Item No. 77.D

CIK No :
File No.:

        VANGUARD(R) CALIFORNIA INSURED INTERMEDIATE-TERM TAX-EXEMPT FUND
            VANGUARD(R) CALIFORNIA INSURED LONG-TERM TAX-EXEMPT FUND
              VANGUARD(R) FLORIDA INSURED LONG-TERM TAX-EXEMPT FUND

             SUPPLEMENT TO THE PROSPECTUSES DATED NOVEMBER 12, 2001


            VANGUARD(R) NEW JERSEY INSURED LONG-TERM TAX-EXEMPT FUND
             VANGUARD(R) NEW YORK INSURED LONG-TERM TAX-EXEMPT FUND
           VANGUARD(R) PENNSYLVANIA INSURED LONG-TERM TAX-EXEMPT FUND

               SUPPLEMENT TO THE PROSPECTUSES DATED MARCH 27, 2001


FUNDS TO CHANGE INVESTMENT POLICIES
The boards of  trustees  of the funds  listed  above have  decided to remove the
requirement that each fund hold a minimum  percentage of its assets in municipal
bonds that are insured.  Each fund will file a  registration  statement with the
U.S.  Securities  and Exchange  Commission on January 25, 2002,  reflecting  the
policy change and removing the word  "Insured"  from its fund name.  The changes
are  expected  to take effect in late March 2002.  Each fund will  maintain  its
objective of providing income exempt from both federal and state personal income
taxes.
     The trustees' decision to remove the insurance requirement was based on the
rising cost of this insurance (a cost that directly  reduces a bond's yield) and
on a  reduction  in the number of newly  issued  insured  bonds.  As each fund's
manager changes the fund's  composition and gradually buys more uninsured bonds,
the fund will  experience a modest  increase in credit risk.  However,  Vanguard
expects  that the policy  change  will have a  favorable  impact on each  fund's
yield,  because  uninsured  bonds  typically  carry higher  yields than those of
insured  bonds.  In  addition,  each  fund will  adhere  to high  credit-quality
standards  by  investing  at least  75% of its  assets in  high-grade  municipal
bonds--those  with credit  ratings in one of the three  highest  categories,  as
determined by independent bond-rating agencies. The remainder of a fund's assets
may be invested in bonds from the fourth-highest  credit-quality  category, with
the exception that up to 5% of a fund's assets may be invested in lower-rated or
unrated securities.





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