# EDGAR Filing Document

**Accession Number:** 0000837274
**File Stem:** 0001133228-26-002048
**Filing Date:** 2026-2
**Character Count:** 1923631
**Document Hash:** 4a83af218ba2454e0c0a51fe57b9d613
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001133228-26-002048.hdr.sgml**: 20260225

**ACCESSION NUMBER**: 0001133228-26-002048

**CONFORMED SUBMISSION TYPE**: N-CSR

**PUBLIC DOCUMENT COUNT**: 250

**CONFORMED PERIOD OF REPORT**: 20251231

**FILED AS OF DATE**: 20260225

**DATE AS OF CHANGE**: 20260225

**EFFECTIVENESS DATE**: 20260225

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** FRANKLIN TEMPLETON VARIABLE INSURANCE PRODUCTS TRUST
- **CENTRAL INDEX KEY:** 0000837274

**ORGANIZATION NAME:**
- **EIN:** 000000000
- **STATE OF INCORPORATION:** FL
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** N-CSR
- **SEC ACT:** 1940 Act
- **SEC FILE NUMBER:** 811-05583
- **FILM NUMBER:** 26674672

**BUSINESS ADDRESS:**
- **STREET 1:** ONE FRANKLIN PARKWAY
- **CITY:** SAN MATEO
- **STATE:** CA
- **ZIP:** 94403-1906
- **BUSINESS PHONE:** 650-312-2000

**MAIL ADDRESS:**
- **STREET 1:** ONE FRANKLIN PARKWAY
- **CITY:** SAN MATEO
- **STATE:** CA
- **ZIP:** 94403-1906

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** FRANKLIN VALUEMARK FUNDS
- **DATE OF NAME CHANGE:** 19920703

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** FRANKLIN VALUEMARK ANNUITY FUNDS
- **DATE OF NAME CHANGE:** 19881129

## Series and Classes Contracts Data

### FRANKLIN DYNATECH VIP FUND (Series ID: S000007312)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000020093 | Class 2      |  |
| C000061775 | Class 4      |  |

### FRANKLIN RISING DIVIDENDS VIP FUND (Series ID: S000007313)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000020094 | Class 1      |  |
| C000020095 | Class 2      |  |
| C000061776 | Class 4      |  |

### FRANKLIN SMALL-MID CAP GROWTH VIP FUND (Series ID: S000007314)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000020096 | Class 1      |  |
| C000020097 | Class 2      |  |
| C000061777 | Class 4      |  |

### FRANKLIN SMALL CAP VALUE VIP FUND (Series ID: S000007315)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000020098 | Class 1      |  |
| C000020099 | Class 2      |  |
| C000061778 | Class 4      |  |

### FRANKLIN STRATEGIC INCOME VIP FUND (Series ID: S000007316)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000020100 | Class 1      |  |
| C000020101 | Class 2      |  |
| C000061779 | Class 4      |  |

### FRANKLIN U.S. GOVERNMENT SECURITIES VIP FUND (Series ID: S000007317)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000020102 | Class 1      |  |
| C000020103 | Class 2      |  |

### FRANKLIN MUTUAL GLOBAL DISCOVERY VIP FUND (Series ID: S000007319)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000020106 | Class 1      |  |
| C000020107 | Class 2      |  |
| C000061781 | Class 4      |  |

### FRANKLIN MUTUAL SHARES VIP FUND (Series ID: S000007320)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000020108 | Class 1      |  |
| C000020109 | Class 2      |  |
| C000061782 | Class 4      |  |

### TEMPLETON DEVELOPING MARKETS VIP FUND (Series ID: S000007321)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000020110 | Class 1      |  |
| C000020111 | Class 2      |  |
| C000061783 | Class 4      |  |

### TEMPLETON FOREIGN VIP FUND (Series ID: S000007322)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000020113 | Class 1      |  |
| C000020114 | Class 2      |  |
| C000061784 | Class 4      |  |

### TEMPLETON GLOBAL BOND VIP FUND (Series ID: S000007325)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000020120 | Class 1      |  |
| C000020121 | Class 2      |  |
| C000061787 | Class 4      |  |

### TEMPLETON GROWTH VIP FUND (Series ID: S000007326)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000020123 | Class 1      |  |
| C000020124 | Class 2      |  |
| C000061788 | Class 4      |  |

### FRANKLIN GROWTH AND INCOME VIP FUND (Series ID: S000007327)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000020125 | Class 1      |  |
| C000020126 | Class 2      |  |

### FRANKLIN INCOME VIP FUND (Series ID: S000007329)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000020129 | Class 1      |  |
| C000020130 | Class 2      |  |
| C000061791 | Class 4      |  |

### FRANKLIN LARGE CAP GROWTH VIP FUND (Series ID: S000007330)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000020131 | Class 1      |  |
| C000020132 | Class 2      |  |

### FRANKLIN GLOBAL REAL ESTATE VIP FUND (Series ID: S000007333)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000020136 | Class 1      |  |
| C000020137 | Class 2      |  |

### Franklin Allocation VIP Fund (Series ID: S000017299)

| Class ID   | Class Name   | Ticker Symbol   |
|:---|:---|:---|
| C000047853 | Class 1      |  |
| C000047854 | Class 2      |  |
| C000061795 | Class 4      |  |

?xml version='1.0' encoding='ASCII'? 2026-01-1474300065500_FranklinAllocationVIPFund_Class1_TSRAnnual

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

**FORM N-CSR**

CERTIFIED SHAREHOLDER REPORT OF REGISTERED

MANAGEMENT INVESTMENT COMPANIES

Investment Company Act file number **811-05583**

**Franklin Templeton Variable Insurance Products Trust**

(Exact name of registrant as specified in charter)

**One Franklin Parkway, San Mateo, CA 94403-1906**

(Address of principal executive offices) (Zip code)

Alison Baur

Franklin Templeton

One Franklin Parkway

San Mateo, CA 94403-1906

(Name and address of agent for service)

Registrant's telephone number, including area code: **(650) 312-2000**

Date of fiscal year end: **December 31**

Date of reporting period: **December 31, 2025**

ITEM 1. REPORT TO STOCKHOLDERS

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Report to Shareholders is filed herewith

---

| | |
|:---|:---|
| **Franklin Allocation VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 1  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Allocation VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 1<sup>1</sup>  | $60 | 0.56% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 1 shares of Franklin Allocation VIP Fund returned 12.98%. The Fund compares its performance to the S&P 500 Index, Bloomberg U.S. Aggregate Index, MSCI World ex-U.S. Index-NR and the Linked Allocation VIP Fund Benchmark†, which returned 17.88%, 7.30%, 31.85% and 16.33%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | A modest underweight allocation to fixed income boosted relative returns. |
| ↑ | Global bonds supported relative results. Many central banks outside the U.S. had more pronounced monetary easing. |
| ↑ | Investment-grade bonds contributed to relative results, driven by high yields and tight spreads. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Fund selection in equity detracted, although all but one underlying stock fund delivered double-digit gains. |
| ↓ | A modest underweight allocation to international stocks and U.S. equity overweight curbed relative returns. |
| ↓ | Exposure to U.S. Treasuries detracted from relative results, although all underlying bond funds posted gains. |

---

Franklin Allocation VIP Fund PAGE 1 783-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 1** 12/31/2015 — 12/31/2025

![image](ts6110img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 1**  | 12.98 | 5.97 | 7.58 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **S&P 500 Index**  | 17.88 | 14.43 | 14.82 |
| **Bloomberg U.S. Aggregate Index**  | 7.30 | -0.36 | 2.01 |
| **MSCI World ex-U.S. Index-NR**  | 31.85 | 9.47 | 8.55 |
| **Linked Allocation VIP Fund Benchmark**<sup>†</sup>  | 16.33 | 7.54 | 9.14 |

---

† The
 Linked Allocation VIP Fund Index is comprised of 50% S&P 500 Index, 33.33% MSCI World ex-US Index- NR, and 16.67% Bloomberg
 U.S. Aggregate Index from the
 Fund's inception through April 30, 2019, followed by the performance of a blended index comprised of 40% S&P 500 Index,
 40% Bloomberg U.S. Aggregate Index and 20% MSCI World ex-US Index-NR thereafter.

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Effective May 1, 2019, the Fund adopted its current investment strategy.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $551910843 |
| **Total Number of Portfolio Holdings (excludes derivatives, except purchased options, if any)** | 1058 |
| **Total Management Fee Paid** | $2760263 |
| **Portfolio Turnover Rate** | 41.77% |

---

Franklin Allocation VIP Fund PAGE 2 783-ATSR-0226

------

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6110img004.jpg)

\* Does not include derivatives, except purchased options, if any.

**HOW HAS THE FUND CHANGED?**

Effective May 1, 2025, the Fund's principal investment strategies were revised to reflect that its equity and fixed income investments typically will not vary by more than 10% from the stated allocations and to replace the Western Asset Core Bond Strategy sleeve of the Fund with the Putnam Core Bond Strategy sleeve.

In addition, effective January 31, 2025, Berkeley Bellknap was added as a portfolio manager of the Fund and effective March 31, 2025, Wylie Tollette retired and stepped down as portfolio manager of the Fund.

This is a summary of certain changes to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or

prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Allocation VIP Fund PAGE 3 783-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Allocation VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 2  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Allocation VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 2<sup>1</sup>  | $86 | 0.81% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 2 shares of Franklin Allocation VIP Fund returned 12.60%. The Fund compares its performance to the S&P 500 Index, Bloomberg U.S. Aggregate Index, MSCI World ex-U.S. Index-NR and the Linked Allocation VIP Fund Benchmark†, which returned 17.88%, 7.30%, 31.85% and 16.33%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | A modest underweight allocation to fixed income boosted relative returns. |
| ↑ | Global bonds supported relative results. Many central banks outside the U.S. had more pronounced monetary easing. |
| ↑ | Investment-grade bonds contributed to relative results, driven by high yields and tight spreads. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Fund selection in equity detracted, although all but one underlying stock fund delivered double-digit gains. |
| ↓ | A modest underweight allocation to international stocks and U.S. equity overweight curbed relative returns. |
| ↓ | Exposure to U.S. Treasuries detracted from relative results, although all underlying bond funds posted gains. |

---

Franklin Allocation VIP Fund PAGE 1 784-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 2** 12/31/2015 — 12/31/2025

![image](ts6111img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 2**  | 12.60 | 5.73 | 7.32 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **S&P 500 Index**  | 17.88 | 14.43 | 14.82 |
| **Bloomberg U.S. Aggregate Index**  | 7.30 | -0.36 | 2.01 |
| **MSCI World ex-U.S. Index-NR**  | 31.85 | 9.47 | 8.55 |
| **Linked Allocation VIP Fund Benchmark**<sup>†</sup>  | 16.33 | 7.54 | 9.14 |

---

† The
 Linked Allocation VIP Fund Index is comprised of 50% S&P 500 Index, 33.33% MSCI World ex-US Index- NR, and 16.67% Bloomberg
 U.S. Aggregate Index from the
 Fund's inception through April 30, 2019, followed by the performance of a blended index comprised of 40% S&P 500 Index,
 40% Bloomberg U.S. Aggregate Index and 20% MSCI World ex-US Index-NR thereafter.

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Effective May 1, 2019, the Fund adopted its current investment strategy.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $551910843 |
| **Total Number of Portfolio Holdings (excludes derivatives, except purchased options, if any)** | 1058 |
| **Total Management Fee Paid** | $2760263 |
| **Portfolio Turnover Rate** | 41.77% |

---

Franklin Allocation VIP Fund PAGE 2 784-ATSR-0226

------

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6111img004.jpg)

\* Does not include derivatives, except purchased options, if any.

**HOW HAS THE FUND CHANGED?**

Effective May 1, 2025, the Fund's principal investment strategies were revised to reflect that its equity and fixed income investments typically will not vary by more than 10% from the stated allocations and to replace the Western Asset Core Bond Strategy sleeve of the Fund with the Putnam Core Bond Strategy sleeve.

In addition, effective January 31, 2025, Berkeley Bellknap was added as a portfolio manager of the Fund and effective March 31, 2025, Wylie Tollette retired and stepped down as portfolio manager of the Fund.

This is a summary of certain changes to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or

prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Allocation VIP Fund PAGE 3 784-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Allocation VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 4  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Allocation VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 4<sup>1</sup>  | $97 | 0.91% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 4 shares of Franklin Allocation VIP Fund returned 12.53%. The Fund compares its performance to the S&P 500 Index, Bloomberg U.S. Aggregate Index, MSCI World ex-U.S. Index-NR and the Linked Allocation VIP Fund Benchmark†, which returned 17.88%, 7.30%, 31.85% and 16.33%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | A modest underweight allocation to fixed income boosted relative returns. |
| ↑ | Global bonds supported relative results. Many central banks outside the U.S. had more pronounced monetary easing. |
| ↑ | Investment-grade bonds contributed to relative results, driven by high yields and tight spreads. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Fund selection in equity detracted, although all but one underlying stock fund delivered double-digit gains. |
| ↓ | A modest underweight allocation to international stocks and U.S. equity overweight curbed relative returns. |
| ↓ | Exposure to U.S. Treasuries detracted from relative results, although all underlying bond funds posted gains. |

---

Franklin Allocation VIP Fund PAGE 1 701-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 4** 12/31/2015 — 12/31/2025

![image](ts6112img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 4**  | 12.53 | 5.59 | 7.19 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **S&P 500 Index**  | 17.88 | 14.43 | 14.82 |
| **Bloomberg U.S. Aggregate Index**  | 7.30 | -0.36 | 2.01 |
| **MSCI World ex-U.S. Index-NR**  | 31.85 | 9.47 | 8.55 |
| **Linked Allocation VIP Fund Benchmark**<sup>†</sup>  | 16.33 | 7.54 | 9.14 |

---

† The
 Linked Allocation VIP Fund Index is comprised of 50% S&P 500 Index, 33.33% MSCI World ex-US Index- NR, and 16.67% Bloomberg
 U.S. Aggregate Index from the
 Fund's inception through April 30, 2019, followed by the performance of a blended index comprised of 40% S&P 500 Index,
 40% Bloomberg U.S. Aggregate Index and 20% MSCI World ex-US Index-NR thereafter.

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Effective May 1, 2019, the Fund adopted its current investment strategy.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $551910843 |
| **Total Number of Portfolio Holdings (excludes derivatives, except purchased options, if any)** | 1058 |
| **Total Management Fee Paid** | $2760263 |
| **Portfolio Turnover Rate** | 41.77% |

---

Franklin Allocation VIP Fund PAGE 2 701-ATSR-0226

------

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6112img004.jpg)

\* Does not include derivatives, except purchased options, if any.

**HOW HAS THE FUND CHANGED?**

Effective May 1, 2025, the Fund's principal investment strategies were revised to reflect that its equity and fixed income investments typically will not vary by more than 10% from the stated allocations and to replace the Western Asset Core Bond Strategy sleeve of the Fund with the Putnam Core Bond Strategy sleeve.

In addition, effective January 31, 2025, Berkeley Bellknap was added as a portfolio manager of the Fund and effective March 31, 2025, Wylie Tollette retired and stepped down as portfolio manager of the Fund.

This is a summary of certain changes to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or

prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Allocation VIP Fund PAGE 3 701-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin DynaTech VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 2  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin DynaTech VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 2<sup>1</sup>  | $96 | 0.88% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 2 shares of Franklin DynaTech VIP Fund returned 18.13%. The Fund compares its performance to the Russell 1000 Growth Index and the S&P 500 Index, which returned 18.56% and 17.88, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | The information technology (IT) sector was a top contributor to relative returns for the annual period. Within the sector, shares of electronic manufacturing services company Celestica outperformed in 2025, due to rising artificial intelligence (AI) data-center hardware demand and consistent earnings upgrades. |
| ↑ | Also in the IT sector, AppLovin's strong performance was driven by rapid AI-powered ad-tech growth, consistent earnings beats and significant profitability gains. The mobile marketing platform operator was included in the S&P 500 in September 2025. |
| ↑ | Elsewhere in IT sector, an off-benchmark position in e-commerce platform Shopify added to relative performance. The company saw increased revenue growth by capturing a larger share of the U.S. e-commerce and retail markets and expanding internationally. Additionally, its business received a boost from the announcement of a new partnership with OpenAI. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | While IT was an overall contributor at the sector level, performance was held back by a position in ServiceNow. The cloud-based digital workflow services provider underperformed due to rising infrastructure costs from scaling AI products, margin pressure on subscriptions and investor concerns about significant capital investments in 2025. |
| ↓ | An underweight in the strong-performing shares of NVIDIA limited our exposure to the stock's gains and weighed on relative returns. The AI chipmaker continued to benefit from strong demand, particularly from major cloud providers that rely on NVIDIA chips for their AI services. |
| ↓ | In the industrials sector, shares of public safety technology company Axon Enterprise reached an all-time high in August but the stock experienced several sell-offs due to margin pressure, earnings misses, weaker guidance, valuation concerns and broader tech-sector volatility. |

---

Franklin DynaTech VIP Fund PAGE 1 729-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 2** 12/31/2015 — 12/31/2025

![image](ts6271img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 2**  | 18.13 | 9.09 | 14.08 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **Russell 1000 Growth Index**  | 18.56 | 15.32 | 18.12 |
| **S&P 500 Index**  | 17.88 | 14.43 | 14.82 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Effective May 1, 2021, the Fund adopted its current investment strategy.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $190548752 |
| **Total Number of Portfolio Holdings** | 112 |
| **Total Management Fee Paid** | $1013586 |
| **Portfolio Turnover Rate** | 36.55% |

---

Franklin DynaTech VIP Fund PAGE 2 729-ATSR-0226

------

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6271img004.jpg)

\* Does not include derivatives, except purchased options, if any.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin DynaTech VIP Fund PAGE 3 729-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin DynaTech VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 4  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin DynaTech VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 4<sup>1</sup>  | $107 | 0.98% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 4 shares of Franklin DynaTech VIP Fund returned 17.90%. The Fund compares its performance to the Russell 1000 Growth Index and the S&P 500 Index, which returned 18.56% and 17.88, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | The information technology (IT) sector was a top contributor to relative returns for the annual period. Within the sector, shares of electronic manufacturing services company Celestica outperformed in 2025, due to rising artificial intelligence (AI) data-center hardware demand and consistent earnings upgrades. |
| ↑ | Also in the IT sector, AppLovin's strong performance was driven by rapid AI-powered ad-tech growth, consistent earnings beats and significant profitability gains. The mobile marketing platform operator was included in the S&P 500 in September 2025. |
| ↑ | Elsewhere in IT sector, an off-benchmark position in e-commerce platform Shopify added to relative performance. The company saw increased revenue growth by capturing a larger share of the U.S. e-commerce and retail markets and expanding internationally. Additionally, its business received a boost from the announcement of a new partnership with OpenAI. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | While IT was an overall contributor at the sector level, performance was held back by a position in ServiceNow. The cloud-based digital workflow services provider underperformed due to rising infrastructure costs from scaling AI products, margin pressure on subscriptions and investor concerns about significant capital investments in 2025. |
| ↓ | An underweight in the strong-performing shares of NVIDIA limited our exposure to the stock's gains and weighed on relative returns. The AI chipmaker continued to benefit from strong demand, particularly from major cloud providers that rely on NVIDIA chips for their AI services. |
| ↓ | In the industrials sector, shares of public safety technology company Axon Enterprise reached an all-time high in August but the stock experienced several sell-offs due to margin pressure, earnings misses, weaker guidance, valuation concerns and broader tech-sector volatility. |

