
by holding stocks whose earnings
are from exports or priced in
U.S. dollars, so that a
devaluation

means unchanged U.S.
dollars earnings (and higher
local currency earnings).
---------------------------------------- ----------------------------------
Small company risk is the risk that The Series may invest in small
prices of smaller companies may be companies and would be subject
more volatile than larger companies to this risk. The Series'
because of limited financial resources portfolio managers typically
or dependence on narrow product lines. hold a number of different
Small company risk also comes from stocks in order to reduce the
lower liquidity typically associated impact that one small company
with small company stocks, which means stock would have on the Series.
the price may be affected by poorly This risk is more significant
executed trades, even if the for the Series, which is a
underlying business of the company is non-diversified fund.
unchanged.
---------------------------------------- ----------------------------------
Political risk is the risk that The Series' portfolio managers
countries or the entire region where carefully evaluate the political
the Series invests may experience situations in the countries
political instability, which may cause where they invest and take into
greater fluctuation in the value and account any potential risks
liquidity of our investments due to before they select securities
changes in currency exchange rates, for the portfolio. The Series'
governmental seizures or portfolio managers can also
nationalization of assets. somewhat reduce political risk
by holding a diversified
portfolio. However, there is no
way to eliminate political risk
when investing internationally.
---------------------------------------- ----------------------------------
Emerging markets risk is the Striving to manage this risk,
possibility that the risks associated the portfolio managers carefully
with international investing will be screen securities within
greater in emerging markets than in emerging markets and attempt to
more developed foreign markets consider material risks
because, among other things, emerging associated with an individual
markets may have less stable political company or bond issuer. The
and economic environments. Series' portfolio managers
cannot eliminate emerging market
risk and consequently encourage
shareholders to invest in this
Series only if they have a
long-term time horizon, over
which the potential of
individual securities is more
likely to be realized.
---------------------------------------- ----------------------------------
Inefficient market risk is the risk The Series will attempt to
that foreign markets may be less reduce these risks by investing
liquid, have greater price volatility, in a number of different
less regulation and higher transaction countries, and noting trends in
costs than U.S. markets. the economy, industries and
financial markets.
---------------------------------------- ----------------------------------
Information risk is the possibility The Series conducts a great deal
that foreign companies are subject to of fundamental research on the
different accounting, auditing and companies that it invests in
financial reporting standards than rather than relying solely on
U.S. companies. There may be less information available through
information available about foreign financial reporting. The Series'
issuers than domestic issuers. portfolio managers believe this
Furthermore, regulatory oversight of will help them to better uncover
foreign issuers may be less stringent any potential weaknesses in
or less consistently applied than in individual companies.
the United States.
---------------------------------------- ----------------------------------
Non-diversified funds risk is the risk The Series is a non-diversified
that non-diversified investment fund as defined by the
companies have the flexibility to Investment Company Act of 1940.
invest as much as 50% of their assets Nevertheless, the Series'
in as few as two issuers with no portfolio managers typically
single issuer accounting for more than hold securities from a variety
25% of the portfolio. The remaining of different issuers,
50% of the portfolio must be representing a number of
diversified so that no more than 5% of different countries. The Series'
a fund's assets is invested in the portfolio managers also perform
securities of a single issuer. Because extensive analysis on all
a non-diversified fund may invest its securities, particularly those
assets in fewer issuers, the value of that represent a larger
fund shares may increase or decrease percentage of portfolio assets.
more rapidly than if the series were
fully diversified.
---------------------------------------- ----------------------------------

The Series also compares the
risk-reward potential of foreign
government securities being
considered to that offered by
equity securities to determine
whether to allocate assets to
equity or fixed-income
investments.
---------------------------------------- ----------------------------------
Credit risk of high-yield, high risk The Series may invest up to 35%
fixed-income securities is the risk of its net assets in high-yield,
that securities rated lower than BBB high risk foreign fixed-income
by S&P and Baa by Moody's are securities.
considered to be of poor standing and
predominantly speculative as to the The Series' portfolio managers
issuer's ability to repay interest and intend to limit their investment
principal. in any single lower rated bond,
which can help to reduce the
These bonds are often issued by less effect of an individual default
creditworthy companies or by highly on the Series. The Series'
leveraged (indebted) firms, which are portfolio managers also intend
generally less able than more to limit their overall holdings
financially stable firms to make of bonds in this category. Such
scheduled payments of interest and limitations may not protect the
principal. The risks posed by bonds Series from widespread bond
issued under such circumstances are defaults brought about by a
substantial. sustained economic downturn or
from price declines that might
If there were a national credit crisis result from changes in the
or an issuer were to become insolvent, quality ratings of individual
principal values could be adversely bonds.
affected.
---------------------------------------- ----------------------------------
Transaction costs risk is the risk The Series' portfolio managers
that the costs of buying, selling and strive to monitor transaction
holding foreign securities, including costs and to choose an efficient
brokerage, tax and custody costs, may trading strategy for the Series.
be higher than those involved in
domestic transactions.
---------------------------------------- ----------------------------------

Disclosure of portfolio holdings information
A description of the Series' policies and procedures with respect to the
disclosure of the Series' portfolio securities is available in the Series' SAI.