---

Franklin DynaTech VIP Fund PAGE 1 702-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 4** 12/31/2015 — 12/31/2025

![image](ts6272img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 4**  | 17.90 | 8.96 | 13.95 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **Russell 1000 Growth Index**  | 18.56 | 15.32 | 18.12 |
| **S&P 500 Index**  | 17.88 | 14.43 | 14.82 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Effective May 1, 2021, the Fund adopted its current investment strategy.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $190548752 |
| **Total Number of Portfolio Holdings** | 112 |
| **Total Management Fee Paid** | $1013586 |
| **Portfolio Turnover Rate** | 36.55% |

---

Franklin DynaTech VIP Fund PAGE 2 702-ATSR-0226

------

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6272img004.jpg)

\* Does not include derivatives, except purchased options, if any.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin DynaTech VIP Fund PAGE 3 702-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Global Real Estate VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 1  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Global Real Estate VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 1<sup>1</sup>  | $104 | 1.00% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 1 shares of Franklin Global Real Estate VIP Fund returned 8.22%. The Fund compares its performance to the FTSE EPRA/NAREIT Developed Index, which returned 10.70% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Rising senior housing occupancy and favorable demographic trends were tailwinds for senior housing operator Welltower in the health care property subsector. |
| ↑ | The Fund's top relative stock performer was Japanese property developer Mitsui Fudosan in the diversified property subsector. The company has been benefiting from its sustained focus on increasing return on capital and commensurate return of capital to reduce the discount to net asset value. |
| ↑ | Camden Property Trust benefited relative returns in the industrial property subsector. The company, which is central European focused, specializes in logistics and industrial parks. It reported robust leasing activity that boosted financial results over the period. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Avalon Bay Communities was a leading detractor in the diversified property subsector. Shares of the apartment operator declined due to weakness in rent growth and higher than projected operating expenses. |
| ↓ | The residential property subsector was also weakened by a position in American Home 4 Rent, whose stock declined amid worries about slowing single-family rental trends. Additionally, lower interest rates have made home ownership more attainable, increasing investor concerns. |
| ↓ | Elsewhere in the residential property subsector, student housing operator Unite Group announced an unsolicited bid for peer Empiric Student Property (not a Fund holding) that was not well received given presumed modest accretion potential. Additionally, lease-up for the 2025/26 academic year was slower than last year's pace. |

---

Franklin Global Real Estate VIP Fund PAGE 1 771-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 1** 12/31/2015 — 12/31/2025

![image](ts6269img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 1**  | 8.22 | 2.64 | 3.29 |
| **MSCI All Country World Index-NR**  | 22.34 | 11.19 | 11.72 |
| **FTSE EPRA/NAREIT Developed Index**  | 10.70 | 3.78 | 4.24 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $102196270 |
| **Total Number of Portfolio Holdings** | 68 |
| **Total Management Fee Paid** | $893645 |
| **Portfolio Turnover Rate** | 33.46% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6269img004.jpg)

\* Does not include derivatives, except purchased options, if any.

Franklin Global Real Estate VIP Fund PAGE 2 771-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

Effective May 1, 2025, the Fund's principal investment strategies were revised to reflect that, under normal market conditions, the Fund expects to invest in foreign securities (including emerging markets securities) in an amount equal to at least the lesser of: (a) 40% of its net assets, unless market conditions are not deemed favorable by the investment manager, in which case 30% of its net assets, or (b) the percentage of foreign issuers represented in the FTESE EPRA/NAREIT Developed Index minus 5%.

This is a summary of a certain change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Global Real Estate VIP Fund PAGE 3 771-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Global Real Estate VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 2  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Global Real Estate VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 2<sup>1</sup>  | $130 | 1.25% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 2 shares of Franklin Global Real Estate VIP Fund returned 7.93%. The Fund compares its performance to the FTSE EPRA/NAREIT Developed Index, which returned 10.70% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Rising senior housing occupancy and favorable demographic trends were tailwinds for senior housing operator Welltower in the health care property subsector. |
| ↑ | The Fund's top relative stock performer was Japanese property developer Mitsui Fudosan in the diversified property subsector. The company has been benefiting from its sustained focus on increasing return on capital and commensurate return of capital to reduce the discount to net asset value. |
| ↑ | Camden Property Trust benefited relative returns in the industrial property subsector. The company, which is central European focused, specializes in logistics and industrial parks. It reported robust leasing activity that boosted financial results over the period. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Avalon Bay Communities was a leading detractor in the diversified property subsector. Shares of the apartment operator declined due to weakness in rent growth and higher than projected operating expenses. |
| ↓ | The residential property subsector was also weakened by a position in American Home 4 Rent, whose stock declined amid worries about slowing single-family rental trends. Additionally, lower interest rates have made home ownership more attainable, increasing investor concerns. |
| ↓ | Elsewhere in the residential property subsector, student housing operator Unite Group announced an unsolicited bid for peer Empiric Student Property (not a Fund holding) that was not well received given presumed modest accretion potential. Additionally, lease-up for the 2025/26 academic year was slower than last year's pace. |

---

Franklin Global Real Estate VIP Fund PAGE 1 772-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 2** 12/31/2015 — 12/31/2025

![image](ts6270img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 2**  | 7.93 | 2.36 | 3.03 |
| **MSCI All Country World Index-NR**  | 22.34 | 11.19 | 11.72 |
| **FTSE EPRA/NAREIT Developed Index**  | 10.70 | 3.78 | 4.24 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $102196270 |
| **Total Number of Portfolio Holdings** | 68 |
| **Total Management Fee Paid** | $893645 |
| **Portfolio Turnover Rate** | 33.46% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6270img004.jpg)

\* Does not include derivatives, except purchased options, if any.

Franklin Global Real Estate VIP Fund PAGE 2 772-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

Effective May 1, 2025, the Fund's principal investment strategies were revised to reflect that, under normal market conditions, the Fund expects to invest in foreign securities (including emerging markets securities) in an amount equal to at least the lesser of: (a) 40% of its net assets, unless market conditions are not deemed favorable by the investment manager, in which case 30% of its net assets, or (b) the percentage of foreign issuers represented in the FTESE EPRA/NAREIT Developed Index minus 5%.

This is a summary of a certain change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Global Real Estate VIP Fund PAGE 3 772-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Growth and Income VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 1  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Growth and Income VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 1<sup>1</sup>  | $64 | 0.59% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 1 shares of Franklin Growth and Income VIP Fund returned 16.98%. The Fund compares its performance to the Russell 1000 Value Index and the S&P 500 Index, which returned 15.91% and 17.88%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Capital markets improvements and an improvement in the macro economy after tariff announcements benefited JPMorgan Chase in the financials sector. The financial services giant reported strong 2025 earnings results, including robust trading revenue and a rebound in investment-banking activity. |
| ↑ | Morgan Stanley also delivered strong performance in the financials sector. The global financial services company announced record revenues driven by growth in its institutional and wealth management businesses. |
| ↑ | Broadcom was a top contributor in the information technology sector. Shares of the chipmaker climbed sharply in 2025 because of strong demand for its custom artificial intelligence chips. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | UnitedHealth Group was a leading detractor in the health care sector. The health insurer was pressured by rising medical expenses, shrinking margins, regulatory scrutiny and leadership instability, which weighed on its stock. |
| ↓ | Merck & Co. was also a detractor in the health care sector. The stock of the global pharmaceutical company fell due to weak guidance, drug-sales disappointments and rising long-term concerns about its pipeline. |
| ↓ | In the consumer staples sector, Procter & Gamble hurt relative performance. Shares of the consumer goods company fell as weak demand and price-sensitive shoppers reduced purchasing and shifted to lower cost private-label brands. |

---

Franklin Growth and Income VIP Fund PAGE 1 767-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 1** 12/31/2015 — 12/31/2025

![image](ts6203img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 1**  | 16.98 | 12.16 | 11.39 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **Russell 1000 Value Index**  | 15.91 | 11.33 | 10.53 |
| **S&P 500 Index**  | 17.88 | 14.43 | 14.82 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $57945687 |
| **Total Number of Portfolio Holdings** | 88 |
| **Total Management Fee Paid** | $231367 |
| **Portfolio Turnover Rate** | 36.30% |

---

Franklin Growth and Income VIP Fund PAGE 2 767-ATSR-0226

------

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6203img004.jpg)

\* Does not include derivatives, except purchased options, if any.

**HOW HAS THE FUND CHANGED?**

Effective May 1, 2025, the Fund's principal investment strategies changed to reflect that the Fund may invest up to 10% of its net assets in real estate investment trusts (REITs).

In connection with the change to the principal investment strategies, disclosure was added for the Fund to reflect the additional principal risks of investing in REITs.

In addition, effective October 31, 2025, Daniel Nuckles, CFA, CPA, was added as a portfolio manager of the Fund, and effective December 31, 2025, Alan E. Muschott stepped down as a portfolio manager of the Fund.

This is a summary of certain changes to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or

prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Growth and Income VIP Fund PAGE 3 767-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Growth and Income VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 2  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Growth and Income VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 2<sup>1</sup>  | $91 | 0.84% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 2 shares of Franklin Growth and Income VIP Fund returned 16.90%. The Fund compares its performance to the Russell 1000 Value Index and the S&P 500 Index, which returned 15.91% and 17.88%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Capital markets improvements and an improvement in the macro economy after tariff announcements benefited JPMorgan Chase in the financials sector. The financial services giant reported strong 2025 earnings results, including robust trading revenue and a rebound in investment-banking activity. |
| ↑ | Morgan Stanley also delivered strong performance in the financials sector. The global financial services company announced record revenues driven by growth in its institutional and wealth management businesses. |
| ↑ | Broadcom was a top contributor in the information technology sector. Shares of the chipmaker climbed sharply in 2025 because of strong demand for its custom artificial intelligence chips. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | UnitedHealth Group was a leading detractor in the health care sector. The health insurer was pressured by rising medical expenses, shrinking margins, regulatory scrutiny and leadership instability, which weighed on its stock. |
| ↓ | Merck & Co. was also a detractor in the health care sector. The stock of the global pharmaceutical company fell due to weak guidance, drug-sales disappointments and rising long-term concerns about its pipeline. |
| ↓ | In the consumer staples sector, Procter & Gamble hurt relative performance. Shares of the consumer goods company fell as weak demand and price-sensitive shoppers reduced purchasing and shifted to lower cost private-label brands. |

---

Franklin Growth and Income VIP Fund PAGE 1 768-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 2** 12/31/2015 — 12/31/2025

![image](ts6205img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 2**  | 16.90 | 11.90 | 11.12 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **Russell 1000 Value Index**  | 15.91 | 11.33 | 10.53 |
| **S&P 500 Index**  | 17.88 | 14.43 | 14.82 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $57945687 |
| **Total Number of Portfolio Holdings** | 88 |
| **Total Management Fee Paid** | $231367 |
| **Portfolio Turnover Rate** | 36.30% |

---

Franklin Growth and Income VIP Fund PAGE 2 768-ATSR-0226

------

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6205img004.jpg)

\* Does not include derivatives, except purchased options, if any.

**HOW HAS THE FUND CHANGED?**

Effective May 1, 2025, the Fund's principal investment strategies changed to reflect that the Fund may invest up to 10% of its net assets in real estate investment trusts (REITs).

In connection with the change to the principal investment strategies, disclosure was added for the Fund to reflect the additional principal risks of investing in REITs.

In addition, effective October 31, 2025, Daniel Nuckles, CFA, CPA, was added as a portfolio manager of the Fund, and effective December 31, 2025, Alan E. Muschott stepped down as a portfolio manager of the Fund.

This is a summary of certain changes to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or

prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Growth and Income VIP Fund PAGE 3 768-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Income VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 1  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Income VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 1<sup>1</sup>  | $50 | 0.47% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months December 31, 2025, Class 1 shares of Franklin Income VIP Fund returned 12.87%. The Fund compares its performance to the Blended Benchmark†, which returned 10.07% for the same period. The Fund previously also compared its performance to the S&P 500 Index, which returned 17.88% for the same period. Effective May 1, 2025, the Fund discontinued using this benchmark.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | The health care and financials sectors led absolute fixed income returns during the period, followed by securitized products. On an individual issuer basis, Community Health Systems, U.S. Treasuries (USTs), and Freddie Mac added value. |
| ↑ | Among equities, returns were driven by the information technology (IT), health care, and financials sectors. Top contributors within these respective sectors were Intel, Johnson & Johnson, and Morgan Stanley. |
| ↑ | Selection within health care and IT assisted relative fixed income returns, as did an underweight allocation to USTs. Equity returns benefited from selection and an overweight allocation to financials and IT, in addition to stock selection within materials. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Ardagh Holdings detracted from fixed income returns within the materials sector. |
| ↓ | Equity performance was weakened by the consumer discretionary and communication services sectors. Comcast detracted within communication services, while Procter & Gamble and UnitedHealth Group hindered returns within consumer staples and health care, respectively. |
| ↓ | Selection within energy and an overweight allocation to the utilities and materials sectors hurt relative fixed income returns. Moreover, underweight positioning among health care and industrials companies detracted from relative equity performance. |

---

Franklin Income VIP Fund PAGE 1 769-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 1** 12/31/2015 — 12/31/2025

![image](ts6198img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 1**  | 12.87 | 7.92 | 7.57 |
| **Bloomberg U.S. Aggregate Index**  | 7.30 | -0.36 | 2.01 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **Blended Benchmark**<sup>†</sup>  | 10.07 | 5.72 | 7.28 |
| **S&P 500 Index**  | 17.88 | 14.43 | 14.82 |

---

† The
 Fund's Blended Benchmark is comprised of 50% MSCI USA High Dividend Yield Index, 25% Bloomberg U.S. High Yield Very Liquid
 Index and 25% Bloomberg
 U.S. Aggregate Index.

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $3251046298 |
| **Total Number of Portfolio Holdings** | 286 |
| **Total Management Fee Paid** | $14383451 |
| **Portfolio Turnover Rate** | 41.45% |

---

Franklin Income VIP Fund PAGE 2 769-ATSR-0226

------

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6198img004.jpg)

\* Does not include derivatives, except purchased options, if any.

**HOW HAS THE FUND CHANGED?**

Effective May 1, 2025, the Fund's principal investment strategies changed to reflect the Fund's reduced exposure to high yield securities and foreign securities.

This is a summary of a certain change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Income VIP Fund PAGE 3 769-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Income VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 2  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Income VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 2<sup>1</sup>  | $77 | 0.72% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months December 31, 2025, Class 2 shares of Franklin Income VIP Fund returned 12.56%. The Fund compares its performance to the Blended Benchmark†, which returned 10.07% for the same period. The Fund previously also compared its performance to the S&P 500 Index, which returned 17.88% for the same period. Effective May 1, 2025, the Fund discontinued using this benchmark.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | The health care and financials sectors led absolute fixed income returns during the period, followed by securitized products. On an individual issuer basis, Community Health Systems, U.S. Treasuries (USTs), and Freddie Mac added value. |
| ↑ | Among equities, returns were driven by the information technology (IT), health care, and financials sectors. Top contributors within these respective sectors were Intel, Johnson & Johnson, and Morgan Stanley. |
| ↑ | Selection within health care and IT assisted relative fixed income returns, as did an underweight allocation to USTs. Equity returns benefited from selection and an overweight allocation to financials and IT, in addition to stock selection within materials. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Ardagh Holdings detracted from fixed income returns within the materials sector. |
| ↓ | Equity performance was weakened by the consumer discretionary and communication services sectors. Comcast detracted within communication services, while Procter & Gamble and UnitedHealth Group hindered returns within consumer staples and health care, respectively. |
| ↓ | Selection within energy and an overweight allocation to the utilities and materials sectors hurt relative fixed income returns. Moreover, underweight positioning among health care and industrials companies detracted from relative equity performance. |

---

Franklin Income VIP Fund PAGE 1 770-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 2** 12/31/2015 — 12/31/2025

![image](ts6199img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 2**  | 12.56 | 7.66 | 7.30 |
| **Bloomberg U.S. Aggregate Index**  | 7.30 | -0.36 | 2.01 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **Blended Benchmark**<sup>†</sup>  | 10.07 | 5.72 | 7.28 |
| **S&P 500 Index**  | 17.88 | 14.43 | 14.82 |

---

† The
 Fund's Blended Benchmark is comprised of 50% MSCI USA High Dividend Yield Index, 25% Bloomberg U.S. High Yield Very Liquid
 Index and 25% Bloomberg
 U.S. Aggregate Index.

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $3251046298 |
| **Total Number of Portfolio Holdings** | 286 |
| **Total Management Fee Paid** | $14383451 |
| **Portfolio Turnover Rate** | 41.45% |

---

Franklin Income VIP Fund PAGE 2 770-ATSR-0226

------

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6199img004.jpg)

\* Does not include derivatives, except purchased options, if any.

**HOW HAS THE FUND CHANGED?**

Effective May 1, 2025, the Fund's principal investment strategies changed to reflect the Fund's reduced exposure to high yield securities and foreign securities.

This is a summary of a certain change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Income VIP Fund PAGE 3 770-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Income VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 4  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Income VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 4<sup>1</sup>  | $87 | 0.82% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months December 31, 2025, Class 4 shares of Franklin Income VIP Fund returned 12.43%. The Fund compares its performance to the Blended Benchmark†, which returned 10.07% for the same period. The Fund previously also compared its performance to the S&P 500 Index, which returned 17.88% for the same period. Effective May 1, 2025, the Fund discontinued using this benchmark.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | The health care and financials sectors led absolute fixed income returns during the period, followed by securitized products. On an individual issuer basis, Community Health Systems, U.S. Treasuries (USTs), and Freddie Mac added value. |
| ↑ | Among equities, returns were driven by the information technology (IT), health care, and financials sectors. Top contributors within these respective sectors were Intel, Johnson & Johnson, and Morgan Stanley. |
| ↑ | Selection within health care and IT assisted relative fixed income returns, as did an underweight allocation to USTs. Equity returns benefited from selection and an overweight allocation to financials and IT, in addition to stock selection within materials. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Ardagh Holdings detracted from fixed income returns within the materials sector. |
| ↓ | Equity performance was weakened by the consumer discretionary and communication services sectors. Comcast detracted within communication services, while Procter & Gamble and UnitedHealth Group hindered returns within consumer staples and health care, respectively. |
| ↓ | Selection within energy and an overweight allocation to the utilities and materials sectors hurt relative fixed income returns. Moreover, underweight positioning among health care and industrials companies detracted from relative equity performance. |

---

Franklin Income VIP Fund PAGE 1 708-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 4** 12/31/2015 — 12/31/2025

![image](ts6201img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 4**  | 12.43 | 7.54 | 7.19 |
| **Bloomberg U.S. Aggregate Index**  | 7.30 | -0.36 | 2.01 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **Blended Benchmark**<sup>†</sup>  | 10.07 | 5.72 | 7.28 |
| **S&P 500 Index**  | 17.88 | 14.43 | 14.82 |

---

† The
 Fund's Blended Benchmark is comprised of 50% MSCI USA High Dividend Yield Index, 25% Bloomberg U.S. High Yield Very Liquid
 Index and 25% Bloomberg
 U.S. Aggregate Index.

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $3251046298 |
| **Total Number of Portfolio Holdings** | 286 |
| **Total Management Fee Paid** | $14383451 |
| **Portfolio Turnover Rate** | 41.45% |

---

Franklin Income VIP Fund PAGE 2 708-ATSR-0226

------

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6201img004.jpg)

\* Does not include derivatives, except purchased options, if any.

**HOW HAS THE FUND CHANGED?**

Effective May 1, 2025, the Fund's principal investment strategies changed to reflect the Fund's reduced exposure to high yield securities and foreign securities.

This is a summary of a certain change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Income VIP Fund PAGE 3 708-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Large Cap Growth VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 1  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Large Cap Growth VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 1<sup>1</sup>  | $87 | 0.84% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 1 shares of Franklin Large Cap Growth VIP Fund returned 7.48%. The Fund compares its performance to the S&P 500 Index and the Russell 1000 Growth Index, which returned 17.88% and 18.56%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | In the Information technology (IT) sector, electronic components manufacturer Amphenol saw healthy demand trends across all end markets. Particular strength was seen in the communications solutions and the IT datacom businesses. Amphenol remains a key supplier to the artificial intelligence (AI) infrastructure build. |
| ↑ | AppLovin's solid results in the IT sector were supported by the ongoing adoption of its Axon ad-tech platform, which has seen significant growth and led to increased profit projections. The operator of the mobile marketing platform was added to the S&P 500 in September 2025. |
| ↑ | The rise of cyber threats has boosted demand for cybersecurity solutions and benefited CrowdStrike, a unified cybersecurity platform solution. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | The IT sector was hindered by a position in ServiceNow. The cloud-based digital workflow services provider underperformed due to rising infrastructure costs from scaling AI products, margin pressures on subscriptions and investor concerns about new competition. |
| ↓ | In the consumer staples sector, Freshpet stock fell in 2025 because the company saw softer sales growth and weakening demand for premium dog food due to economic pressures and new competitive entrants. |
| ↓ | Retailer inventory adjustments and reduced full-year 2025 guidance were headwinds for nutrition products company BellRing Brands in the consumer staples sector. |

---

Franklin Large Cap Growth VIP Fund PAGE 1 721-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 1** 12/31/2015 — 12/31/2025

![image](ts6196img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 1**  | 7.48 | 7.09 | 13.16 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **S&P 500 Index**  | 17.88 | 14.43 | 14.82 |
| **Russell 1000 Growth Index**  | 18.56 | 15.32 | 18.12 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $84040611 |
| **Total Number of Portfolio Holdings** | 63 |
| **Total Management Fee Paid** | $677107 |
| **Portfolio Turnover Rate** | 34.97% |

---

Franklin Large Cap Growth VIP Fund PAGE 2 721-ATSR-0226

------

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6196img004.jpg)

\* Does not include derivatives, except purchased options, if any.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Large Cap Growth VIP Fund PAGE 3 721-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Large Cap Growth VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 2  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Large Cap Growth VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 2<sup>1</sup>  | $115 | 1.11% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 2 shares of Franklin Large Cap Growth VIP Fund returned 7.22%. The Fund compares its performance to the S&P 500 Index and the Russell 1000 Growth Index, which returned 17.88% and 18.56%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | In the Information technology (IT) sector, electronic components manufacturer Amphenol saw healthy demand trends across all end markets. Particular strength was seen in the communications solutions and the IT datacom businesses. Amphenol remains a key supplier to the artificial intelligence (AI) infrastructure build. |
| ↑ | AppLovin's solid results in the IT sector were supported by the ongoing adoption of its Axon ad-tech platform, which has seen significant growth and led to increased profit projections. The operator of the mobile marketing platform was added to the S&P 500 in September 2025. |
| ↑ | The rise of cyber threats has boosted demand for cybersecurity solutions and benefited CrowdStrike, a unified cybersecurity platform solution. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | The IT sector was hindered by a position in ServiceNow. The cloud-based digital workflow services provider underperformed due to rising infrastructure costs from scaling AI products, margin pressures on subscriptions and investor concerns about new competition. |
| ↓ | In the consumer staples sector, Freshpet stock fell in 2025 because the company saw softer sales growth and weakening demand for premium dog food due to economic pressures and new competitive entrants. |
| ↓ | Retailer inventory adjustments and reduced full-year 2025 guidance were headwinds for nutrition products company BellRing Brands in the consumer staples sector. |

---

Franklin Large Cap Growth VIP Fund PAGE 1 722-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 2** 12/31/2015 — 12/31/2025

![image](ts6197img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 2**  | 7.22 | 6.83 | 12.87 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **S&P 500 Index**  | 17.88 | 14.43 | 14.82 |
| **Russell 1000 Growth Index**  | 18.56 | 15.32 | 18.12 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $84040611 |
| **Total Number of Portfolio Holdings** | 63 |
| **Total Management Fee Paid** | $677107 |
| **Portfolio Turnover Rate** | 34.97% |

---

Franklin Large Cap Growth VIP Fund PAGE 2 722-ATSR-0226

------

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6197img004.jpg)

\* Does not include derivatives, except purchased options, if any.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Large Cap Growth VIP Fund PAGE 3 722-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Mutual Global Discovery VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 1  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Mutual Global Discovery VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 1<sup>1</sup>  | $102 | 0.91% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 1 shares of Franklin Mutual Global Discovery VIP Fund returned 23.62%. The Fund compares its performance to the MSCI World Value Index-NR, which returned 20.79% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Google parent Alphabet on accelerating growth in search, YouTube and its cloud business as well as optimism about its artificial intelligence model. |
| ↑ | South Korean technology company Samsung Electronics on solid earnings and optimism about both a rebound in the memory chip cycle and its artificial intelligence exposure. |
| ↑ | Deutsche Bank on strength in its fixed income business, better returns at its private bank and optimism that it can benefit from government and private sector investments in infrastructure and defense. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Fiserv, a financial payments company, after slashing financial guidance late in the reporting period on previous management missteps and weakness in its business in Argentina given the interest rate and inflation picture. |
| ↓ | Cable company Charter Communications on continued competitive pressures from fiber and fixed wireless access. |
| ↓ | Global Payments following an expensive acquisition which comes with integration challenges and upends efforts to simplify the business. |

---

Franklin Mutual Global Discovery VIP Fund PAGE 1 753-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 1** 12/31/2015 — 12/31/2025

![image](ts6251img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 1**  | 23.62 | 12.27 | 8.79 |
| **MSCI All Country World Index-NR**  | 22.34 | 11.19 | 11.72 |
| **MSCI World Value Index-NR**  | 20.79 | 11.35 | 9.23 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $445378174 |
| **Total Number of Portfolio Holdings** | 65 |
| **Total Management Fee Paid** | $3722294 |
| **Portfolio Turnover Rate** | 43.81% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6251img004.jpg)

\* Does not include derivatives, except purchased options, if any.

Franklin Mutual Global Discovery VIP Fund PAGE 2 753-ATSR-0226

------

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Mutual Global Discovery VIP Fund PAGE 3 753-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Mutual Global Discovery VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 2  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Mutual Global Discovery VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 2<sup>1</sup>  | $130 | 1.16% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 2 shares of Franklin Mutual Global Discovery VIP Fund returned 23.34%. The Fund compares its performance to the MSCI World Value Index-NR, which returned 20.79% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Google parent Alphabet on accelerating growth in search, YouTube and its cloud business as well as optimism about its artificial intelligence model. |
| ↑ | South Korean technology company Samsung Electronics on solid earnings and optimism about both a rebound in the memory chip cycle and its artificial intelligence exposure. |
| ↑ | Deutsche Bank on strength in its fixed income business, better returns at its private bank and optimism that it can benefit from government and private sector investments in infrastructure and defense. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Fiserv, a financial payments company, after slashing financial guidance late in the reporting period on previous management missteps and weakness in its business in Argentina given the interest rate and inflation picture. |
| ↓ | Cable company Charter Communications on continued competitive pressures from fiber and fixed wireless access. |
| ↓ | Global Payments following an expensive acquisition which comes with integration challenges and upends efforts to simplify the business. |

---

Franklin Mutual Global Discovery VIP Fund PAGE 1 754-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 2** 12/31/2015 — 12/31/2025

![image](ts6253img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 2**  | 23.34 | 12.00 | 8.52 |
| **MSCI All Country World Index-NR**  | 22.34 | 11.19 | 11.72 |
| **MSCI World Value Index-NR**  | 20.79 | 11.35 | 9.23 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $445378174 |
| **Total Number of Portfolio Holdings** | 65 |
| **Total Management Fee Paid** | $3722294 |
| **Portfolio Turnover Rate** | 43.81% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6253img004.jpg)

\* Does not include derivatives, except purchased options, if any.

Franklin Mutual Global Discovery VIP Fund PAGE 2 754-ATSR-0226

------

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Mutual Global Discovery VIP Fund PAGE 3 754-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Mutual Global Discovery VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 4  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Mutual Global Discovery VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 4<sup>1</sup>  | $141 | 1.26% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 4 shares of Franklin Mutual Global Discovery VIP Fund returned 23.25%. The Fund compares its performance to the MSCI World Value Index-NR, which returned 20.79% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Google parent Alphabet on accelerating growth in search, YouTube and its cloud business as well as optimism about its artificial intelligence model. |
| ↑ | South Korean technology company Samsung Electronics on solid earnings and optimism about both a rebound in the memory chip cycle and its artificial intelligence exposure. |
| ↑ | Deutsche Bank on strength in its fixed income business, better returns at its private bank and optimism that it can benefit from government and private sector investments in infrastructure and defense. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Fiserv, a financial payments company, after slashing financial guidance late in the reporting period on previous management missteps and weakness in its business in Argentina given the interest rate and inflation picture. |
| ↓ | Cable company Charter Communications on continued competitive pressures from fiber and fixed wireless access. |
| ↓ | Global Payments following an expensive acquisition which comes with integration challenges and upends efforts to simplify the business. |

---

Franklin Mutual Global Discovery VIP Fund PAGE 1 736-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 4** 12/31/2015 — 12/31/2025

![image](ts6254img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 4**  | 23.25 | 11.88 | 8.41 |
| **MSCI All Country World Index-NR**  | 22.34 | 11.19 | 11.72 |
| **MSCI World Value Index-NR**  | 20.79 | 11.35 | 9.23 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $445378174 |
| **Total Number of Portfolio Holdings** | 65 |
| **Total Management Fee Paid** | $3722294 |
| **Portfolio Turnover Rate** | 43.81% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6254img004.jpg)

\* Does not include derivatives, except purchased options, if any.

Franklin Mutual Global Discovery VIP Fund PAGE 2 736-ATSR-0226

------

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Mutual Global Discovery VIP Fund PAGE 3 736-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Mutual Shares VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 1  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Mutual Shares VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 1<sup>1</sup>  | $73 | 0.69% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 1 shares of Franklin Mutual Shares VIP Fund returned 11.81%. The Fund compares its performance to the Russell 1000 Value Index, which returned 15.91% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Retailer Dollar General as sales growth was strong and the company took market share by focusing on improving the employee and consumer experience. |
| ↑ | CVS Health on solid recent earnings results in its health insurance and pharmacy businesses and optimism its health insurance business should benefit from stabilizing medical costs. |
| ↑ | British American Tobacco on strength in its new product categories, bigger share buybacks and more favorable regulatory environment. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Fiserv, a financial payments company, after slashing financial guidance late in the reporting period on previous management missteps and weakness in its business in Argentina given the interest rate and inflation picture. |
| ↓ | Cable company Charter Communications on continued competitive pressures from fiber and fixed wireless access. |
| ↓ | Global Payments following an expensive acquisition which comes with integration challenges and upends efforts to simplify the business. |

---

Franklin Mutual Shares VIP Fund PAGE 1 743-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 1** 12/31/2015 — 12/31/2025

![image](ts6183img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 1**  | 11.81 | 9.49 | 7.80 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **Russell 1000 Value Index**  | 15.91 | 11.33 | 10.53 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $1974229533 |
| **Total Number of Portfolio Holdings** | 63 |
| **Total Management Fee Paid** | $13090901 |
| **Portfolio Turnover Rate** | 56.84% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup><sup>,</sup><sup>†</sup> **(% of Total Investments)**

![image](ts6183img004.jpg)

\* Does not include derivatives, except purchased options, if any.

† Certain
 categories may represent less than 0.1%.

Franklin Mutual Shares VIP Fund PAGE 2 743-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

Effective March 31, 2025, Aman Gupta, CFA was added as a portfolio manager of the Fund.

This is a summary of a certain change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Mutual Shares VIP Fund PAGE 3 743-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Mutual Shares VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 2  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Mutual Shares VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 2<sup>1</sup>  | $99 | 0.94% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 2 shares of Franklin Mutual Shares VIP Fund returned 11.52%. The Fund compares its performance to the Russell 1000 Value Index, which returned 15.91% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Retailer Dollar General as sales growth was strong and the company took market share by focusing on improving the employee and consumer experience. |
| ↑ | CVS Health on solid recent earnings results in its health insurance and pharmacy businesses and optimism its health insurance business should benefit from stabilizing medical costs. |
| ↑ | British American Tobacco on strength in its new product categories, bigger share buybacks and more favorable regulatory environment. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Fiserv, a financial payments company, after slashing financial guidance late in the reporting period on previous management missteps and weakness in its business in Argentina given the interest rate and inflation picture. |
| ↓ | Cable company Charter Communications on continued competitive pressures from fiber and fixed wireless access. |
| ↓ | Global Payments following an expensive acquisition which comes with integration challenges and upends efforts to simplify the business. |

---

Franklin Mutual Shares VIP Fund PAGE 1 744-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 2** 12/31/2015 — 12/31/2025

![image](ts6184img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 2**  | 11.52 | 9.20 | 7.53 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **Russell 1000 Value Index**  | 15.91 | 11.33 | 10.53 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $1974229533 |
| **Total Number of Portfolio Holdings** | 63 |
| **Total Management Fee Paid** | $13090901 |
| **Portfolio Turnover Rate** | 56.84% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup><sup>,</sup><sup>†</sup> **(% of Total Investments)**

![image](ts6184img004.jpg)

\* Does not include derivatives, except purchased options, if any.

† Certain
 categories may represent less than 0.1%.

Franklin Mutual Shares VIP Fund PAGE 2 744-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

Effective March 31, 2025, Aman Gupta, CFA was added as a portfolio manager of the Fund.

This is a summary of a certain change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Mutual Shares VIP Fund PAGE 3 744-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Mutual Shares VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 4  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Mutual Shares VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 4<sup>1</sup>  | $110 | 1.04% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 4 shares of Franklin Mutual Shares VIP Fund returned 11.45%. The Fund compares its performance to the Russell 1000 Value Index, which returned 15.91% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Retailer Dollar General as sales growth was strong and the company took market share by focusing on improving the employee and consumer experience. |
| ↑ | CVS Health on solid recent earnings results in its health insurance and pharmacy businesses and optimism its health insurance business should benefit from stabilizing medical costs. |
| ↑ | British American Tobacco on strength in its new product categories, bigger share buybacks and more favorable regulatory environment. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Fiserv, a financial payments company, after slashing financial guidance late in the reporting period on previous management missteps and weakness in its business in Argentina given the interest rate and inflation picture. |
| ↓ | Cable company Charter Communications on continued competitive pressures from fiber and fixed wireless access. |
| ↓ | Global Payments following an expensive acquisition which comes with integration challenges and upends efforts to simplify the business. |

---

Franklin Mutual Shares VIP Fund PAGE 1 737-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 4** 12/31/2015 — 12/31/2025

![image](ts6182img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 4**  | 11.45 | 9.11 | 7.43 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **Russell 1000 Value Index**  | 15.91 | 11.33 | 10.53 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $1974229533 |
| **Total Number of Portfolio Holdings** | 63 |
| **Total Management Fee Paid** | $13090901 |
| **Portfolio Turnover Rate** | 56.84% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup><sup>,</sup><sup>†</sup> **(% of Total Investments)**

![image](ts6182img004.jpg)

\* Does not include derivatives, except purchased options, if any.

† Certain
 categories may represent less than 0.1%.

Franklin Mutual Shares VIP Fund PAGE 2 737-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

Effective March 31, 2025, Aman Gupta, CFA was added as a portfolio manager of the Fund.

This is a summary of a certain change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Mutual Shares VIP Fund PAGE 3 737-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Rising Dividends VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 1  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Rising Dividends VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 1<sup>1</sup>  | $67 | 0.63% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 1 shares of Franklin Rising Dividends VIP Fund returned 12.05%. The Fund compares its performance to the S&P 500 Index, which returned 17.88% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Shares of semiconductor and software giant Broadcom advanced sharply as rising demand for artificial (AI) infrastructure helped drive record revenue, earnings and bookings. Broadcom achieved new revenue and earnings highs on the back of $21 billion worth of AI chip deals from Anthropic, together with accelerating AI-related revenue growth, bolstered by new networking. |
| ↑ | Aerospace and defense giant RTX rallied as rising global defense spending drove strong organic sales growth, margin expansion and a record project backlog. RTX benefited from robust aerospace aftermarket demand, while strong missile and defense systems sales supported results and led management to raise full-year guidance. A shortage of new commercial jets and energy-efficient engines drove demand for high-margin aftermarket parts and RTX's Pratt & Whitney engines. |
| ↑ | An underweight to Apple contributed to relative performance as the company's share price advanced but failed to keep pace with industry peers, sector gains and the benchmark, especially in the first half of 2025. Disappointing guidance and concerns around the impact of U.S.- China tariffs on Apple's supply chain and margins weighed on the stock, along with weaker than expected guidance and a sense that Apple was trailing in the AI race. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | A lack of exposure to Google parent Alphabet, chipmaker NVIDIA and other AI-driven stocks that do not meet the Fund's dividend screen for investment weighed heavily on relative returns. Within the portfolio's holdings, the largest detractor was consulting firm Accenture. Worries about the potential impact of AI and U.S. federal cost-cutting weighed on the stock, and Accenture announced a restructuring aimed at accelerating AI-driven growth and supporting margins. |
| ↓ | Health insurance giant UnitedHealth's stock, perceived early in the period as a "safe haven" from trade policy uncertainty, declined sharply amid rising medical costs and elevated utilization trends, particularly within UNH's Medicare Advantage business. Management turnover and heightened regulatory scrutiny added pressure. |
| ↓ | Shares of diversified software company Roper Technologies declined during the year, pressured by disappointing guidance, uncertain macroeconomic conditions, and concerns around tariffs, the impact of AI, acquisition-related costs and incremental dilution, and the impact of the U.S. government shutdown. |

---

Franklin Rising Dividends VIP Fund PAGE 1 773-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 1** 12/31/2015 — 12/31/2025

![image](ts6178img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 1**  | 12.05 | 9.77 | 12.37 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **S&P 500 Index**  | 17.88 | 14.43 | 14.82 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $1589401254 |
| **Total Number of Portfolio Holdings** | 57 |
| **Total Management Fee Paid** | $9439578 |
| **Portfolio Turnover Rate** | 20.75% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6178img004.jpg)

\* Does not include derivatives, except purchased options, if any.