Portfolio managers

Robert Akester has primary responsibility for making day-to-day investment
decisions for Delaware VIP Emerging Markets Series. In making investment
decisions for the Series, Mr. Akester regularly consults with five colleagues
who, together with Mr. Akester, form the Equities Emerging Markets team at
Mondrian.

Who's who?

The following describes the various organizations involved in managing,
administering, and servicing the Series.

Board of Trustees
A mutual fund is governed by a board of trustees which has oversight
responsibility for the management of the fund's business affairs. Trustees
establish procedures and oversee and review the performance of the investment
manager, the distributor and others that perform services for the series.
Generally, at least 40% of the board of trustees must be independent of the
fund's investment manager and distributor. However, the Series relies on certain
exemptive rules adopted by the Securities and Exchange Commission (SEC) that
require its Board of Trustees to be comprised of a majority of such independent
Trustees. These independent fund Trustees, in particular, are advocates for
shareholder interests.

Investment manager
Delaware Management Company, 2005 Market Street, Philadelphia, PA 19103-7094

An investment manager is a company responsible for selecting portfolio
investments consistent with objectives and policies stated in the mutual fund's
prospectus. The investment manager places portfolio orders with broker/dealers
and is responsible for obtaining the best overall execution of those orders. A
written contract between a mutual fund and its investment manager specifies the
services the manager performs. Most management contracts provide for the
investment manager to receive an annual fee based on a percentage of the fund's
average daily net assets. The investment manager is subject to numerous legal
restrictions, especially regarding transactions between itself and the funds it
advises. The investment manager has delegated certain responsibilities mentioned
above to the sub-advisor.

Sub-advisor
Mondrian Investment Partners Limited, Third Floor, 80 Cheapside, London, England
EC2V 6EE.

Distributor
Delaware Distributors, L.P., 2005 Market Street, Philadelphia, PA 19103-7094

Shares of the Series are only sold to separate accounts of insurance companies
used in connection with variable annuity or variable life products.

Financial intermediary wholesaler
Lincoln Financial Distributors, Inc. ("LFD"), 2001 Market Street, Philadelphia,
PA 19103-7055

Custodian
JPMorgan Chase Bank, 4 Chase Metrotech Center, Brooklyn, NY 11245

Important Information about the Series

* Pursuant to the Series' 12b-1 Plan, your variable contract salesperson may be
eligible to receive a fee at an annual rate of 0.30% of average daily net assets
applicable to Service Class shares. The maximum 12b-1 fee applicable to Service
Class shares is 0.30%; however, the Distributor has contracted to limit this
amount to 0.25% through the later of April 30, 2007 or the duration of the
limited offering (See "Overview").

Limitations on ability to detect and curtail market timing Contract owners
seeking to engage in market timing may employ a variety of strategies to avoid
detection and, despite the efforts of the Series and its agents to detect
market timing in Series shares, there is no guarantee that the Series will be
able to identify these contract owners or curtail their trading practices. In
particular, the Series may not be able to detect market timing in Series shares
attributable to a particular investor who effects purchase, redemption and/or
exchange activity in Series shares through omnibus accounts. The difficulty of
detecting market timing may be further compounded if these entities utilize
multiple tiers or omnibus accounts.

This discussion of "Dividends, distributions and taxes" is not intended or
written to be used as tax advice. Additional information on tax matters is
included in the SAI.

Certain management considerations

Financial highlights

The financial highlights table is intended to help you understand the financial
performance of the Service Class of the Series. The total returns in the table
represent the rate that an investor would have earned or lost on an investment
in the Series' Service Class (assuming reinvestment of all dividends and
distributions). All "per share" information reflects financial results for a
single Series share. Separate account expenses are not reflected. If the fees at
the separate account level or contract level were included, total return would
be lower. This information has been audited by Ernst & Young LLP, whose report,
along with the Series' financial statements, is included in the Series' annual
report, which is available upon request by calling 800 523-1918.

Delaware VIP Emerging Markets Series
Service Class
Year Ended
12/31
2005 2004 2003 2002 2001

Net asset value, beginning of period $14.480 $11.170 $6.770 $6.610 $6.310

Income from investment operations:
Net investment income(1) 0.372 0.231 0.197 0.204 0.189
Net realized and unrealized gain on
investments and foreign currencies 3.507 3.397 4.402 0.138 0.135
------- ------- ------ ------ -------
Total from investment operations 3.879 3.628 4.599 0.342 0.324
------- ------- ------ ------ -------
Less dividends and distributions
from:
Net investment income (0.019) (0.318) (0.199) (0.182) (0.024)
Net realized gain on investments (0.180) - - - -
------- ------- ------ ------ -------
Total dividends and distributions (0.199) (0.318) (0.199) (0.182) (0.024)
------- ------- ------ ------ -------
Net asset value, end of period $18.160 $14.480 $11.170 $6.770 $6.610
======= ======= ======= ====== =======
Total return(2) 27.11% 33.26% 70.10% 5.03% 5.15%

Ratios and supplemental data:
Net assets, end of period (000
omitted) $78,576 $12,045 $144 $652 $570
Ratio of expenses to average net
assets 1.72% 1.75% 1.71% 1.58% 1.60%
Ratio of expenses to average net
assets prior to expense
limitation and expenses paid
indirectly 1.87% 1.93% 1.83% 1.61% 1.60%
Ratio of net investment income to
average net assets 2.30% 1.90% 2.42% 3.00% 2.89%
Ratio of net investment income to
average net assets prior to
expense limitation and expenses
paid indirectly 2.15% 1.72% 2.30% 2.97% 2.89%
Portfolio turnover 18% 34% 71% 39% 41%

(1) The average shares outstanding method has been applied for per share
information.

(2) Total investment return is based on the change in net asset value of a
share during the period and assumes reinvestment of dividends and
distributions at net asset value. Total investment return reflects waivers
and payment of fees by the manager and distributor, as applicable.
Performance would have been lower had the expense limitation and waiver not
been in effect.

Delaware VIP Emerging Markets Series

Investment Company Act File No. 811-05162

Delaware Series Symbol
CUSIP
Delaware VIP Emerging Markets Series
(Service Class) 246493886

DELAWARE VIP TRUST
Delaware VIP Global Bond Series

Standard Class

2005 Market Street, Philadelphia, PA 19103-7094

Prospectus

April 30, 2006

This Prospectus offers the Delaware VIP Global Bond Series. The Series is in
effect a separate fund issuing its own shares. The shares of the Series are sold
only to separate accounts of life insurance companies (life companies). The
separate accounts are used in conjunction with variable annuity contracts and
variable life insurance policies (variable contracts). The separate accounts
invest in shares of the Series in accordance with allocation instructions
received from contract owners. The investment objective and principal policies
of the Series are described in this Prospectus.

The U.S. Securities and Exchange Commission has not approved or disapproved
these securities or passed upon the accuracy of this Prospectus. Any
representation to the contrary is a criminal offense.

Table of contents
Overview page 3
Delaware VIP Global Bond Series 3

How we mange the Series page 7
Our investment strategies 7
The securities the Series typically invests in 8
The risks of investing in the Series 12
Disclosure of portfolio holdings information 12
Investment manager 15
Portfolio managers 15
Who's who? 16

Financial highlights page 21

Overview: Delaware VIP Global Bond Series

What is the Series' goal?
Delaware VIP Global Bond Series seeks current income consistent with
preservation of principal. Although the Series will strive to achieve its goal,
there is no assurance that it will.

What are the Series' main investment strategies? The Series invests primarily in
fixed-income securities that may also provide the potential for capital
appreciation. The Series is a global fund. Under normal circumstances, the
Series will invest at least 80% of its net assets in debt obligations (the "80%
policy). The portfolio may have portfolio turnover in excess of 100%.

In selecting investments for the Series:

o We strive to identify fixed-income securities that provide high income
potential.

o We consider the value of anticipated future interest and principal
payments, taking into consideration what we anticipate the inflation rate
in that country will be in order to compare the value of different
fixed-income securities, even those issued in different countries. We then
estimate what we think the value of those anticipated future payments would
be worth if they were being paid today. We believe this gives us an
estimate of a bond's true value.

o We generally prefer to purchase securities in countries where the currency
is undervalued or fair-valued compared to other countries because these
securities may offer greater return potential. We attempt to determine
whether a particular currency is overvalued or undervalued by comparing the
amount of goods and services that a dollar will buy in the United States to
the amount of foreign currency required to buy the same amount of goods and
services in another country. When the dollar buys less, the foreign
currency may be overvalued, and when the dollar buys more, the foreign
currency may be undervalued.

What are the main risks of investing in the Series? Investing in any mutual fund
involves risk, including the risk that you may lose part or all of the money you
invest. Over time, the value of your investment in the Series will increase and
decrease according to changes in the value of the securities held in the Series'
portfolio. These fluctuations can be even more pronounced for funds like
Delaware VIP Global Bond Series, which generally invests throughout the world.
The Series' investments normally decrease when there are declines in bond
prices, which can be caused by a drop in the bond market, an adverse change in
interest rates or an adverse situation affecting the issuer of the bond. Because
the Series invests in international securities in both established and
developing countries, it will be affected by international investment risks
related to currency valuations, political instability, economic instability, or
lax accounting and regulatory standards. The Series may invest in high-yield,
high risk foreign fixed-income securities (commonly known as "junk bonds"),
which are subject to substantial risks, particularly during periods of economic
downturns or rising interest rates.