Franklin Rising Dividends VIP Fund PAGE 2 773-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

Effective May 1, 2025, the Fund's principal investment strategies were revised to reflect the Fund's decreased exposure to the industrials and healthcare sectors.

This is a summary of a certain change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Rising Dividends VIP Fund PAGE 3 773-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Rising Dividends VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 2  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Rising Dividends VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 2<sup>1</sup>  | $93 | 0.88% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 2 shares of Franklin Rising Dividends VIP Fund returned 11.80%. The Fund compares its performance to the S&P 500 Index, which returned 17.88% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Shares of semiconductor and software giant Broadcom advanced sharply as rising demand for artificial (AI) infrastructure helped drive record revenue, earnings and bookings. Broadcom achieved new revenue and earnings highs on the back of $21 billion worth of AI chip deals from Anthropic, together with accelerating AI-related revenue growth, bolstered by new networking. |
| ↑ | Aerospace and defense giant RTX rallied as rising global defense spending drove strong organic sales growth, margin expansion and a record project backlog. RTX benefited from robust aerospace aftermarket demand, while strong missile and defense systems sales supported results and led management to raise full-year guidance. A shortage of new commercial jets and energy-efficient engines drove demand for high-margin aftermarket parts and RTX's Pratt & Whitney engines. |
| ↑ | An underweight to Apple contributed to relative performance as the company's share price advanced but failed to keep pace with industry peers, sector gains and the benchmark, especially in the first half of 2025. Disappointing guidance and concerns around the impact of U.S.- China tariffs on Apple's supply chain and margins weighed on the stock, along with weaker than expected guidance and a sense that Apple was trailing in the AI race. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | A lack of exposure to Google parent Alphabet, chipmaker NVIDIA and other AI-driven stocks that do not meet the Fund's dividend screen for investment weighed heavily on relative returns. Within the portfolio's holdings, the largest detractor was consulting firm Accenture. Worries about the potential impact of AI and U.S. federal cost-cutting weighed on the stock, and Accenture announced a restructuring aimed at accelerating AI-driven growth and supporting margins. |
| ↓ | Health insurance giant UnitedHealth's stock, perceived early in the period as a "safe haven" from trade policy uncertainty, declined sharply amid rising medical costs and elevated utilization trends, particularly within UNH's Medicare Advantage business. Management turnover and heightened regulatory scrutiny added pressure. |
| ↓ | Shares of diversified software company Roper Technologies declined during the year, pressured by disappointing guidance, uncertain macroeconomic conditions, and concerns around tariffs, the impact of AI, acquisition-related costs and incremental dilution, and the impact of the U.S. government shutdown. |

---

Franklin Rising Dividends VIP Fund PAGE 1 774-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 2** 12/31/2015 — 12/31/2025

![image](ts6180img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 2**  | 11.80 | 9.50 | 12.10 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **S&P 500 Index**  | 17.88 | 14.43 | 14.82 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $1589401254 |
| **Total Number of Portfolio Holdings** | 57 |
| **Total Management Fee Paid** | $9439578 |
| **Portfolio Turnover Rate** | 20.75% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6180img004.jpg)

\* Does not include derivatives, except purchased options, if any.

Franklin Rising Dividends VIP Fund PAGE 2 774-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

Effective May 1, 2025, the Fund's principal investment strategies were revised to reflect the Fund's decreased exposure to the industrials and healthcare sectors.

This is a summary of a certain change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Rising Dividends VIP Fund PAGE 3 774-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Rising Dividends VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 4  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Rising Dividends VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 4<sup>1</sup>  | $104 | 0.98% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 4 shares of Franklin Rising Dividends VIP Fund returned 11.66%. The Fund compares its performance to the S&P 500 Index, which returned 17.88% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Shares of semiconductor and software giant Broadcom advanced sharply as rising demand for artificial (AI) infrastructure helped drive record revenue, earnings and bookings. Broadcom achieved new revenue and earnings highs on the back of $21 billion worth of AI chip deals from Anthropic, together with accelerating AI-related revenue growth, bolstered by new networking. |
| ↑ | Aerospace and defense giant RTX rallied as rising global defense spending drove strong organic sales growth, margin expansion and a record project backlog. RTX benefited from robust aerospace aftermarket demand, while strong missile and defense systems sales supported results and led management to raise full-year guidance. A shortage of new commercial jets and energy-efficient engines drove demand for high-margin aftermarket parts and RTX's Pratt & Whitney engines. |
| ↑ | An underweight to Apple contributed to relative performance as the company's share price advanced but failed to keep pace with industry peers, sector gains and the benchmark, especially in the first half of 2025. Disappointing guidance and concerns around the impact of U.S.- China tariffs on Apple's supply chain and margins weighed on the stock, along with weaker than expected guidance and a sense that Apple was trailing in the AI race. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | A lack of exposure to Google parent Alphabet, chipmaker NVIDIA and other AI-driven stocks that do not meet the Fund's dividend screen for investment weighed heavily on relative returns. Within the portfolio's holdings, the largest detractor was consulting firm Accenture. Worries about the potential impact of AI and U.S. federal cost-cutting weighed on the stock, and Accenture announced a restructuring aimed at accelerating AI-driven growth and supporting margins. |
| ↓ | Health insurance giant UnitedHealth's stock, perceived early in the period as a "safe haven" from trade policy uncertainty, declined sharply amid rising medical costs and elevated utilization trends, particularly within UNH's Medicare Advantage business. Management turnover and heightened regulatory scrutiny added pressure. |
| ↓ | Shares of diversified software company Roper Technologies declined during the year, pressured by disappointing guidance, uncertain macroeconomic conditions, and concerns around tariffs, the impact of AI, acquisition-related costs and incremental dilution, and the impact of the U.S. government shutdown. |

---

Franklin Rising Dividends VIP Fund PAGE 1 731-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 4** 12/31/2015 — 12/31/2025

![image](ts6176img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 4**  | 11.66 | 9.38 | 11.98 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **S&P 500 Index**  | 17.88 | 14.43 | 14.82 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $1589401254 |
| **Total Number of Portfolio Holdings** | 57 |
| **Total Management Fee Paid** | $9439578 |
| **Portfolio Turnover Rate** | 20.75% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6176img004.jpg)

\* Does not include derivatives, except purchased options, if any.

Franklin Rising Dividends VIP Fund PAGE 2 731-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

Effective May 1, 2025, the Fund's principal investment strategies were revised to reflect the Fund's decreased exposure to the industrials and healthcare sectors.

This is a summary of a certain change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Rising Dividends VIP Fund PAGE 3 731-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Small Cap Value VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 1  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Small Cap Value VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 1<sup>1</sup>  | $69 | 0.66% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 1 shares of Franklin Small Cap Value VIP Fund returned 7.90%. The Fund compares its performance to the Russell 2000 Value Index, which returned 12.59% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | U.K.-based aerospace and defense company Babcock International on optimism that it may benefit from a step-up in European defense spending. |
| ↑ | MKS, which offers technological solutions to semiconductor manufacturing, amid ongoing momentum in its electronics and packaging equipment business, driven by artificial intelligence applications and stronger semiconductor growth. |
| ↑ | Sanmina, an electronics manufacturing services firm, on solid execution and its growing exposure to the artificial intelligence market. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | WillScot, a modular office and portable storage container provider, as utilization rates declined due to a weak non-residential construction market which has been a headwind to growth. |
| ↓ | Specialty chemicals company Avient, as worries about tariffs and slower growth raised concerns about its business which is tied to general economic activity. |
| ↓ | Industrial company Regal Rexnord as recently enacted tariffs have led to margin pressure across its business and made sourcing rare earth magnets more challenging. |

---

Franklin Small Cap Value VIP Fund PAGE 1 775-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 1** 12/31/2015 — 12/31/2025

![image](ts6089img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 1**  | 7.90 | 9.13 | 10.09 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **Russell 2000 Value Index**  | 12.59 | 8.88 | 9.26 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $1127464046 |
| **Total Number of Portfolio Holdings** | 84 |
| **Total Management Fee Paid** | $6984169 |
| **Portfolio Turnover Rate** | 56.76% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6089img004.jpg)

\* Does not include derivatives, except purchased options, if any.

Franklin Small Cap Value VIP Fund PAGE 2 775-ATSR-0226

------

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Small Cap Value VIP Fund PAGE 3 775-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Small Cap Value VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 2  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Small Cap Value VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 2<sup>1</sup>  | $94 | 0.91% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 2 shares of Franklin Small Cap Value VIP Fund returned 7.65%. The Fund compares its performance to the Russell 2000 Value Index, which returned 12.59% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | U.K.-based aerospace and defense company Babcock International on optimism that it may benefit from a step-up in European defense spending. |
| ↑ | MKS, which offers technological solutions to semiconductor manufacturing, amid ongoing momentum in its electronics and packaging equipment business, driven by artificial intelligence applications and stronger semiconductor growth. |
| ↑ | Sanmina, an electronics manufacturing services firm, on solid execution and its growing exposure to the artificial intelligence market. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | WillScot, a modular office and portable storage container provider, as utilization rates declined due to a weak non-residential construction market which has been a headwind to growth. |
| ↓ | Specialty chemicals company Avient, as worries about tariffs and slower growth raised concerns about its business which is tied to general economic activity. |
| ↓ | Industrial company Regal Rexnord as recently enacted tariffs have led to margin pressure across its business and made sourcing rare earth magnets more challenging. |

---

Franklin Small Cap Value VIP Fund PAGE 1 776-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 2** 12/31/2015 — 12/31/2025

![image](ts6090img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 2**  | 7.65 | 8.86 | 9.81 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **Russell 2000 Value Index**  | 12.59 | 8.88 | 9.26 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $1127464046 |
| **Total Number of Portfolio Holdings** | 84 |
| **Total Management Fee Paid** | $6984169 |
| **Portfolio Turnover Rate** | 56.76% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6090img004.jpg)

\* Does not include derivatives, except purchased options, if any.

Franklin Small Cap Value VIP Fund PAGE 2 776-ATSR-0226

------

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Small Cap Value VIP Fund PAGE 3 776-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Small Cap Value VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 4  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Small Cap Value VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 4<sup>1</sup>  | $105 | 1.01% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 4 shares of Franklin Small Cap Value VIP Fund returned 7.49%. The Fund compares its performance to the Russell 2000 Value Index, which returned 12.59% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | U.K.-based aerospace and defense company Babcock International on optimism that it may benefit from a step-up in European defense spending. |
| ↑ | MKS, which offers technological solutions to semiconductor manufacturing, amid ongoing momentum in its electronics and packaging equipment business, driven by artificial intelligence applications and stronger semiconductor growth. |
| ↑ | Sanmina, an electronics manufacturing services firm, on solid execution and its growing exposure to the artificial intelligence market. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | WillScot, a modular office and portable storage container provider, as utilization rates declined due to a weak non-residential construction market which has been a headwind to growth. |
| ↓ | Specialty chemicals company Avient, as worries about tariffs and slower growth raised concerns about its business which is tied to general economic activity. |
| ↓ | Industrial company Regal Rexnord as recently enacted tariffs have led to margin pressure across its business and made sourcing rare earth magnets more challenging. |

---

Franklin Small Cap Value VIP Fund PAGE 1 732-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 4** 12/31/2015 — 12/31/2025

![image](ts6091img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 4**  | 7.49 | 8.75 | 9.71 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **Russell 2000 Value Index**  | 12.59 | 8.88 | 9.26 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $1127464046 |
| **Total Number of Portfolio Holdings** | 84 |
| **Total Management Fee Paid** | $6984169 |
| **Portfolio Turnover Rate** | 56.76% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6091img004.jpg)

\* Does not include derivatives, except purchased options, if any.

Franklin Small Cap Value VIP Fund PAGE 2 732-ATSR-0226

------

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Small Cap Value VIP Fund PAGE 3 732-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Small-Mid Cap Growth VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 1  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Small-Mid Cap Growth VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 1<sup>1</sup>  | $84 | 0.83% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 1 shares of Franklin Small-Mid Cap Growth VIP Fund returned 2.70%. The Fund compares its performance to the Russell Midcap Growth Index and the S&P 500 Index, which returned 8.66% and 17.88% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | In the information technology (IT) sector, a position in Databricks was the Fund's top relative contributor for the period. A privately held company, it became one of the strongest enterprise beneficiaries of the artificial intelligence (AI) boom. Heavy adoption of new products and major partnerships with the world's leading AI companies helped fuel investor optimism. |
| ↑ | In the consumer discretionary sector, DoorDash delivered accelerated growth, increased profitability and expanded into lucrative new verticals over the period, which boosted shares of the delivery platform operator. |
| ↑ | In the industrials sector, the U.S. government's focus on bolstering defense spending lifted the shares of BWX Technologies, which is a supplier of nuclear components and fuel to the U.S. Navy and the commercial nuclear power industry. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | In the consumer staples sector, Freshpet stock fell in 2025 because the company repeatedly missed revenue estimates, issued softer sales guidance and faced weakening demand for premium dog food due to economic pressures. |
| ↓ | A pullback in consumer restaurant spending led to a slowdown in same-store sales, missed revenue expectations and disappointing full-year guidance for casual Mediterranean restaurant chain Cava Group in the consumer discretionary sector. |
| ↓ | HubSpot detracted from relative returns in the IT sector. Shares of the cloud-based marketing platform declined in 2025 because of revenue growth deceleration and concerns about slowing growth in 2026. |

---

Franklin Small-Mid Cap Growth VIP Fund PAGE 1 723-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 1** 12/31/2015 — 12/31/2025

![image](ts6086img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 1**  | 2.70 | 1.27 | 10.16 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **Russell Midcap Growth Index**  | 8.66 | 6.65 | 12.49 |
| **S&P 500 Index**  | 17.88 | 14.43 | 14.82 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $403899313 |
| **Total Number of Portfolio Holdings** | 83 |
| **Total Management Fee Paid** | $3337229 |
| **Portfolio Turnover Rate** | 32.41% |

---

Franklin Small-Mid Cap Growth VIP Fund PAGE 2 723-ATSR-0226

------

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6086img004.jpg)

\* Does not include derivatives, except purchased options, if any.

**HOW HAS THE FUND CHANGED?**

Effective December 31, 2025, JJ Swartz was added as a portfolio manager of the Fund and Michael McCarthy retired and stepped down as portfolio manager of the Fund.

This is a summary of certain changes to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or

prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Small-Mid Cap Growth VIP Fund PAGE 3 723-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Small-Mid Cap Growth VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 2  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Small-Mid Cap Growth VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 2<sup>1</sup>  | $109 | 1.08% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 2 shares of Franklin Small-Mid Cap Growth VIP Fund returned 2.52%. The Fund compares its performance to the Russell Midcap Growth Index and the S&P 500 Index, which returned 8.66% and 17.88% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | In the information technology (IT) sector, a position in Databricks was the Fund's top relative contributor for the period. A privately held company, it became one of the strongest enterprise beneficiaries of the artificial intelligence (AI) boom. Heavy adoption of new products and major partnerships with the world's leading AI companies helped fuel investor optimism. |
| ↑ | In the consumer discretionary sector, DoorDash delivered accelerated growth, increased profitability and expanded into lucrative new verticals over the period, which boosted shares of the delivery platform operator. |
| ↑ | In the industrials sector, the U.S. government's focus on bolstering defense spending lifted the shares of BWX Technologies, which is a supplier of nuclear components and fuel to the U.S. Navy and the commercial nuclear power industry. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | In the consumer staples sector, Freshpet stock fell in 2025 because the company repeatedly missed revenue estimates, issued softer sales guidance and faced weakening demand for premium dog food due to economic pressures. |
| ↓ | A pullback in consumer restaurant spending led to a slowdown in same-store sales, missed revenue expectations and disappointing full-year guidance for casual Mediterranean restaurant chain Cava Group in the consumer discretionary sector. |
| ↓ | HubSpot detracted from relative returns in the IT sector. Shares of the cloud-based marketing platform declined in 2025 because of revenue growth deceleration and concerns about slowing growth in 2026. |

---

Franklin Small-Mid Cap Growth VIP Fund PAGE 1 724-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 2** 12/31/2015 — 12/31/2025

![image](ts6087img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 2**  | 2.52 | 1.03 | 9.89 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **Russell Midcap Growth Index**  | 8.66 | 6.65 | 12.49 |
| **S&P 500 Index**  | 17.88 | 14.43 | 14.82 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $403899313 |
| **Total Number of Portfolio Holdings** | 83 |
| **Total Management Fee Paid** | $3337229 |
| **Portfolio Turnover Rate** | 32.41% |

---

Franklin Small-Mid Cap Growth VIP Fund PAGE 2 724-ATSR-0226

------

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6087img004.jpg)

\* Does not include derivatives, except purchased options, if any.

**HOW HAS THE FUND CHANGED?**

Effective December 31, 2025, JJ Swartz was added as a portfolio manager of the Fund and Michael McCarthy retired and stepped down as portfolio manager of the Fund.

This is a summary of certain changes to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or

prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Small-Mid Cap Growth VIP Fund PAGE 3 724-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Small-Mid Cap Growth VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 4  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Small-Mid Cap Growth VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 4<sup>1</sup>  | $119 | 1.18% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 4 shares of Franklin Small-Mid Cap Growth VIP Fund returned 2.40%. The Fund compares its performance to the Russell Midcap Growth Index and the S&P 500 Index, which returned 8.66% and 17.88% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | In the information technology (IT) sector, a position in Databricks was the Fund's top relative contributor for the period. A privately held company, it became one of the strongest enterprise beneficiaries of the artificial intelligence (AI) boom. Heavy adoption of new products and major partnerships with the world's leading AI companies helped fuel investor optimism. |
| ↑ | In the consumer discretionary sector, DoorDash delivered accelerated growth, increased profitability and expanded into lucrative new verticals over the period, which boosted shares of the delivery platform operator. |
| ↑ | In the industrials sector, the U.S. government's focus on bolstering defense spending lifted the shares of BWX Technologies, which is a supplier of nuclear components and fuel to the U.S. Navy and the commercial nuclear power industry. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | In the consumer staples sector, Freshpet stock fell in 2025 because the company repeatedly missed revenue estimates, issued softer sales guidance and faced weakening demand for premium dog food due to economic pressures. |
| ↓ | A pullback in consumer restaurant spending led to a slowdown in same-store sales, missed revenue expectations and disappointing full-year guidance for casual Mediterranean restaurant chain Cava Group in the consumer discretionary sector. |
| ↓ | HubSpot detracted from relative returns in the IT sector. Shares of the cloud-based marketing platform declined in 2025 because of revenue growth deceleration and concerns about slowing growth in 2026. |

---

Franklin Small-Mid Cap Growth VIP Fund PAGE 1 733-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 4** 12/31/2015 — 12/31/2025

![image](ts6088img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 4**  | 2.40 | 0.92 | 9.78 |
| **Russell 3000 Index**  | 17.15 | 13.15 | 14.28 |
| **Russell Midcap Growth Index**  | 8.66 | 6.65 | 12.49 |
| **S&P 500 Index**  | 17.88 | 14.43 | 14.82 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $403899313 |
| **Total Number of Portfolio Holdings** | 83 |
| **Total Management Fee Paid** | $3337229 |
| **Portfolio Turnover Rate** | 32.41% |

---

Franklin Small-Mid Cap Growth VIP Fund PAGE 2 733-ATSR-0226

------

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6088img004.jpg)

\* Does not include derivatives, except purchased options, if any.