For a more complete discussion of risk, please turn to "The risks of investing
in the Series."

The Series' 80% policy described above may be changed without shareholder
approval. However, shareholders would be given at least 60 days notice prior to
any such change.

An investment in the Series is not a deposit of any bank and is not insured or
guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other
government agency.

Who should invest in the Series
o Investors with long-term financial goals.
o Investors looking for a portfolio that includes both U.S. and foreign
fixed-income securities.
o Investors seeking a measure of capital appreciation.

Who should not invest in the Series
o Investors with short-term financial goals.
o Investors who are unwilling to accept risks of investing in foreign
fixed-income securities.
o Investors who are unwilling to accept share prices that may fluctuate,
sometimes significantly, over the short term.

How has the Series performed?

This bar chart and table can help you evaluate the risks of investing in the
Delaware VIP Global Bond Series Standard Class. We show how the annual returns
for the Series have varied over the past nine calendar years as well as the
average annual return for the one-year and five-year periods and since
inception. The Series' past performance is not necessarily an indication of how
it will perform in the future. The returns reflect applicable expense caps in
effect during the periods. The returns would be lower without the expense cap.
Please see footnote 1 on page 4 for additional information about the expense
cap. Moreover, the performance presented does not reflect any separate account
fees, which would reduce the returns.

[GRAPHIC OMITTED: BAR CHART SHOWING YEAR BY YEAR TOTAL RETURN (Delaware VIP
Global Bond Series Standard Class)]

Year-by-year total return (Delaware VIP Global Bond Series Standard Class)

---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- ----------
1997 1998 1999 2000 2001 2002 2003 2004 2005
---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- ----------
0.88% 7.82% -3.60% 0.86% -0.48% 25.09% 20.36% 13.00% -8.65%
---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- ----------

During the periods illustrated in this bar chart, the Class' highest quarterly
return was 13.27% for the quarter ended June 30, 2002 and its lowest quarterly
return was -5.37% for the quarter ended September 30, 2000.

Average annual returns for periods ending 12/31/05

--------------------- ---------------------- -------------------------------
Citigroup
World Government
Delaware VIP Bond Index
Global Bond Series (reflects no deduction for
Standard Class fees, expenses or taxes)
--------------------- ---------------------- -------------------------------
1 year -8.65% - 6.88%
--------------------- ---------------------- -------------------------------
5 years 9.11% 6.92%
--------------------- ---------------------- -------------------------------
Lifetime
(Inception 5/2/96) 6.44% 5.46%*
--------------------- ---------------------- -------------------------------

The Series' returns above are compared to the performance of the Citigroup World
Government Bond Index. The Citigroup World Government Bond Index is a
market-capitalization weighted benchmark that tracks the performance of the 18
government bond markets of Australia, Austria, Belgium, Canada, Denmark,
Finland, France, Germany, Greece, Ireland, Italy, Japan, the Netherlands,
Poland, Portugal, Spain, Sweden, Switzerland, the United Kingdom and the United
States. You should remember that unlike the Series, the index is unmanaged and
does not reflect the actual costs of operating a mutual fund, such as the costs
of buying, selling and holding securities.

* The Citigroup World Government Bond Index reports returns on a monthly
basis as of the last day of the month. This figure reflects the return from
May 31, 1996 through December 31, 2005.

What are the Series' fees and expenses?
These tables describe the fees and expenses that you may pay if you buy and hold
shares of the Series. These tables and example do not include any fees or sales
charges imposed by your variable insurance contract for which the Series is an
investment option. If they were included, your cost would be higher. Investors
should consult the contract prospectus or disclosure document for more
information

----------------------------------------- ------------------------------------- ---------
You do not pay sales charges directly Maximum sales charge (load) imposed none
from your investments when you buy or on
sell shares of the Standard Class. purchases as a percentage of
offering price
------------------------------------- ---------
Maximum contingent deferred sales none
charge (load)
as a percentage of original
purchase price or
redemption price, whichever is lower
------------------------------------- ---------
Maximum sales charge (load) imposed
on
reinvested dividends none
------------------------------------- ---------
Redemption fees none
------------------------------------- ---------
Exchange fees none
----------------------------------------- ------------------------------------- ---------