**HOW HAS THE FUND CHANGED?**

Effective December 31, 2025, JJ Swartz was added as a portfolio manager of the Fund and Michael McCarthy retired and stepped down as portfolio manager of the Fund.

This is a summary of certain changes to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or

prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Small-Mid Cap Growth VIP Fund PAGE 3 733-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Strategic Income VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 1  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Strategic Income VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 1<sup>1</sup>  | $83 | 0.80% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 1 shares of Franklin Strategic Income VIP Fund returned 7.42%. The Fund compares its performance to the Bloomberg U.S. Aggregate Index, which returned 7.30% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Out-of-index exposure to high-yield corporate bonds |
| ↑ | Overweight exposure to sovereign emerging market debt |
| ↑ | Security selection in high-yield corporate bonds |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | U.S. yield curve positioning |
| ↓ | Underweight exposure to agency mortgage-backed securities |
| ↓ | Security selection in senior-secured floating-rate bank loans |

---

Franklin Strategic Income VIP Fund PAGE 1 779-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 1** 12/31/2015 — 12/31/2025

![image](ts6083img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 1**  | 7.42 | 2.15 | 3.36 |
| **Bloomberg U.S. Aggregate Index**  | 7.30 | -0.36 | 2.01 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $272216584 |
| **Total Number of Portfolio Holdings (excludes derivatives, except purchased options, if any)** | 708 |
| **Total Management Fee Paid** | $1677761 |
| **Portfolio Turnover Rate** | 131.34% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup><sup>,</sup><sup>†</sup> **(% of Total Investments)**

![image](ts6083img004.jpg)

\* Does not include derivatives, except purchased options, if any.

† Certain
 categories may represent less than 0.1%.

Franklin Strategic Income VIP Fund PAGE 2 779-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

Effective May 1, 2025, the Fund's principal investment strategies were revised to remove investments in marketplace loans to consumers and small and mid-sized enterprises or companies as a principal investment strategy of the Fund. In addition, disclosure was added to reflect increased exposure to collateralized mortgage obligations (CMOs).

In connection with the changes to the principal investment strategies, principal risk disclosure regarding marketplace loans was removed and disclosure regarding the risks of investing in CMOs was added.

In addition, effective September 30, 2025, Albert Chan, CFA was added as a portfolio manager of the Fund and Benjamin Cryer and Thomas Runkle stepped down as portfolio managers of the Fund.

This is a summary of certain changes to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or

prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Strategic Income VIP Fund PAGE 3 779-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Strategic Income VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 2  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Strategic Income VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 2<sup>1</sup>  | $109 | 1.05% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 2 shares of Franklin Strategic Income VIP Fund returned 7.24%. The Fund compares its performance to the Bloomberg U.S. Aggregate Index, which returned 7.30% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Out-of-index exposure to high-yield corporate bonds |
| ↑ | Overweight exposure to sovereign emerging market debt |
| ↑ | Security selection in high-yield corporate bonds |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | U.S. yield curve positioning |
| ↓ | Underweight exposure to agency mortgage-backed securities |
| ↓ | Security selection in senior-secured floating-rate bank loans |

---

Franklin Strategic Income VIP Fund PAGE 1 780-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 2** 12/31/2015 — 12/31/2025

![image](ts6084img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 2**  | 7.24 | 1.92 | 3.10 |
| **Bloomberg U.S. Aggregate Index**  | 7.30 | -0.36 | 2.01 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $272216584 |
| **Total Number of Portfolio Holdings (excludes derivatives, except purchased options, if any)** | 708 |
| **Total Management Fee Paid** | $1677761 |
| **Portfolio Turnover Rate** | 131.34% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup><sup>,</sup><sup>†</sup> **(% of Total Investments)**

![image](ts6084img004.jpg)

\* Does not include derivatives, except purchased options, if any.

† Certain
 categories may represent less than 0.1%.

Franklin Strategic Income VIP Fund PAGE 2 780-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

Effective May 1, 2025, the Fund's principal investment strategies were revised to remove investments in marketplace loans to consumers and small and mid-sized enterprises or companies as a principal investment strategy of the Fund. In addition, disclosure was added to reflect increased exposure to collateralized mortgage obligations (CMOs).

In connection with the changes to the principal investment strategies, principal risk disclosure regarding marketplace loans was removed and disclosure regarding the risks of investing in CMOs was added.

In addition, effective September 30, 2025, Albert Chan, CFA was added as a portfolio manager of the Fund and Benjamin Cryer and Thomas Runkle stepped down as portfolio managers of the Fund.

This is a summary of certain changes to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or

prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Strategic Income VIP Fund PAGE 3 780-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin Strategic Income VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 4  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin Strategic Income VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 4<sup>1</sup>  | $119 | 1.15% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 4 shares of Franklin Strategic Income VIP Fund returned 7.05%. The Fund compares its performance to the Bloomberg U.S. Aggregate Index, which returned 7.30% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Out-of-index exposure to high-yield corporate bonds |
| ↑ | Overweight exposure to sovereign emerging market debt |
| ↑ | Security selection in high-yield corporate bonds |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | U.S. yield curve positioning |
| ↓ | Underweight exposure to agency mortgage-backed securities |
| ↓ | Security selection in senior-secured floating-rate bank loans |

---

Franklin Strategic Income VIP Fund PAGE 1 734-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 4** 12/31/2015 — 12/31/2025

![image](ts6085img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 4**  | 7.05 | 1.81 | 3.00 |
| **Bloomberg U.S. Aggregate Index**  | 7.30 | -0.36 | 2.01 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $272216584 |
| **Total Number of Portfolio Holdings (excludes derivatives, except purchased options, if any)** | 708 |
| **Total Management Fee Paid** | $1677761 |
| **Portfolio Turnover Rate** | 131.34% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup><sup>,</sup><sup>†</sup> **(% of Total Investments)**

![image](ts6085img004.jpg)

\* Does not include derivatives, except purchased options, if any.

† Certain
 categories may represent less than 0.1%.

Franklin Strategic Income VIP Fund PAGE 2 734-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

Effective May 1, 2025, the Fund's principal investment strategies were revised to remove investments in marketplace loans to consumers and small and mid-sized enterprises or companies as a principal investment strategy of the Fund. In addition, disclosure was added to reflect increased exposure to collateralized mortgage obligations (CMOs).

In connection with the changes to the principal investment strategies, principal risk disclosure regarding marketplace loans was removed and disclosure regarding the risks of investing in CMOs was added.

In addition, effective September 30, 2025, Albert Chan, CFA was added as a portfolio manager of the Fund and Benjamin Cryer and Thomas Runkle stepped down as portfolio managers of the Fund.

This is a summary of certain changes to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or

prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin Strategic Income VIP Fund PAGE 3 734-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin U.S. Government Securities VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 1  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin U.S. Government Securities VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 1<sup>1</sup>  | $55 | 0.53% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 1 shares of Franklin U.S. Government Securities VIP Fund returned 7.01%. The Fund compares its performance to the Bloomberg U.S. Government - Intermediate Index, which returned 6.50% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Exposure to agency mortgage-backed securities and U.S. agency bonds contributed to performance. |
| ↑ | Positioning in the 10- and 20-year segments of the yield curve aided performance amid declining yields. |
| ↑ | Allocation to agency adjustable-rate mortgages and agency dus benefited results. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Yield-curve positioning detracted from performance, mainly from exposure to the five- and two-year portions of the curve as yields declined. |

---

Franklin U.S. Government Securities VIP Fund PAGE 1 781-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 1** 12/31/2015 — 12/31/2025

![image](ts6081img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 1**  | 7.01 | 0.26 | 1.39 |
| **Bloomberg U.S. Aggregate Index**  | 7.30 | -0.36 | 2.01 |
| **Bloomberg U.S. Government - Intermediate Index**  | 6.50 | 0.64 | 1.76 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $497218964 |
| **Total Number of Portfolio Holdings** | 659 |
| **Total Management Fee Paid** | $2518466 |
| **Portfolio Turnover Rate** | 23.32% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6081img004.jpg)

\* Does not include derivatives, except purchased options, if any.

Franklin U.S. Government Securities VIP Fund PAGE 2 781-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

Effective December 31, 2025, Paul Varunok stepped down as a portfolio manager of the Fund.

This is a summary of a certain change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin U.S. Government Securities VIP Fund PAGE 3 781-ATSR-0226

------

---

| | |
|:---|:---|
| **Franklin U.S. Government Securities VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 2  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Franklin U.S. Government Securities VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 2<sup>1</sup>  | $81 | 0.78% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 2 shares of Franklin U.S. Government Securities VIP Fund returned 6.69%. The Fund compares its performance to the Bloomberg U.S. Government - Intermediate Index, which returned 6.50% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Exposure to agency mortgage-backed securities and U.S. agency bonds contributed to performance. |
| ↑ | Positioning in the 10- and 20-year segments of the yield curve aided performance amid declining yields. |
| ↑ | Allocation to agency adjustable-rate mortgages and agency dus benefited results. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Yield-curve positioning detracted from performance, mainly from exposure to the five- and two-year portions of the curve as yields declined. |

---

Franklin U.S. Government Securities VIP Fund PAGE 1 782-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 2** 12/31/2015 — 12/31/2025

![image](ts6082img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 2**  | 6.69 | 0.02 | 1.14 |
| **Bloomberg U.S. Aggregate Index**  | 7.30 | -0.36 | 2.01 |
| **Bloomberg U.S. Government - Intermediate Index**  | 6.50 | 0.64 | 1.76 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $497218964 |
| **Total Number of Portfolio Holdings** | 659 |
| **Total Management Fee Paid** | $2518466 |
| **Portfolio Turnover Rate** | 23.32% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6082img004.jpg)

\* Does not include derivatives, except purchased options, if any.

Franklin U.S. Government Securities VIP Fund PAGE 2 782-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

Effective December 31, 2025, Paul Varunok stepped down as a portfolio manager of the Fund.

This is a summary of a certain change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Franklin U.S. Government Securities VIP Fund PAGE 3 782-ATSR-0226

------

---

| | |
|:---|:---|
| **Templeton Developing Markets VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 1  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Templeton Developing Markets VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 1<sup>1</sup>  | $138 | 1.12% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 1 shares of Templeton Developing Markets VIP Fund returned 46.64%. The Fund compares its performance to the MSCI Emerging Markets Index-NR, which returned 33.57% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | By country, South Korea, China and Taiwan were the largest absolute contributors. |
| ↑ | Sector-wise, information technology (IT), financials and consumer discretionary. |
| ↑ | South Korean semiconductor company SK Hynix was the largest driver of performance on continued optimism on growth in artificial intelligence (AI)-related demand. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Hong Kong was the sole absolute detractor by country, due to Techtronic Industries. |
| ↓ | By sector, utilities detracted. |
| ↓ | India-based IT services firm Infosys detracted on a narrowing sales outlook and a sharp increase in the U.S. H1-B visa fees. |

---

Templeton Developing Markets VIP Fund PAGE 1 717-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 1** 12/31/2015 — 12/31/2025

![image](ts6309img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 1**  | 46.64 | 5.73 | 10.68 |
| **MSCI All Country World ex-U.S. Index-NR**  | 32.39 | 7.91 | 8.41 |
| **MSCI Emerging Markets Index-NR**  | 33.57 | 4.20 | 8.42 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $325796392 |
| **Total Number of Portfolio Holdings** | 89 |
| **Total Management Fee Paid** | $3070856 |
| **Portfolio Turnover Rate** | 16.09% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6309img004.jpg)

\* Does not include derivatives, except purchased options, if any.

Templeton Developing Markets VIP Fund PAGE 2 717-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

On May 1, 2025, disclosure was added to the Fund's principal investment strategies to reflect the Fund's increased exposure to securities in Taiwan.

Related disclosure regarding the risks of investing in securities in Taiwan was also added to the Fund's principal risks.

This is a summary of a certain change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Templeton Developing Markets VIP Fund PAGE 3 717-ATSR-0226

------

---

| | |
|:---|:---|
| **Templeton Developing Markets VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 2  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Templeton Developing Markets VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 2<sup>1</sup>  | $167 | 1.36% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 2 shares of Templeton Developing Markets VIP Fund returned 46.27%. The Fund compares its performance to the MSCI Emerging Markets Index-NR, which returned 33.57% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | By country, South Korea, China and Taiwan were the largest absolute contributors. |
| ↑ | Sector-wise, information technology (IT), financials and consumer discretionary. |
| ↑ | South Korean semiconductor company SK Hynix was the largest driver of performance on continued optimism on growth in artificial intelligence (AI)-related demand. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Hong Kong was the sole absolute detractor by country, due to Techtronic Industries. |
| ↓ | By sector, utilities detracted. |
| ↓ | India-based IT services firm Infosys detracted on a narrowing sales outlook and a sharp increase in the U.S. H1-B visa fees. |

---

Templeton Developing Markets VIP Fund PAGE 1 718-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 2** 12/31/2015 — 12/31/2025

![image](ts6310img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 2**  | 46.27 | 5.46 | 10.40 |
| **MSCI All Country World ex-U.S. Index-NR**  | 32.39 | 7.91 | 8.41 |
| **MSCI Emerging Markets Index-NR**  | 33.57 | 4.20 | 8.42 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $325796392 |
| **Total Number of Portfolio Holdings** | 89 |
| **Total Management Fee Paid** | $3070856 |
| **Portfolio Turnover Rate** | 16.09% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6310img004.jpg)

\* Does not include derivatives, except purchased options, if any.

Templeton Developing Markets VIP Fund PAGE 2 718-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

On May 1, 2025, disclosure was added to the Fund's principal investment strategies to reflect the Fund's increased exposure to securities in Taiwan.

Related disclosure regarding the risks of investing in securities in Taiwan was also added to the Fund's principal risks.

This is a summary of a certain change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Templeton Developing Markets VIP Fund PAGE 3 718-ATSR-0226

------

---

| | |
|:---|:---|
| **Templeton Developing Markets VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 4  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Templeton Developing Markets VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 4<sup>1</sup>  | $181 | 1.47% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 4 shares of Templeton Developing Markets VIP Fund returned 46.09%. The Fund compares its performance to the MSCI Emerging Markets Index-NR, which returned 33.57% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | By country, South Korea, China and Taiwan were the largest absolute contributors. |
| ↑ | Sector-wise, information technology (IT), financials and consumer discretionary. |
| ↑ | South Korean semiconductor company SK Hynix was the largest driver of performance on continued optimism on growth in artificial intelligence (AI)-related demand. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Hong Kong was the sole absolute detractor by country, due to Techtronic Industries. |
| ↓ | By sector, utilities detracted. |
| ↓ | India-based IT services firm Infosys detracted on a narrowing sales outlook and a sharp increase in the U.S. H1-B visa fees. |

---

Templeton Developing Markets VIP Fund PAGE 1 738-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 4** 12/31/2015 — 12/31/2025

![image](ts6311img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 4**  | 46.09 | 5.34 | 10.28 |
| **MSCI All Country World ex-U.S. Index-NR**  | 32.39 | 7.91 | 8.41 |
| **MSCI Emerging Markets Index-NR**  | 33.57 | 4.20 | 8.42 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $325796392 |
| **Total Number of Portfolio Holdings** | 89 |
| **Total Management Fee Paid** | $3070856 |
| **Portfolio Turnover Rate** | 16.09% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6311img004.jpg)

\* Does not include derivatives, except purchased options, if any.

Templeton Developing Markets VIP Fund PAGE 2 738-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

On May 1, 2025, disclosure was added to the Fund's principal investment strategies to reflect the Fund's increased exposure to securities in Taiwan.

Related disclosure regarding the risks of investing in securities in Taiwan was also added to the Fund's principal risks.

This is a summary of a certain change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Templeton Developing Markets VIP Fund PAGE 3 738-ATSR-0226

------

---

| | |
|:---|:---|
| **Templeton Foreign VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 1  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Templeton Foreign VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 1<sup>1</sup>  | $94 | 0.82% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 1 shares of Templeton Foreign VIP Fund returned 29.51%. The Fund compares its performance to the MSCI All Country World ex-U.S. Index-NR, which returned 32.39% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Stock selection in the consumer discretionary, financials and industrials sectors contributed to relative performance for the year. |
| ↑ | Geographically, stock selection in the Asia ex-Japan region contributed to relative results. |
| ↑ | Standard Chartered (U.K.), Samsung Electronics (South Korea), Lloyds Banking Group (U.K.), ING Groep (Netherlands) and Alibaba Group (China). |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Stock selection in the materials, utilities and communication services sectors detracted from relative performance for the year. |
| ↓ | Geographically, stock selection in the eurozone, particularly Germany, Ireland and France, detracted from relative results. |
| ↓ | Smurfit Westrock (Ireland), CNH Industrial (U.K.), Orsted (Denmark; not held at period end), Deustche Telekom (Germany) and BNP Paribas (France; not held at period-end). |

---

Templeton Foreign VIP Fund PAGE 1 719-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 1** 12/31/2015 — 12/31/2025

![image](ts6307img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 1**  | 29.51 | 8.52 | 6.01 |
| **MSCI All Country World ex-U.S. Index-NR**  | 32.39 | 7.91 | 8.41 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $892292690 |
| **Total Number of Portfolio Holdings** | 53 |
| **Total Management Fee Paid** | $6704203 |
| **Portfolio Turnover Rate** | 65.93% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6307img004.jpg)

\* Does not include derivatives, except purchased options, if any.

Templeton Foreign VIP Fund PAGE 2 719-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

Effective December 15, 2025, Matthew R. Nagle, CFA no longer serves as a portfolio manager of the Fund.