----------------------------------------- ------------------------------------- ---------
Annual Series operating expenses are Management fees 0.75%
deducted from the Series' assets. ------------------------------------- ---------
Distribution and service (12b-1) fees none
------------------------------------- ---------
Other expenses 0.34%
------------------------------------- ---------
Total annual fund operating expenses 1.09%
------------------------------------- ---------
Fee waivers and payments(1) (0.09)%
------------------------------------- ---------
Net expenses 1.00%
----------------------------------------- ------------------------------------- ---------

----------------------------------------- ------------------------ ----------
This example is intended to help you 1 year $102
compare the cost of investing in the ------------------------ ----------
Series to the cost of investing in other 3 years $338
mutual funds with similar investment ------------------------ ----------
objectives. We show the cumulative 5 years $592
amount of Series expenses on a ------------------------ ----------
hypothetical investment of $10,000 with 10 years $1,321
an annual 5% return over the time
shown.(2) This example reflects the net
operating expenses with expense waivers
for the one-year period and the total
operating expenses without expense
waivers for years two through ten.
Although your actual costs may be higher
or lower, based on these assumptions your
costs would be those shown here.

----------------------------------------- ------------------------ ----------

How we manage the Series

Our investment strategies
Delaware VIP Global Bond Series seeks current income consistent with the
preservation of principal. We invest primarily in debt obligations that may also
provide the potential for capital appreciation.

We may invest in:

o foreign and U.S. government securities;

o debt obligations of foreign and U.S. companies;

o debt securities of supranational entities;

o securities of issuers in emerging markets countries, including Brady Bonds,
which tend to be of lower quality and more speculative than securities of
developed country issuers; and

o zero-coupon bonds.

While the Series may purchase securities of issuers in any foreign country,
developed or emerging, we currently anticipate investing in Australia, Austria,
Belgium, Canada, Finland, France, Germany, Italy, Japan, the Netherlands,
Poland, Portugal, the United Kingdom and the United States. This is a
representative list; we may also invest in other countries. More than 25% of the
Series' total assets may be invested in the securities of issuers located in the
same country.

Generally, the value of fixed-income securities rises when interest rates
decline and declines when interest rates rise. The value of your investment in
the Series will be affected by changes in interest rates. We generally keep the
average weighted maturity of the portfolio in the five-to-ten year range.
However, if we anticipate a declining interest rate environment, we may extend
the average weighted maturity past ten years, or, if we anticipate a rising rate
environment, we may shorten the average weighted maturity to less than five
years.

The securities we typically invest in
Fixed-income securities offer the potential for greater income payments than
stocks, and also may provide capital appreciation.

---------------------------------------- --------------------------------------
Securities How we use them
Delaware VIP Global Bond Series
---------------------------------------- --------------------------------------
Corporate bonds: Debt obligations The Series may invest in corporate
issued by U.S. or foreign corporations. bonds, generally those rated A or
better by S&P or Moody's or if
unrated, determined to be of
comparable quality. The Series may
also invest in high-yield, high
risk emerging markets corporate
bonds.

---------------------------------------- --------------------------------------
Foreign government securities: Debt The Series will generally invest
obligations issued by a government in securities issued by foreign
other than the United States or by an governments, their agencies,
agency, instrumentality or political instrumentalities or political
subdivision of such governments. subdivisions that are rated AAA or
AA by S&P or Aaa or Aa by Moody's
or, if unrated, considered to be
of comparable quality. We may
invest a portion of the Series'
assets in foreign governmental
securities issued by emerging
countries, which may be lower
rated, including securities rated
below investment grade.

---------------------------------------- --------------------------------------
U.S. government securities: Securities The Series may invest a
issued or guaranteed by the U.S. significant portion of its assets
government or issued by an agency or in U.S. government securities. It
instrumentality of the U.S. government. will invest only in U.S.
government obligations, including
bills, notes and bonds that are
issued or guaranteed as to the
payment of principal and interest
by the U.S. government and
securities of U.S. government
agencies or instrumentalities that
are backed by the full faith and
credit of the United States.

---------------------------------------- --------------------------------------
Investment company securities: In some The Series may hold closed-end
countries, investments by U.S. mutual investment company securities. The
funds are generally made by purchasing Series may hold investment company
shares of investment companies that in securities if we believe the
turn invest in the securities of such country offers good investment
countries. opportunities. These investments
involve an indirect payment of a
portion of the expenses of the
other investment companies,
including their advisory fees.

---------------------------------------- --------------------------------------
Foreign currency transactions: A The Series may invest in
forward foreign currency exchange securities issued in any currency
contract involves an obligation to and hold foreign currency.
purchase or sell a specific currency on Securities of issuers within a
a fixed future date at a price that is given country may be denominated
set at the time of the contract. The in the currency of another country
future date may be any number of days or in multinational currency units
from the date of the contract as agreed such as the euro.
by the parties involved.
Although the Series values its
assets daily in U.S. dollars, it
does not intend to convert its
holdings of foreign currencies
into U.S. dollars on a daily
basis. The Series will, however,
from time to time, purchase or
sell foreign currencies and/or
engage in forward foreign currency
exchange transactions. The Series
may conduct its foreign currency
transactions on a cash basis at
the rate prevailing in the foreign
currency exchange market or
through a forward foreign currency
exchange contract or forward
contract.

---------------------------------------- --------------------------------------
Supranational entities: Debt securities The Series may invest a
of supranational entities may be significant portion of its assets
denominated in any currency. These in debt securities of
securities are typically of high-grade supranational entities.
quality. A supranational entity is an
entity established or financially
supported by the national governments
of one or more countries to promote
reconstruction or development. The
International Bank for Reconstruction
and Development (more commonly known as
the World Bank) would be one example of
a supranational entity.

---------------------------------------- --------------------------------------
Zero coupon bonds: Zero coupon bonds The Series may invest in zero
are debt obligations that do not coupon bonds.
entitle the holder to any periodic
payments of interest before maturity or
a specified date when the securities
begin paying current interest.
Therefore, they are issued and traded
at a discount from their face amounts
or par value. The market prices of zero
coupon bonds are generally more
volatile than the market prices of
securities that pay interest
periodically and are likely to respond
to changes in interest rates to a
greater degree than do non-zero coupon
securities having similar maturities
and credit quality.

---------------------------------------- --------------------------------------
Brady Bonds: These are debt securities The Series may invest in Brady
issued under the framework of the Brady Bonds. We believe that the
Plan, an initiative for debtor nations economic reforms undertaken by
to restructure their outstanding countries in connection with the
external indebtedness (generally, issuance of Brady Bonds can make
commercial bank debt). Brady Bonds tend the debt of countries that have
to be of lower quality and more issued or have announced plans to
speculative than securities of issue these bonds a viable
developed country issuers. opportunity for investment.

---------------------------------------- --------------------------------------
High-yield, high risk fixed-income The Series may invest a portion of
securities: Securities that are rated its assets in these securities.
lower than BBB by S&P or Baa by
Moody's, or if unrated, of comparable
quality. These securities, also known
as "junk bonds," may be issued by
companies or governments of emerging or
developing countries, which may be less
creditworthy. The risk that these
companies or governments may not be
able to make interest or principal
payments is substantial.

---------------------------------------- --------------------------------------
Repurchase agreements: An agreement Typically, we use repurchase
between a buyer, such as the Series, agreements as a short-term
and a seller of securities in which the investment for the Series' cash
seller agrees to buy the securities position. In order to enter into
back within a specified time at the these repurchase agreements, the
same price the buyer paid for them, Series must have collateral of
plus an amount equal to an agreed upon 102% of the repurchase price. The
interest rate. Repurchase agreements Series may enter into repurchase
are often viewed as equivalent to cash. agreements in which the collateral
is any security in which it may
invest, but normally uses U.S.
government securities as
collateral.

---------------------------------------- --------------------------------------
Restricted securities: Privately placed We may invest in privately placed
securities whose resale is restricted securities, including those that
under securities law. are eligible for resale only among
certain institutional buyers
without registration which are
commonly known as Rule 144A
Securities. Restricted securities
that are determined to be illiquid
may not exceed the Series' 10%
limit on illiquid securities,
which is described below.

---------------------------------------- --------------------------------------
Illiquid securities: Securities that do We may invest up to 10% of net
not have a ready market, and cannot be assets in illiquid securities,
easily sold within seven days at including repurchase agreements
approximately the price that the Series with maturities of over seven days.
has valued them.

---------------------------------------- --------------------------------------
Credit default swap agreements: In a We may enter into credit default
credit default swap, the Series may swaps in order to hedge against a
transfer the financial risk of a credit credit event, to enhance total
event occurring (a bond default, return or to gain exposure to
bankruptcy, restructuring, etc.) on a certain securities or markets.
particular security or basket of
securities to another party by paying
that party a periodic premium;
likewise, the Series may assume the
financial risk of a credit event
occurring on a particular security or
basket of securities in exchange for
receiving premium payments from another
party. Credit default swaps may be
considered to be illiquid.

---------------------------------------- --------------------------------------

The Series may also invest in other securities including futures contracts and
options and interest rate swaps. Please see the Statement of Additional
Information (SAI) for additional descriptions of these securities as well as
those listed in the table above.

Portfolio turnover We anticipate that the Series' annual portfolio turnover may
be greater than 100%. A turnover rate of 100% would occur if, for example, the
Series bought and sold all of the securities in its portfolio once in the course
of a year or frequently traded a single security. High turnover can result in
increased transaction costs for investors and may affect the Series'
performance.