This is a summary of a certain change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Templeton Foreign VIP Fund PAGE 3 719-ATSR-0226

------

---

| | |
|:---|:---|
| **Templeton Foreign VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 2  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Templeton Foreign VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 2<sup>1</sup>  | $123 | 1.07% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 2 shares of Templeton Foreign VIP Fund returned 29.19%. The Fund compares its performance to the MSCI All Country World ex-U.S. Index-NR, which returned 32.39% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Stock selection in the consumer discretionary, financials and industrials sectors contributed to relative performance for the year. |
| ↑ | Geographically, stock selection in the Asia ex-Japan region contributed to relative results. |
| ↑ | Standard Chartered (U.K.), Samsung Electronics (South Korea), Lloyds Banking Group (U.K.), ING Groep (Netherlands) and Alibaba Group (China). |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Stock selection in the materials, utilities and communication services sectors detracted from relative performance for the year. |
| ↓ | Geographically, stock selection in the eurozone, particularly Germany, Ireland and France, detracted from relative results. |
| ↓ | Smurfit Westrock (Ireland), CNH Industrial (U.K.), Orsted (Denmark; not held at period end), Deustche Telekom (Germany) and BNP Paribas (France; not held at period-end). |

---

Templeton Foreign VIP Fund PAGE 1 720-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 2** 12/31/2015 — 12/31/2025

![image](ts6305img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 2**  | 29.19 | 8.25 | 5.75 |
| **MSCI All Country World ex-U.S. Index-NR**  | 32.39 | 7.91 | 8.41 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $892292690 |
| **Total Number of Portfolio Holdings** | 53 |
| **Total Management Fee Paid** | $6704203 |
| **Portfolio Turnover Rate** | 65.93% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6305img004.jpg)

\* Does not include derivatives, except purchased options, if any.

Templeton Foreign VIP Fund PAGE 2 720-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

Effective December 15, 2025, Matthew R. Nagle, CFA no longer serves as a portfolio manager of the Fund.

This is a summary of a certain change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Templeton Foreign VIP Fund PAGE 3 720-ATSR-0226

------

---

| | |
|:---|:---|
| **Templeton Foreign VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 4  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Templeton Foreign VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 4<sup>1</sup>  | $134 | 1.17% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 4 shares of Templeton Foreign VIP Fund returned 28.97%. The Fund compares its performance to the MSCI All Country World ex-U.S. Index-NR, which returned 32.39% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Stock selection in the consumer discretionary, financials and industrials sectors contributed to relative performance for the year. |
| ↑ | Geographically, stock selection in the Asia ex-Japan region contributed to relative results. |
| ↑ | Standard Chartered (U.K.), Samsung Electronics (South Korea), Lloyds Banking Group (U.K.), ING Groep (Netherlands) and Alibaba Group (China). |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Stock selection in the materials, utilities and communication services sectors detracted from relative performance for the year. |
| ↓ | Geographically, stock selection in the eurozone, particularly Germany, Ireland and France, detracted from relative results. |
| ↓ | Smurfit Westrock (Ireland), CNH Industrial (U.K.), Orsted (Denmark; not held at period end), Deustche Telekom (Germany) and BNP Paribas (France; not held at period-end). |

---

Templeton Foreign VIP Fund PAGE 1 785-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 4** 12/31/2015 — 12/31/2025

![image](ts6303img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 4**  | 28.97 | 8.14 | 5.64 |
| **MSCI All Country World ex-U.S. Index-NR**  | 32.39 | 7.91 | 8.41 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $892292690 |
| **Total Number of Portfolio Holdings** | 53 |
| **Total Management Fee Paid** | $6704203 |
| **Portfolio Turnover Rate** | 65.93% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6303img004.jpg)

\* Does not include derivatives, except purchased options, if any.

Templeton Foreign VIP Fund PAGE 2 785-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

Effective December 15, 2025, Matthew R. Nagle, CFA no longer serves as a portfolio manager of the Fund.

This is a summary of a certain change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Templeton Foreign VIP Fund PAGE 3 785-ATSR-0226

------

---

| | |
|:---|:---|
| **Templeton Global Bond VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 1  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Templeton Global Bond VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 1<sup>1</sup>  | $50 | 0.46% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 1 shares of Templeton Global Bond VIP Fund returned 16.09%. The Fund compares its performance to the JP Morgan Global Government Bond Index and the FTSE World Government Bond Index, which returned 6.56% and 7.55%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Interest rate strategies contributed to absolute performance. Duration exposures in Brazil, Mexico, South Africa, the U.S. and India contributed to absolute results. |
| ↑ | Currency positions contributed to absolute returns. Positions in the Mexican peso, Brazilian real, Colombian peso, South African rand, Malaysian ringgit, Australian dollar and Norwegian krone contributed. |
| ↑ | Interest rate strategies contributed to relative performance. Overweighted duration exposures in Brazil, Mexico, South Africa and India contributed, as did underweighted duration exposure in Japan. |
| ↑ | Sovereign credit exposures contributed to relative performance. Overweighted positions in U.S. dollar-denominated sovereign credits contributed. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Within currency positions, the Fund's position in the Japanese yen detracted from absolute results, as did its net-negative positions in the euro (for part of the period) and Chinese yuan. |
| ↓ | Within currency positions, underweighted exposure to the euro and Chinese yuan detracted from relative performance, as did the Fund's overweighted position in the Japanese yen. |
| ↓ | Within interest-rate strategies, underweighted duration exposure to the U.S. detracted from relative returns. |

---

**Use of derivatives and the impact on performance:**

The Fund utilized interest rate swaps to manage duration exposure which contributed to performance. Currency forward contracts and currency options were used to gain additional exposure to currencies and for hedging and investment purposes, which in aggregate detracted from performance.

Templeton Global Bond VIP Fund PAGE 1 741-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 1** 12/31/2015 — 12/31/2025

![image](ts6163img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 1**  | 16.09 | -0.69 | 0.11 |
| **Bloomberg Global Aggregate Index**  | 8.17 | -2.15 | 1.26 |
| **JP Morgan Global Government Bond Index**  | 6.56 | -3.74 | 0.35 |
| **FTSE World Government Bond Index**  | 7.55 | -3.53 | 0.54 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $1420051346 |
| **Total Number of Portfolio Holdings (excludes derivatives, except purchased options, if any)** | 80 |
| **Total Management Fee Paid** | $6171628 |
| **Portfolio Turnover Rate** | 26.12% |

---

Templeton Global Bond VIP Fund PAGE 2 741-ATSR-0226

------

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6163img004.jpg)

\* Does not include derivatives, except purchased options, if any.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Templeton Global Bond VIP Fund PAGE 3 741-ATSR-0226

------

---

| | |
|:---|:---|
| **Templeton Global Bond VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 2  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Templeton Global Bond VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 2<sup>1</sup>  | $77 | 0.71% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 2 shares of Templeton Global Bond VIP Fund returned 15.73%. The Fund compares its performance to the JP Morgan Global Government Bond Index and the FTSE World Government Bond Index, which returned 6.56% and 7.55%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Interest rate strategies contributed to absolute performance. Duration exposures in Brazil, Mexico, South Africa, the U.S. and India contributed to absolute results. |
| ↑ | Currency positions contributed to absolute returns. Positions in the Mexican peso, Brazilian real, Colombian peso, South African rand, Malaysian ringgit, Australian dollar and Norwegian krone contributed. |
| ↑ | Interest rate strategies contributed to relative performance. Overweighted duration exposures in Brazil, Mexico, South Africa and India contributed, as did underweighted duration exposure in Japan. |
| ↑ | Sovereign credit exposures contributed to relative performance. Overweighted positions in U.S. dollar-denominated sovereign credits contributed. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Within currency positions, the Fund's position in the Japanese yen detracted from absolute results, as did its net-negative positions in the euro (for part of the period) and Chinese yuan. |
| ↓ | Within currency positions, underweighted exposure to the euro and Chinese yuan detracted from relative performance, as did the Fund's overweighted position in the Japanese yen. |
| ↓ | Within interest-rate strategies, underweighted duration exposure to the U.S. detracted from relative returns. |

---

**Use of derivatives and the impact on performance:**

The Fund utilized interest rate swaps to manage duration exposure which contributed to performance. Currency forward contracts and currency options were used to gain additional exposure to currencies and for hedging and investment purposes, which in aggregate detracted from performance.

Templeton Global Bond VIP Fund PAGE 1 742-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 2** 12/31/2015 — 12/31/2025

![image](ts6165img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 2**  | 15.73 | -0.96 | -0.15 |
| **Bloomberg Global Aggregate Index**  | 8.17 | -2.15 | 1.26 |
| **JP Morgan Global Government Bond Index**  | 6.56 | -3.74 | 0.35 |
| **FTSE World Government Bond Index**  | 7.55 | -3.53 | 0.54 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $1420051346 |
| **Total Number of Portfolio Holdings (excludes derivatives, except purchased options, if any)** | 80 |
| **Total Management Fee Paid** | $6171628 |
| **Portfolio Turnover Rate** | 26.12% |

---

Templeton Global Bond VIP Fund PAGE 2 742-ATSR-0226

------

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6165img004.jpg)

\* Does not include derivatives, except purchased options, if any.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Templeton Global Bond VIP Fund PAGE 3 742-ATSR-0226

------

---

| | |
|:---|:---|
| **Templeton Global Bond VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 4  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Templeton Global Bond VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 4<sup>1</sup>  | $87 | 0.81% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 4 shares of Templeton Global Bond VIP Fund returned 15.56%. The Fund compares its performance to the JP Morgan Global Government Bond Index and the FTSE World Government Bond Index, which returned 6.56% and 7.55%, respectively, for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Interest rate strategies contributed to absolute performance. Duration exposures in Brazil, Mexico, South Africa, the U.S. and India contributed to absolute results. |
| ↑ | Currency positions contributed to absolute returns. Positions in the Mexican peso, Brazilian real, Colombian peso, South African rand, Malaysian ringgit, Australian dollar and Norwegian krone contributed. |
| ↑ | Interest rate strategies contributed to relative performance. Overweighted duration exposures in Brazil, Mexico, South Africa and India contributed, as did underweighted duration exposure in Japan. |
| ↑ | Sovereign credit exposures contributed to relative performance. Overweighted positions in U.S. dollar-denominated sovereign credits contributed. |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Within currency positions, the Fund's position in the Japanese yen detracted from absolute results, as did its net-negative positions in the euro (for part of the period) and Chinese yuan. |
| ↓ | Within currency positions, underweighted exposure to the euro and Chinese yuan detracted from relative performance, as did the Fund's overweighted position in the Japanese yen. |
| ↓ | Within interest-rate strategies, underweighted duration exposure to the U.S. detracted from relative returns. |

---

**Use of derivatives and the impact on performance:**

The Fund utilized interest rate swaps to manage duration exposure which contributed to performance. Currency forward contracts and currency options were used to gain additional exposure to currencies and for hedging and investment purposes, which in aggregate detracted from performance.

Templeton Global Bond VIP Fund PAGE 1 787-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 4** 12/31/2015 — 12/31/2025

![image](ts6166img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 4**  | 15.56 | -1.05 | -0.25 |
| **Bloomberg Global Aggregate Index**  | 8.17 | -2.15 | 1.26 |
| **JP Morgan Global Government Bond Index**  | 6.56 | -3.74 | 0.35 |
| **FTSE World Government Bond Index**  | 7.55 | -3.53 | 0.54 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $1420051346 |
| **Total Number of Portfolio Holdings (excludes derivatives, except purchased options, if any)** | 80 |
| **Total Management Fee Paid** | $6171628 |
| **Portfolio Turnover Rate** | 26.12% |

---

Templeton Global Bond VIP Fund PAGE 2 787-ATSR-0226

------

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6166img004.jpg)

\* Does not include derivatives, except purchased options, if any.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Templeton Global Bond VIP Fund PAGE 3 787-ATSR-0226

------

---

| | |
|:---|:---|
| **Templeton Growth VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 1  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Templeton Growth VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 1<sup>1</sup>  | $98 | 0.87% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 1 shares of Templeton Growth VIP Fund returned 24.16%. The Fund compares its performance to the MSCI All Country World Index-NR, which returned 22.34% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Stock selection in the industrials and information technology sectors and an overweight and stock selection in the health care sector contributed to relative performance for the year. |
| ↑ | Geographically, an overweight and stock selection in the U.K. was the largest contributor to relative returns. |
| ↑ | Rolls Royce (U.K.), BAE Systems (U.K.; not held at period-end), Amphenol (U.S.; not held at period-end), Taiwan Semiconductor (Taiwan), and Alphabet (U.S.). |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Stock selection in the materials, financials and consumer discretionary sectors detracted from relative performance. |
| ↓ | Geographically, stock selection in the Eurozone, particularly Ireland and the Netherlands, detracted from relative returns. |
| ↓ | UnitedHealth Group (U.S.), Nike (U.S.), ICON (Ireland), Salesforce (U.S.; not held at period-end), and Vinci (France). |

---

Templeton Growth VIP Fund PAGE 1 739-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 1** 12/31/2015 — 12/31/2025

![image](ts6154img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 1**  | 24.16 | 8.23 | 7.31 |
| **MSCI All Country World Index-NR**  | 22.34 | 11.19 | 11.72 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $370944088 |
| **Total Number of Portfolio Holdings** | 63 |
| **Total Management Fee Paid** | $2985964 |
| **Portfolio Turnover Rate** | 77.90% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6154img004.jpg)

\* Does not include derivatives, except purchased options, if any.

Templeton Growth VIP Fund PAGE 2 739-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

Effective August 1, 2025, Templeton Asset Management Ltd. no longer serves as sub-advisor to the Fund.

This is a summary of a certain change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Templeton Growth VIP Fund PAGE 3 739-ATSR-0226

------

---

| | |
|:---|:---|
| **Templeton Growth VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 2  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Templeton Growth VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 2<sup>1</sup>  | $125 | 1.12% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 2 shares of Templeton Growth VIP Fund returned 23.83%. The Fund compares its performance to the MSCI All Country World Index-NR, which returned 22.34% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Stock selection in the industrials and information technology sectors and an overweight and stock selection in the health care sector contributed to relative performance for the year. |
| ↑ | Geographically, an overweight and stock selection in the U.K. was the largest contributor to relative returns. |
| ↑ | Rolls Royce (U.K.), BAE Systems (U.K.; not held at period-end), Amphenol (U.S.; not held at period-end), Taiwan Semiconductor (Taiwan), and Alphabet (U.S.). |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Stock selection in the materials, financials and consumer discretionary sectors detracted from relative performance. |
| ↓ | Geographically, stock selection in the Eurozone, particularly Ireland and the Netherlands, detracted from relative returns. |
| ↓ | UnitedHealth Group (U.S.), Nike (U.S.), ICON (Ireland), Salesforce (U.S.; not held at period-end), and Vinci (France). |

---

Templeton Growth VIP Fund PAGE 1 740-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 2** 12/31/2015 — 12/31/2025

![image](ts6155img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 2**  | 23.83 | 7.95 | 7.04 |
| **MSCI All Country World Index-NR**  | 22.34 | 11.19 | 11.72 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $370944088 |
| **Total Number of Portfolio Holdings** | 63 |
| **Total Management Fee Paid** | $2985964 |
| **Portfolio Turnover Rate** | 77.90% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6155img004.jpg)

\* Does not include derivatives, except purchased options, if any.

Templeton Growth VIP Fund PAGE 2 740-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

Effective August 1, 2025, Templeton Asset Management Ltd. no longer serves as sub-advisor to the Fund.

This is a summary of a certain change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Templeton Growth VIP Fund PAGE 3 740-ATSR-0226

------

---

| | |
|:---|:---|
| **Templeton Growth VIP Fund**  | ![image](img2199_202405220716489.jpg) |
| Class 4  | ![image](img2199_202405220716489.jpg) |
| Annual Shareholder Report \| December 31, 2025  | ![image](img2199_202405220716489.jpg) |
| ![image](img2195_202408190904545.jpg) | ![image](img2195_202408190904545.jpg) |

---

This annual shareholder report contains important information about Templeton Growth VIP Fund for the period January 1, 2025, to December 31, 2025.

You can find additional information about the Fund at https://www.franklintempleton.com/regulatory-fund-documents. You can also request this information by contacting us at (800) 362-6243.

***This report describes changes to the Fund that occurred during the reporting period.***

**WHAT WERE THE FUND COSTS FOR THE LAST YEAR?** (based on a hypothetical $10,000 investment)

---

| | | |
|:---|:---|:---|
| **Class Name** | **Costs of a $10,000** **investment** | **Costs paid as a percentage of a** **$10,000 investment**<sup>\*</sup>  |
| Class 4<sup>1</sup>  | $136 | 1.22% |

---

\* Reflects fee waivers and/or expense reimbursements, without which expenses would have been higher.

1 Does not reflect expenses incurred from investing through variable annuity or variable life insurance products.

**HOW DID THE FUND PERFORM LAST YEAR AND WHAT AFFECTED ITS PERFORMANCE?**

For the twelve months ended December 31, 2025, Class 4 shares of Templeton Growth VIP Fund returned 23.71%. The Fund compares its performance to the MSCI All Country World Index-NR, which returned 22.34% for the same period.

**PERFORMANCE HIGHLIGHTS**

---

| | |
|:---|:---|
| **Top contributors to performance:** | **Top contributors to performance:** |
| ↑ | Stock selection in the industrials and information technology sectors and an overweight and stock selection in the health care sector contributed to relative performance for the year. |
| ↑ | Geographically, an overweight and stock selection in the U.K. was the largest contributor to relative returns. |
| ↑ | Rolls Royce (U.K.), BAE Systems (U.K.; not held at period-end), Amphenol (U.S.; not held at period-end), Taiwan Semiconductor (Taiwan), and Alphabet (U.S.). |

---

---

| | |
|:---|:---|
| **Top detractors from performance:** | **Top detractors from performance:** |
| ↓ | Stock selection in the materials, financials and consumer discretionary sectors detracted from relative performance. |
| ↓ | Geographically, stock selection in the Eurozone, particularly Ireland and the Netherlands, detracted from relative returns. |
| ↓ | UnitedHealth Group (U.S.), Nike (U.S.), ICON (Ireland), Salesforce (U.S.; not held at period-end), and Vinci (France). |

---

Templeton Growth VIP Fund PAGE 1 788-ATSR-0226

------

**HOW DID THE FUND PERFORM OVER THE LAST 10 YEARS?**

**The Fund's past performance is not necessarily an indication of how the Fund will perform in the future.** The graph and table do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or redemption of Fund shares.

**VALUE OF A $** **10,000 INVESTMENT –** **Class 4** 12/31/2015 — 12/31/2025

![image](ts6156img003.jpg)

**AVERAGE ANNUAL TOTAL RETURNS (%)** Period Ended December 31, 2025

---

| | | | |
|:---|:---|:---|:---|
|  | **1 Year** | **5 Year** | **10 Year** |
| **Class 4**  | 23.71 | 7.84 | 6.93 |
| **MSCI All Country World Index-NR**  | 22.34 | 11.19 | 11.72 |

---

Performance does not reflect expenses incurred from investing through variable annuity or variable life insurance products, which if reflected, would reduce performance of the Fund.

Fund performance figures may reflect fee waivers and/or expense reimbursements, without which the performance would have been lower.

Important data provider notices and terms available at www.franklintempletondatasources.com.

**KEY FUND STATISTICS** (as of December 31, 2025)

---

| | |
|:---|:---|
| **Total Net Assets** | $370944088 |
| **Total Number of Portfolio Holdings** | 63 |
| **Total Management Fee Paid** | $2985964 |
| **Portfolio Turnover Rate** | 77.90% |

---

**WHAT DID THE FUND INVEST IN?** (as of December 31, 2025)

**Portfolio Composition**<sup>\*</sup> **(% of Total Investments)**

![image](ts6156img004.jpg)

\* Does not include derivatives, except purchased options, if any.

Templeton Growth VIP Fund PAGE 2 788-ATSR-0226

------

**HOW HAS THE FUND CHANGED?**

Effective August 1, 2025, Templeton Asset Management Ltd. no longer serves as sub-advisor to the Fund.

This is a summary of a certain change to the Fund since January 1, 2025. For more complete information, you may review the Fund's current prospectus and any applicable supplements and the Fund's next prospectus, which we expect to be available by May 1, 2026, at https://www.franklintempleton.com/regulatory-fund-documents or upon request at (800) 362-6243 or prospectus.us.franklintempleton@fisglobal.com.

---

| | |
|:---|:---|
| ![image](img11308_202405310907293.jpg) | **WHERE CAN I FIND ADDITIONAL INFORMATION ABOUT THE FUND?** |
| ![image](img11308_202405310907293.jpg) | Additional information is available on https://www.franklintempleton.com/regulatory-fund-documents, including its: |
| ![image](img11308_202405310907293.jpg) | • prospectus • proxy voting information • financial information • holdings • tax information |

---

Templeton Growth VIP Fund PAGE 3 788-ATSR-0226

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Not applicable

ITEM 2. CODE OF ETHICS.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Registrant has adopted a code of ethics that applies to its principal executive officers and principal financial and accounting officer.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) N/A

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) N/A

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Pursuant to Item 19(a) (1), the Registrant is attaching as an exhibit a copy of its code of ethics that applies to its principal executive officers and principal financial and accounting officer.

ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.

The Board of Trustees of the Registrant has determined that Mary C. Choksi, possesses the technical attributes identified in Item 3 to Form N-CSR to qualify as an "audit committee financial expert," and has designated Mary C. Choksi as the Audit Committee's financial expert. Mary C. Choksi is an "independent" Trustee pursuant to paragraph (a)(2) of Item 3 to Form N-CSR.

Under applicable securities laws, a person determined to be an audit committee financial expert will not be deemed an "expert" for any purpose, including without limitation for the purposes of Section 11 of the Securities Act of 1933, as a result of being designated or identified as an audit committee financial expert. The designation or identification of a person as an audit committee financial expert does not impose on such person any duties, obligations, or liabilities greater than the duties, obligations, and liabilities imposed on such person as a member of the audit committee and board of directors in the absence of such designation or identification. The designation or identification of a person as an audit committee financial expert does not affect the duties, obligations, or liability of any other member of the audit committee or board of directors.

ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) <u>Audit Fees</u>. The aggregate fees billed in the last two fiscal years ending December 31, 2024 and December 31, 2025 (the "Reporting Periods") for professional services rendered by the Registrant's principal accountant (the "Auditor") for the audit of the Registrant's annual financial statements, or services that are normally provided by the Auditor in connection with the statutory and regulatory filings or engagements for the Reporting Periods, were $848,006 in December 31, 2024 and $1,019,751 in December 31, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) <u>Audit-Related Fees</u>. The aggregate fees billed in the Reporting Periods for assurance and related services by the Auditor that are reasonably related to the performance of the Registrant's financial statements were $0 in December 31, 2024 and $0 in December 31, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Tax Fees</u>. The aggregate fees billed in the Reporting Periods for professional services rendered by the Auditor for tax compliance, tax advice and tax planning ("Tax Services") were $184,500 in December 31, 2024 and $184,500 in December 31, 2025. These services consisted of (i) review or preparation of U.S. federal, state, local and excise tax returns; (ii) U.S. federal, state and local tax planning, advice and assistance regarding statutory, regulatory or administrative developments, and (iii) tax advice regarding tax qualification matters and/or treatment of various financial instruments held or proposed to be acquired or held.

There were no fees billed for tax services by the Registrant's investment adviser and any entity controlling, controlled by, or under common control with the investment adviser that provides ongoing services to the Registrant ("Service Affiliates") during the Reporting Periods that required pre-approval by the Audit Committee

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) <u>All Other Fees</u>. The aggregate fees billed in the Reporting Periods for products and services provided by the Auditor to the Registrant, other than the services reported in paragraphs (a) through (c) of this item, were $0 in December 31, 2024 and $0 in December 31, 2025.

There were no other non-audit services rendered by the Auditor to the Service Affiliates requiring pre-approval by the Audit Committee in the Reporting Periods.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Audit Committee's pre–approval policies and procedures described in paragraph (c) (7) of Rule 2-01 of Regulation S-X.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) The Registrant's Audit Committee is directly responsible for approving the services to be provided by the Auditors, including:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) pre-approval of all audit and audit related services;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) pre-approval of all non-audit related services to be provided to the Registrant by the Auditors;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) pre-approval of all non-audit related services to be provided by the Auditors to the Registrant and the Service Affiliates where the non-audit services relate directly to the operations or financial reporting of the Registrant; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) establishment by the Audit Committee, if deemed necessary or appropriate, as an alternative to committee pre-approval of services to be provided by the Auditors, as required by paragraphs (ii) and (iii) above, of policies and procedures to permit such services to be pre-approved by other means, such as through establishment of guidelines or by action of a designated member or members of the committee; provided the policies and procedures are detailed as to the particular service and the committee is informed of each service and such policies and procedures do not include delegation of Audit Committee responsibilities, as contemplated under the Securities Exchange Act of 1934, to management; subject, in the case of (ii) through (iv), to any waivers, exceptions or exemptions that may be available under applicable law or rules.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) None of the services described in paragraphs (b) through (d) of this Item were performed in reliance on paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Not applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Non-audit fees billed by the Auditor for services rendered to the Registrant and the Service Affiliates during the reporting period were $1,948,584 in December 31, 2024 and $3,328,350 in December 31, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) Yes. The Registrant's Audit Committee has considered whether the provision of non-audit services that were rendered to Service Affiliates, which were not pre-approved (not requiring pre-approval), is compatible with maintaining the Auditor's independence. All services provided by the Auditor to the Registrant or to the Service Affiliates, which were required to be pre-approved, were pre-approved as required.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) Not applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j) Not applicable.

ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.

Not applicable*.*

ITEM 6. SCHEDULE OF INVESTMENTS.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Please see schedule of investments contained in the Financial Statements and Financial
 Highlights included under Item 7 of this Form N-CSR.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Not applicable.

ITEM 7. FINANCIAL STATEMENTS AND FINANCIAL HIGLIGHTS FOR OPEN-END MANAGEMENT INVESTMENT COMPANIES.

#### Franklin

#### Allocation

#### VIP

#### Fund

#### Financial

#### Statements

#### and

#### Other

#### Important

#### Information

#### Annual
\|

December

31,

2025

#### Table

#### of

#### Contents
franklintempleton.com

Financial

Statements

and

Other

Important

Information—Annual

Financial

Highlights

and

Schedule

of

Investments

#### 2
Financial

Statements

#### 35
Notes

to

Financial

Statements

#### 39
Report

of

Independent

Registered

Public

Accounting

Firm

#### 53
Tax

Information

#### 54
Statement

of

Additional

Information

#### 55
Changes

In

and

Disagreements

with

Accountants

#### 57
Results

of

Meeting(s)

of

Shareholders

Remuneration

Paid

to

Directors,

Officers

and

Others

Board

Approval

of

Management

and

Subadvisory

Agreements

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Allocation

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 1

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$5.29

$4.95

$4.46

$6.02

$5.49

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.12 0.11 0.10 0.08 0.06 Net

realized

and

unrealized

gains

(losses)

...........

0.54 0.35 0.55 (1.03)

0.58 Total

from

investment

operations

....................

0.66 0.46 0.65 (0.95)

0.64 Less

distributions

from:

Net

investment

income

..........................

(0.12)

(0.12)

(0.08)

(0.10)

(0.11)

Net

realized

gains

.............................

(0.23)

—

(0.08)

(0.51)

—

Total

distributions

...............................

(0.35)

(0.12)

(0.16)

(0.61)

(0.11)

Net

asset

value,

end

of

year

.......................

$5.60

$5.29

$4.95

$4.46

$6.02

Total

return

c

...................................

12.98%

9.33%

14.77%

(15.68)%

11.81%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.61%

0.59%

0.57%

0.58%

0.60%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.56%

0.56%

0.56%

d

0.57%

d

0.56%

d

Net

investment

income

...........................

2.18%

2.07%

2.08%

1.55%

1.04%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$1,151

$1,067

$791

$648

$841

Portfolio

turnover

rate

............................

41.77%

53.38%

56.04%

107.31%

54.07%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchas-

es

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Prod-

ucts

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 2

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$5.24

$4.90

$4.41

$5.96

$5.43

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.10 0.09 0.08 0.06 0.05 Net

realized

and

unrealized

gains

(losses)

...........

0.54 0.36 0.56 (1.02)

0.58 Total

from

investment

operations

....................

0.64 0.45 0.64 (0.96)

0.63 Less

distributions

from:

Net

investment

income

..........................

(0.11)

(0.11)

(0.07)

(0.08)

(0.10)

Net

realized

gains

.............................

(0.23)

—

(0.08)

(0.51)

—

Total

distributions

...............................

(0.34)

(0.11)

(0.15)

(0.59)

(0.10)

Net

asset

value,

end

of

year

.......................

$5.54

$5.24

$4.90

$4.41

$5.96

Total

return

c

...................................

12.60%

9.15%

14.61%

(16.00)%

11.68%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.86%

0.84%

0.82%

0.83%

0.85%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.81%

0.81%

0.81%

d

0.82%

d

0.81%

d

Net

investment

income

...........................

1.94%

1.81%

1.81%

1.29%

0.80%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$200,976

$207,665

$222,332

$223,917

$302,084

Portfolio

turnover

rate

............................

41.77%

53.38%

56.04%

107.31%

54.07%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Allocation

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#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 4

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$5.45

$5.10

$4.58

$6.17

$5.62

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.10 0.09 0.08 0.06 0.04 Net

realized

and

unrealized

gains

(losses)

...........

0.56 0.36 0.58 (1.06)

0.60 Total

from

investment

operations

....................

0.66 0.45 0.66 (1.00)

0.64 Less

distributions

from:

Net

investment

income

..........................

(0.10)

(0.10)

(0.06)

(0.08)

(0.09)

Net

realized

gains

.............................

(0.23)

—

(0.08)

(0.51)

—

Total

distributions

...............................

(0.33)

(0.10)

(0.14)

(0.59)

(0.09)

Net

asset

value,

end

of

year

.......................

$5.78

$5.45

$5.10

$4.58

$6.17

Total

return

c

...................................

12.53%

8.89%

14.62%

(16.19)%

11.54%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.96%

0.94%

0.92%

0.93%

0.95%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.91%

0.91%

0.91%

d

0.92%

d

0.91%

d

Net

investment

income

...........................

1.84%

1.71%

1.71%

1.20%

0.70%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$349,785

$344,151

$355,128

$328,741

$418,751

Portfolio

turnover

rate

............................

41.77%

53.38%

56.04%

107.31%

54.07%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments,

December

31,

2025

#### Franklin

#### Allocation

#### VIP

#### Fund
franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks

#### 57.4%

#### Aerospace

#### &

#### Defense

#### 2.1%
Airbus

SE

,

ADR

....................................

France

8,415

$

487,397

BAE

Systems

plc

...................................

United

Kingdom

15,567

358,275

a

Boeing

Co.

(The)

...................................

United

States

4,100

890,192

BWX

Technologies,

Inc.

..............................

United

States

2,718

469,779

Curtiss-Wright

Corp.

.................................

United

States

583

321,390

Dassault

Aviation

SA

.................................

France

1,936

620,693

Exosens

SAS

......................................

France

6,225

353,837

General

Dynamics

Corp.

..............................

United

States

4,263

1,435,182

General

Electric

Co.

.................................

United

States

3,671

1,130,778

Howmet

Aerospace,

Inc.

..............................

United

States

79,343

L3Harris

Technologies,

Inc.

............................

United

States

72,805

Leonardo

SpA

......................................

Italy

1,809

103,476

Lockheed

Martin

Corp.

...............................

United

States

74,485

MTU

Aero

Engines

AG

...............................

Germany

1,900

787,603

Northrop

Grumman

Corp.

.............................

United

States

1,274

726,448

Rolls-Royce

Holdings

plc

.............................

United

Kingdom

8,088

125,087

RTX

Corp.

........................................

United

States

14,757

2,706,434

Safran

SA

.........................................

France

2,378

828,298

11,571,502

#### Air

#### Freight

#### &

#### Logistics

#### 0.3%
Deutsche

Post

AG

...................................

Germany

6,019

328,190

DSV

A/S

..........................................

Denmark

4,300

1,082,983

a

InPost

SA

.........................................

Poland

18,820

231,274

1,642,447

#### Automobile

#### Components

#### 0.0%

#### †
Aisin

Corp.

........................................

Japan

6,500

121,786

BorgWarner,

Inc.

....................................

United

States

15,366

Continental

AG

.....................................

Germany

1,464

116,187

253,339

#### Automobiles

#### 1.1%
Ford

Motor

Co.

.....................................

United

States

49,656

651,487

General

Motors

Co.

..................................

United

States

13,327

1,083,751

Mercedes-Benz

Group

AG

............................

Germany

6,777

469,796

Subaru

Corp.

......................................

Japan

14,400

310,050

Suzuki

Motor

Corp.

..................................

Japan

34,400

514,468

a

Tesla,

Inc.

.........................................

United

States

4,652

2,092,097

Toyota

Motor

Corp.

..................................

Japan

47,489

1,019,926

6,141,575

#### Banks

#### 3.6%
AIB

Group

plc

......................................

Ireland

45,395

485,288

Banco

BPM

SpA

....................................

Italy

14,107

214,214

Banco

Santander

SA

.................................

Spain

18,172

213,893

Bank

of

America

Corp.

...............................

United

States

33,830

1,860,650

Barclays

plc

.......................................

United

Kingdom

65,413

418,717

BNP

Paribas

SA

....................................

France

5,582

528,097

Citigroup,

Inc.

......................................

United

States

3,494

407,715

Commerzbank

AG

...................................

Germany

1,806

76,222

Erste

Group

Bank

AG

................................

Austria

885

106,120

FinecoBank

Banca

Fineco

SpA

.........................

Italy

27,500

712,513

HDFC

Bank

Ltd.

....................................

India

72,385

799,630

HSBC

Holdings

plc

..................................

United

Kingdom

76,116

1,197,757

ING

Groep

NV

.....................................

Netherlands

51,863

1,457,777

Intesa

Sanpaolo

SpA

.................................

Italy

51,801

357,950

JPMorgan

Chase

&

Co.

...............................

United

States

13,198

4,252,660

Franklin

Templeton

Variable

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of

Investments

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franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Banks
(continued)

Mitsubishi

UFJ

Financial

Group,

Inc.

.....................

Japan

4,700

$

74,594

NatWest

Group

plc

..................................

United

Kingdom

80,609

707,125

PNC

Financial

Services

Group,

Inc.

(The)

.................

United

States

4,210

878,753

Societe

Generale

SA

.................................

France

8,452

680,420

Standard

Chartered

plc

...............................

United

Kingdom

61,226

1,493,941

Sumitomo

Mitsui

Financial

Group,

Inc.

,

ADR

...............

Japan

43,480

840,468

UniCredit

SpA

......................................

Italy

9,801

811,784

Wells

Fargo

&

Co.

...................................

United

States

12,194

1,136,481

19,712,769

#### Beverages

#### 0.5%
Anheuser-Busch

InBev

SA/NV

.........................

Belgium

1,162

74,578

Coca-Cola

HBC

AG

.................................

Italy

2,228

115,262

Heineken

Holding

NV

................................

Netherlands

1,037

75,936

Heineken

NV

......................................

Netherlands

7,310

603,126

Kirin

Holdings

Co.

Ltd.

...............................

Japan

11,400

170,647

a

Monster

Beverage

Corp.

..............................

United

States

14,441

1,107,192

PepsiCo,

Inc.

......................................

United

States

6,095

874,754

3,021,495

#### Biotechnology

#### 1.1%
AbbVie,

Inc.

.......................................

United

States

5,281

1,206,656

Amgen,

Inc.

.......................................

United

States

2,902

949,853

a

Argenx

SE

,

ADR

....................................

Netherlands

1,040

874,588

a

Biogen,

Inc.

.......................................

United

States

1,283

225,795

a

BioNTech

SE

,

ADR

..................................

Germany

3,000

285,600

a

Exelixis,

Inc.

.......................................

United

States

2,561

112,249

a

Genmab

A/S

.......................................

Denmark

1,373

425,608

Gilead

Sciences,

Inc.

................................

United

States

7,687

943,502

a

Halozyme

Therapeutics,

Inc.

...........................

United

States

1,450

97,585

a

Incyte

Corp.

.......................................

United

States

27,162

Regeneron

Pharmaceuticals,

Inc.

.......................

United

States

106,518

a

Vertex

Pharmaceuticals,

Inc.

...........................

United

States

1,430

648,305

5,903,421

#### Broadline

#### Retail

#### 2.1%
b

Alibaba

Group

Holding

Ltd.

............................

China

48,608

892,489

a

Amazon.com,

Inc.

...................................

United

States

37,310

8,611,894

a

Etsy,

Inc.

..........................................

United

States

9,037

Macy's,

Inc.

........................................

United

States

3,155

69,568

a

MercadoLibre,

Inc.

..................................

Brazil

854,046

Next

plc

..........................................

United

Kingdom

2,822

519,531

Prosus

NV

........................................

China

6,811

421,730

Ryohin

Keikaku

Co.

Ltd.

..............................

Japan

5,000

88,287

Wesfarmers

Ltd.

....................................

Australia

1,649

88,837

11,555,419

#### Building

#### Products

#### 0.3%
Allegion

plc

........................................

United

States

4,140

Belimo

Holding

AG

..................................

Switzerland

52,761

Cie

de

Saint-Gobain

SA

..............................

France

3,574

363,447

Geberit

AG

........................................

Switzerland

132,803

Johnson

Controls

International

plc

.......................

United

States

4,485

537,079

Trane

Technologies

plc

...............................

United

States

1,566

609,487

1,699,717

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Capital

#### Markets

#### 2.0%
3i

Group

plc

.......................................

United

Kingdom

10,087

$

442,303

Bank

of

New

York

Mellon

Corp.

(The)

....................

United

States

2,343

271,999

BlackRock,

Inc.

.....................................

United

States

307,187

Blackstone,

Inc.

....................................

United

States

2,333

359,609

Charles

Schwab

Corp.

(The)

...........................

United

States

23,601

2,357,976

Deutsche

Bank

AG

..................................

Germany

17,442

672,200

c

Euronext

NV

,

144A

,

Reg

S

............................