The risks of investing in the Series
Investing in any mutual fund involves risk, including the risk that you may
receive little or no return on your investment, and the risk that you may lose
part or all of the money you invest. Before you invest in the Series, you should
carefully evaluate the risks. An investment in the Series typically provides the
best results when held for a number of years. The table below describes the
principal risks you assume when investing in the Delaware VIP Global Bond
Series. Please see the SAI for further discussion of these risks and other risks
not discussed here.

-------------------------------------- --------------------------------------
Risks How we strive to manage them
Delaware VIP Global Bond Series
-------------------------------------- --------------------------------------
Market risk is the risk that all or a We maintain a long-term investment
majority of the securities in a approach and focus on stocks we
certain market--like the stock or bond believe can appreciate over an
market--will decline in value because extended time frame regardless of
of factors such as economic interim market fluctuations. In
conditions, future expectations or deciding what portion of the Series'
investor confidence. portfolio should be invested in any
individual country, we evaluate a
variety of factors, including
opportunities and risks relative to
other countries. As part of the
Series' principal investment
strategy, the Series may invest in
securities that generally have
relatively less market risk.

-------------------------------------- --------------------------------------
Industry and security risk: Industry We typically hold a number of
risk is the risk that the value of different securities in a variety of
securities in a particular industry sectors in order to minimize the
will decline because of changing impact that a poorly performing
expectations for the performance of security would have on the Series.
that industry. This risk is more significant for the
Series, which is a non-diversified
Security risk is the risk that the fund.
value of an individual stock or bond
will decline because of changing
expectations for the performance of
the individual company issuing the
security.

-------------------------------------- --------------------------------------
Interest rate risk is the risk that Interest rate risk is a significant
securities, particularly bonds with risk for the Series. In an attempt
longer maturities, will decrease in to manage interest rate risk, we
value if interest rates rise. adjust the Series' average weighted
maturity based on our view of
interest rates. The Series' average
weighted maturity will generally be
in the five-to-ten year range. When
we anticipate that interest rates
will decline, we may extend the
average maturity beyond ten years and
when we anticipate that interest
rates will rise, we may shorten the
average maturity to less than five
years.

-------------------------------------- --------------------------------------
Currency risk is the risk that the The Series may try to hedge its
value of an investment may be currency risk by purchasing foreign
negatively affected by changes in currency exchange contracts. If the
foreign currency exchange rates. Series agrees to purchase or sell
Adverse changes in exchange rates may foreign securities at a pre-set price
reduce or eliminate any gains on a future date, the Series attempts
produced by investments that are to protect the value of a security it
denominated in foreign currencies and owns from future changes in currency
may increase any losses. rates. If the Series has agreed to
purchase or sell a security, it may
In 1999 eleven European countries also use foreign currency exchange
joined the European Economic and contracts to "lock-in" the
Monetary Union (EMU), which security's price in terms of U.S.
established a common currency for the dollars or another applicable
participating countries. This currency. The Series may use forward
currency is known as the "euro". It currency exchange contracts only for
has replaced legacy currencies such defensive or protective measures, not
as the French franc and the to enhance portfolio returns.
deutschemark, which were converted to However, there is no assurance that
euros at fixed exchange rates. The such a strategy will be successful.
main initial consequence for
investors is that this has created a
much bigger and more liquid bond and
equity market. This has eliminated
currency risk within the euro zone,
but the risk that the euro will
fluctuate versus third currencies
such as the U.S. dollar has not been
eliminated or reduced. Within the
euro zone, our view is that the
longer term risks are economic and
political - a single currency means a
single monetary policy, which may not
suit an individual country at a
particular time. There are no
explicit legal provisions for a
country to exit EMU; such an exit
pre-supposes a strong political
demand for it, of which there is no
sign at this point in time.

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Political risk is the risk that We evaluate the political situations
countries or the entire region where in the countries where we invest and
we invest may experience political take into account any potential risks
instability. This may cause greater before we select securities for the
fluctuation in the value and portfolio. However, there is no way
liquidity of our investments due to to eliminate political risk when
changes in currency exchange rates, investing internationally.
governmental seizures or
nationalization of assets.

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Emerging markets risk is the Striving to manage this risk, the
possibility that the risks associated portfolio managers carefully screen
with international investing will be securities within emerging markets
greater in emerging markets than in and attempt to consider material
more developed foreign markets risks associated with an individual
because, among other things, emerging company or bond issuer. We cannot
markets may have less stable eliminate emerging market risk and
political and economic environments. consequently encourage shareholders
to invest in the Series only if they
have a long-term time horizon, over
which the potential of individual
securities is more likely to be
realized.

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Inefficient market risk is the risk The Series will attempt to reduce
that foreign markets may be less these risks by investing in a number
liquid, have greater price of different countries, and noting
volatility, less regulation and trends in the economy, industries and
higher transaction costs than U.S. financial markets.
markets.
The Series will also perform credit
analysis in an attempt to reduce
these risks.

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Information risk is the risk that We conduct fundamental research on
foreign companies may be subject to the companies we invest in rather
different accounting, auditing and than relying solely on information
financial reporting standards than available through financial
U.S. companies. There may be less reporting. We believe this will help
information available about foreign us to better uncover any potential
issuers than domestic issuers. weaknesses in individual companies.
Furthermore, regulatory oversight of
foreign issuers may be less stringent
or less consistently applied than in
the United States.

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Non-diversified funds risk is the The Series is a non-diversified fund
risk that non-diversified investment as defined by the Investment Company
companies have the flexibility to Act of 1940. Nevertheless, we
invest as much as 50% of their assets typically hold securities from a
in as few as two issuers with no variety of different issuers,
single issuer accounting for more representing a number of different
than 25% of the portfolio. The countries. We also perform extensive
remaining 50% of the portfolio must analysis on all securities,
be diversified so that no more than particularly those that represent a
5% of a fund's assets is invested in larger percentage of portfolio assets.
the securities of a single issuer.
Because a non-diversified fund may
invest its assets in fewer issuers,
the value of series shares may
increase or decrease more rapidly
than if the series were fully
diversified.

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Foreign government and supranational The Series will attempt to limit this
securities risk is the risk that risk by performing credit analysis on
relates to the ability of a foreign the issuer of each security purchased.
government or government related
issuer to make timely payments on its The Series attempts to reduce the
external debt obligations. risks associated with investing in
foreign governments by focusing on
bonds rated within the two highest
rating categories.

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Credit risk of high-yield, high risk The Series may invest a portion of
fixed-income securities is the risk its assets in these securities. We
that securities rated lower than BBB intend to limit our investment in any
by S&P and Baa by Moody's are single lower rated bond, which can
considered to be of poor standing and help to reduce the effect of an
predominantly speculative as to the individual default on the Series. We
issuer's ability to repay interest also intend to limit our overall
and principal. holdings of bonds in this category.
Such limitations may not protect the
These bonds are often issued by less Series from widespread bond defaults
creditworthy companies or by highly brought about by a sustained economic
leveraged (indebted) firms, which are downturn or from price declines that
generally less able than more might result from changes in the
financially stable firms to make quality ratings of individual bonds.
scheduled payments of interest and
principal. The risks posed by bonds
issued under such circumstances are
substantial.

If there were a national credit
crisis or an issuer were to become
insolvent, principal values could be
adversely affected.

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Transaction costs risk is the risk We strive to monitor transaction
that the costs of buying, selling and costs and to choose an efficient
holding foreign securities, including trading strategy for the Series.
brokerage, tax and custody costs, may
be higher than those involved in
domestic transactions.

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Derivatives Risk is the possibility We will use derivatives for defensive
that the Series may experience a purposes, such as to protect gains or
significant loss if it employs a hedge against potential losses in the
derivatives strategy (including a portfolio without actually selling a
strategy involving credit default security, to neutralize the impact of
swaps) related to a security or a interest rate changes, to affect
securities index and that security or diversification or to earn additional
index moves in the opposite direction income.
from what the portfolio manager had
anticipated. Another risk of
derivative transactions is the
creditworthiness of the counterparty
because the transaction depends on
the willingness and ability of

the counterparty to fulfill its
contractual obligations. Derivatives
also involve additional expenses,
which could reduce any benefit or
increase any loss to a series from
using the strategy.

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Disclosure of portfolio holdings information
A description of the Series' policies and procedures with respect to the
disclosure of the Series' portfolio securities is available in the Series' SAI.

Investment manager
The Series is managed by Delaware Management Company, a series of Delaware
Management Business Trust, which is an indirect, wholly owned subsidiary of
Delaware Management Holdings, Inc. Delaware Management Company makes investment
decisions for the Series, manages the Series' business affairs and provides
daily administrative services. The aggregate advisory fee paid by the Series
during the last fiscal year was 0.64%.

Portfolio manager
Philip R. Perkins has primary responsibility for making the day-to-day
investment decisions for the Series. Mr. Perkins assumed responsibility for the
Series on September 24, 2004.

Philip R. Perkins, Senior Vice President/Senior Portfolio Manager, holds a B.A.
from the University of Notre Dame. He joined Delaware Investments in June 2003
from Deutsche Bank A.G., where he served as a Managing Director in Global
Markets. He was Chief Operating Officer for the Bank's Emerging Markets
Division, based in London. From 1998 to 2001, he was based in Moscow and
responsible for the Bank's Local Markets Trading. Prior to that, Mr. Perkins was
Chief Executive Officer of Dinner Key Advisors Inc., a registered broker dealer
founded to trade derivative mortgage-backed bonds with institutional clients. He
began his career at Salomon Brothers, where he was a Mortgage/CMO trader from
1985 to 1990.