Netherlands

2,666

400,481

Goldman

Sachs

Group,

Inc.

(The)

.......................

United

States

99,327

ICG

plc

...........................................

United

Kingdom

32,300

890,711

Intercontinental

Exchange,

Inc.

.........................

United

States

3,154

510,822

Macquarie

Group

Ltd.

................................

Australia

3,700

499,982

Morgan

Stanley

.....................................

United

States

1,845

327,543

a

Robinhood

Markets,

Inc.

,

A

............................

United

States

9,387

S&P

Global,

Inc.

....................................

United

States

1,696

886,313

SEI

Investments

Co.

.................................

United

States

1,196

98,096

Singapore

Exchange

Ltd.

.............................

Singapore

20,900

275,126

State

Street

Corp.

...................................

United

States

3,567

460,179

Swissquote

Group

Holding

SA

..........................

Switzerland

1,063

645,385

T

Rowe

Price

Group,

Inc.

.............................

United

States

2,769

283,490

Tradeweb

Markets,

Inc.

,

A

.............................

United

States

2,111

227,017

UBS

Group

AG

.....................................

Switzerland

22,191

1,024,661

XP,

Inc.

,

A

.........................................

Brazil

11,049,892

#### Chemicals

#### 1.4%
Air

Products

and

Chemicals,

Inc.

........................

United

States

7,119

1,758,535

Akzo

Nobel

NV

.....................................

Netherlands

5,426

377,544

Asahi

Kasei

Corp.

...................................

Japan

12,300

109,332

CF

Industries

Holdings,

Inc.

...........................

United

States

5,382

416,244

Corteva,

Inc.

.......................................

United

States

2,570

172,267

Ecolab,

Inc.

........................................

United

States

1,316

345,476

Givaudan

SA

.......................................

Switzerland

114,731

Linde

plc

..........................................

United

States

4,697

2,002,754

Mitsubishi

Chemical

Group

Corp.

.......................

Japan

16,200

94,829

Nitto

Denko

Corp.

...................................

Japan

16,300

388,098

Sherwin-Williams

Co.

(The)

............................

United

States

4,937

1,599,736

Sika

AG

..........................................

Switzerland

3,200

649,682

a

Solstice

Advanced

Materials,

Inc.

.......................

United

States

4,178

8,033,406

#### Commercial

#### Services

#### &

#### Supplies

#### 0.4%
Brambles

Ltd.

......................................

Australia

9,597

146,549

Cintas

Corp.

.......................................

United

States

832

156,474

Republic

Services,

Inc.

,

A

.............................

United

States

1,564

331,459

Securitas

AB

,

B

.....................................

Sweden

33,685

535,697

Veralto

Corp.

.......................................

United

States

6,310

629,612

a

Verisure

plc

........................................

United

Kingdom

23,901

393,238

2,193,029

#### Communications

#### Equipment

#### 0.4%
a

Arista

Networks,

Inc.

.................................

United

States

821

107,576

Cisco

Systems,

Inc.

.................................

United

States

5,317

409,568

Motorola

Solutions,

Inc.

...............................

United

States

3,315

1,270,706

Telefonaktiebolaget

LM

Ericsson

,

B

......................

Sweden

17,599

171,274

Ubiquiti,

Inc.

.......................................

United

States

28,774

1,987,898

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Construction

#### &

#### Engineering

#### 0.1%
ACS

Actividades

de

Construccion

y

Servicios

SA

............

Spain

3,375

$

335,021

Eiffage

SA

.........................................

France

1,515

217,068

552,089

#### Construction

#### Materials

#### 0.5%
Holcim

AG

........................................

United

States

6,364

619,537

Martin

Marietta

Materials,

Inc.

..........................

United

States

3,169

1,973,210

2,592,747

#### Consumer

#### Finance

#### 0.5%
American

Express

Co.

...............................

United

States

3,750

1,387,312

Capital

One

Financial

Corp.

...........................

United

States

4,760

1,153,634

Synchrony

Financial

.................................

United

States

1,554

129,650

2,670,596

#### Consumer

#### Staples

#### Distribution

#### &

#### Retail

#### 0.6%
Albertsons

Cos.,

Inc.

,

A

...............................

United

States

1,593

27,352

Carrefour

SA

.......................................

France

70,534

1,176,901

Costco

Wholesale

Corp.

..............................

United

States

538

463,939

Dollar

General

Corp.

.................................

United

States

2,697

358,081

a

Dollar

Tree,

Inc.

....................................

United

States

2,446

300,882

Koninklijke

Ahold

Delhaize

NV

..........................

Netherlands

12,893

528,702

Kroger

Co.

(The)

....................................

United

States

7,668

479,097

Tesco

plc

.........................................

United

Kingdom

14,696

87,394

3,422,348

#### Containers

#### &

#### Packaging

#### 0.2%
Crown

Holdings,

Inc.

.................................

United

States

1,308

134,685

Smurfit

WestRock

plc

,

(GBP

Traded)

.....................

United

States

16,843

646,126

Smurfit

WestRock

plc

,

(USD

Traded)

.....................

United

States

4,556

176,180

956,991

#### Diversified

#### Consumer

#### Services

#### 0.0%

#### †
ADT,

Inc.

..........................................

United

States

620

5,003

#### Diversified

#### Telecommunication

#### Services

#### 0.3%
AT&T,

Inc.

.........................................

United

States

26,917

668,618

Deutsche

Telekom

AG

................................

Germany

21,143

688,227

Singapore

Telecommunications

Ltd.

.....................

Singapore

22,000

77,836

Telia

Co.

AB

.......................................

Sweden

40,435

172,818

1,607,499

#### Electric

#### Utilities

#### 0.7%
Acciona

SA

........................................

Spain

603

131,237

American

Electric

Power

Co.,

Inc.

.......................

United

States

1,386

159,820

Duke

Energy

Corp.

..................................

United

States

635

74,428

Endesa

SA

........................................

Spain

2,675

96,290

Enel

SpA

.........................................

Italy

11,526

119,840

Iberdrola

SA

.......................................

Spain

39,659

858,752

NextEra

Energy,

Inc.

.................................

United

States

6,079

488,022

NRG

Energy,

Inc.

...................................

United

States

3,390

539,824

Southern

Co.

(The)

..................................

United

States

1,276

111,267

SSE

plc

..........................................

United

Kingdom

36,073

1,057,585

3,637,065

#### Electrical

#### Equipment

#### 0.5%
ABB

Ltd.

..........................................

Switzerland

5,408

398,665

AMETEK,

Inc.

......................................

United

States

1,778

365,041

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Electrical

#### Equipment
(continued)

Eaton

Corp.

plc

.....................................

United

States

3,084

$

982,285

Fujikura

Ltd.

.......................................

Japan

3,400

377,044

Mitsubishi

Electric

Corp.

..............................

Japan

11,100

323,641

Vestas

Wind

Systems

A/S

.............................

Denmark

3,958

107,053

2,553,729

#### Electronic

#### Equipment,

#### Instruments

#### &

#### Components

#### 0.5%
Amphenol

Corp.

,

A

..................................

United

States

12,098

1,634,924

Halma

plc

.........................................

United

Kingdom

1,539

73,048

Inficon

Holding

AG

..................................

Switzerland

2,900

358,825

Murata

Manufacturing

Co.

Ltd.

.........................

Japan

7,500

155,010

TE

Connectivity

plc

..................................

Switzerland

1,642

373,571

Yokogawa

Electric

Corp.

..............................

Japan

5,600

179,595

2,774,973

#### Entertainment

#### 0.8%
CTS

Eventim

AG

&

Co.

KGaA

..........................

Germany

9,600

878,807

Electronic

Arts,

Inc.

..................................

United

States

1,113

227,419

a

Netflix,

Inc.

........................................

United

States

26,241

2,460,356

Nintendo

Co.

Ltd.

...................................

Japan

2,800

189,041

a

Spotify

Technology

SA

................................

United

States

177,697

Toho

Co.

Ltd.

......................................

Japan

2,500

127,362

Walt

Disney

Co.

(The)

................................

United

States

4,812

547,461

4,608,143

#### Financial

#### Services

#### 1.9%
a

Berkshire

Hathaway,

Inc.

,

B

............................

United

States

4,650

2,337,322

Industrivarden

AB

,

A

.................................

Sweden

2,962

132,693

Investor

AB

,

B

......................................

Sweden

2,792

99,495

Mastercard,

Inc.

,

A

..................................

United

States

4,354

2,485,611

MGIC

Investment

Corp.

...............................

United

States

9,850

287,817

ORIX

Corp.

........................................

Japan

20,100

587,870

PayPal

Holdings,

Inc.

................................

United

States

13,911

812,124

Visa,

Inc.

,

A

........................................

United

States

10,963

3,844,834

Western

Union

Co.

(The)

..............................

United

States

3,867

36,002

10,623,768

#### Food

#### Products

#### 0.4%
Archer-Daniels-Midland

Co.

...........................

United

States

6,024

346,320

Barry

Callebaut

AG

..................................

Switzerland

647,425

Chocoladefabriken

Lindt

&

Spruengli

AG

..................

Switzerland

73,059

Ingredion,

Inc.

......................................

United

States

15,547

a

Magnum

Ice

Cream

Co.

NV

(The)

.......................

Netherlands

2,565

40,712

Nestle

SA

.........................................

United

States

10,381

1,030,409

c

WH

Group

Ltd.

,

144A

,

Reg

S

..........................

Hong

Kong

202,500

225,588

2,379,060

#### Gas

#### Utilities

#### 0.1%
Tokyo

Gas

Co.

Ltd.

..................................

Japan

7,100

281,476

UGI

Corp.

.........................................

United

States

899

33,649

315,125

#### Ground

#### Transportation

#### 0.7%
Canadian

Pacific

Kansas

City

Ltd.

.......................

Canada

3,076

226,486

Central

Japan

Railway

Co.

............................

Japan

5,500

152,350

a

Lyft,

Inc.

,

A

........................................

United

States

4,391

85,054

Old

Dominion

Freight

Line,

Inc.

.........................

United

States

906

142,061

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Ground

#### Transportation
(continued)

Seibu

Holdings,

Inc.

.................................

Japan

1,700

$

46,710

a

Uber

Technologies,

Inc.

...............................

United

States

17,031

1,391,603

Union

Pacific

Corp.

..................................

United

States

2,302

532,499

a

XPO,

Inc.

.........................................

United

States

10,260

1,394,436

3,971,199

#### Health

#### Care

#### Equipment

#### &

#### Supplies

#### 1.4%
Abbott

Laboratories

..................................

United

States

5,388

675,062

Alcon

AG

.........................................

United

States

10,500

830,845

Becton

Dickinson

&

Co.

...............................

United

States

6,758

1,311,525

a

Boston

Scientific

Corp.

...............................

United

States

1,116

106,411

Cochlear

Ltd.

......................................

Australia

5,401

937,718

EssilorLuxottica

SA

..................................

France

101,499

Fisher

&

Paykel

Healthcare

Corp.

Ltd.

....................

New

Zealand

3,666

79,651

Hoya

Corp.

........................................

Japan

3,400

515,677

a

IDEXX

Laboratories,

Inc.

..............................

United

States

853

577,080

a

Intuitive

Surgical,

Inc.

................................

United

States

3,000

1,699,080

Medtronic

plc

......................................

United

States

1,534

147,356

Stryker

Corp.

......................................

United

States

2,609

916,985

7,898,889

#### Health

#### Care

#### Providers

#### &

#### Services

#### 1.0%
Cardinal

Health,

Inc.

.................................

United

States

2,993

615,062

Cencora,

Inc.

......................................

United

States

78,020

CVS

Health

Corp.

...................................

United

States

17,700

1,404,672

Fresenius

Medical

Care

AG

............................

Germany

1,509

72,078

HCA

Healthcare,

Inc.

.................................

United

States

762

355,747

McKesson

Corp.

....................................

United

States

1,836

1,506,053

UnitedHealth

Group,

Inc.

..............................

United

States

4,735

1,563,071

5,594,703

#### Health

#### Care

#### Technology

#### 0.0%

#### †
Pro

Medicus

Ltd.

....................................

Australia

522

76,663

#### Hotels,

#### Restaurants

#### &

#### Leisure

#### 0.8%
a

Airbnb,

Inc.

,

A

......................................

United

States

4,699

637,748

Amadeus

IT

Group

SA

...............................

Spain

8,200

606,890

Aristocrat

Leisure

Ltd.

................................

Australia

4,066

157,413

Booking

Holdings,

Inc.

...............................

United

States

1,247,792

Boyd

Gaming

Corp.

.................................

United

States

676

57,622

a

Chipotle

Mexican

Grill,

Inc.

,

A

..........................

United

States

14,080

520,960

Compass

Group

plc

.................................

United

Kingdom

4,202

133,141

c

Evolution

AB

,

144A

,

Reg

S

............................

Sweden

748

50,790

Expedia

Group,

Inc.

.................................

United

States

1,367

387,285

InterContinental

Hotels

Group

plc

.......................

United

Kingdom

1,915

269,113

Starbucks

Corp.

....................................

United

States

4,860

409,261

4,478,015

#### Household

#### Durables

#### 0.5%
Barratt

Redrow

plc

..................................

United

Kingdom

107,164

550,522

DR

Horton,

Inc.

.....................................

United

States

57,180

Persimmon

plc

.....................................

United

Kingdom

33,227

607,349

Sony

Group

Corp.

...................................

Japan

56,000

1,436,455

2,651,506

#### Household

#### Products

#### 0.2%
Colgate-Palmolive

Co.

...............................

United

States

2,972

234,848

Procter

&

Gamble

Co.

(The)

...........................

United

States

7,206

1,032,692

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Household

#### Products
(continued)

Reckitt

Benckiser

Group

plc

...........................

United

Kingdom

654

$

52,921

1,320,461

#### Independent

#### Power

#### and

#### Renewable

#### Electricity

#### Producers

#### 0.1%
RWE

AG

..........................................

Germany

4,987

264,245

Vistra

Corp.

........................................

United

States

1,103

177,947

442,192

#### Industrial

#### Conglomerates

#### 0.2%
Hitachi

Ltd.

........................................

Japan

15,000

470,424

Honeywell

International,

Inc.

...........................

United

States

63,404

Jardine

Matheson

Holdings

Ltd.

........................

Indonesia

1,100

75,070

Siemens

AG

.......................................

Germany

1,219

341,413

950,311

#### Industrial

#### REITs

#### 0.0%

#### †
Prologis,

Inc.

.......................................

United

States

1,760

224,682

#### Insurance

#### 1.5%
Aegon

Ltd.

........................................

United

States

9,401

73,105

AIA

Group

Ltd.

.....................................

Hong

Kong

71,787

738,910

Allianz

SE

.........................................

Germany

87,852

Allstate

Corp.

(The)

..................................

United

States

72,020

American

International

Group,

Inc.

......................

United

States

7,983

682,946

Assured

Guaranty

Ltd.

...............................

United

States

15,817

AXA

SA

...........................................

France

12,641

606,528

Axis

Capital

Holdings

Ltd.

.............................

United

States

859

91,990

Hartford

Insurance

Group,

Inc.

(The)

.....................

United

States

27,422

Japan

Post

Insurance

Co.

Ltd.

.........................

Japan

4,400

132,324

Marsh

&

McLennan

Cos.,

Inc.

..........................

United

States

8,073

1,497,703

Muenchener

Rueckversicherungs-Gesellschaft

AG

in

Muenchen

Germany

300,746

Old

Republic

International

Corp.

........................

United

States

Phoenix

Financial

Ltd.

................................

Israel

2,075

85,820

Progressive

Corp.

(The)

..............................

United

States

2,608

593,894

Prudential

plc

......................................

Hong

Kong

57,613

886,265

RenaissanceRe

Holdings

Ltd.

..........................

United

States

132,145

Sompo

Holdings,

Inc.

................................

Japan

13,100

444,643

Suncorp

Group

Ltd.

..................................

Australia

26,370

309,560

Travelers

Cos.,

Inc.

(The)

.............................

United

States

5,587

1,620,565

Unum

Group

.......................................

United

States

8,400,547

#### Interactive

#### Media

#### &

#### Services

#### 2.9%
Alphabet,

Inc.

,

A

....................................

United

States

21,711

6,795,543

Alphabet,

Inc.

,

C

....................................

United

States

6,700

2,102,460

LY

Corp.

..........................................

Japan

41,500

110,429

Meta

Platforms,

Inc.

,

A

...............................

United

States

8,609

5,682,715

c

Scout24

SE

,

144A

,

Reg

S

.............................

Germany

7,200

723,167

b

Tencent

Holdings

Ltd.

................................

China

7,137

547,719

15,962,033

#### IT

#### Services

#### 0.2%
Accenture

plc

,

A

....................................

United

States

805

Cognizant

Technology

Solutions

Corp.

,

A

..................

United

States

NEC

Corp.

........................................

Japan

10,500

355,273

a

Shopify,

Inc.

,

A

.....................................

Canada

3,947

635,348

991,509

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Leisure

#### Products

#### 0.0%

#### †
Bandai

Namco

Holdings,

Inc.

..........................

Japan

3,500

$

93,156

#### Life

#### Sciences

#### Tools

#### &

#### Services

#### 1.1%
Agilent

Technologies,

Inc.

.............................

United

States

2,384

324,391

Danaher

Corp.

.....................................

United

States

2,712

620,831

Eurofins

Scientific

SE

................................

Luxembourg

1,726

126,219

a

ICON

plc

..........................................

United

States

2,792

508,758

Lonza

Group

AG

....................................

Switzerland

1,200

809,064

a

Medpace

Holdings,

Inc.

...............................

United

States

875

491,444

a

Mettler-Toledo

International,

Inc.

........................

United

States

476,813

Thermo

Fisher

Scientific,

Inc.

..........................

United

States

5,062

2,933,176

6,290,696

#### Machinery

#### 1.9%
Allison

Transmission

Holdings,

Inc.

......................

United

States

18,307

Atlas

Copco

AB

,

A

...................................

Sweden

16,496

293,671

Caterpillar,

Inc.

.....................................

United

States

269,249

CNH

Industrial

NV

...................................

United

States

84,188

776,213

Deere

&

Co.

.......................................

United

States

3,808

1,772,891

GEA

Group

AG

.....................................

Germany

2,966

200,449

Georg

Fischer

AG

...................................

Switzerland

5,150

345,012

Illinois

Tool

Works,

Inc.

...............................

United

States

2,514

619,198

Ingersoll

Rand,

Inc.

..................................

United

States

5,096

403,705

Interroll

Holding

AG

..................................

Switzerland

664,058

Komatsu

Ltd.

......................................

Japan

9,000

285,592

Kone

OYJ

,

B

.......................................

Finland

2,369

167,827

Oshkosh

Corp.

.....................................

United

States

Otis

Worldwide

Corp.

................................

United

States

7,419

648,050

Parker-Hannifin

Corp.

................................

United

States

2,689

2,363,524

Sandvik

AB

........................................

Sweden

1,595

51,520

Schindler

Holding

AG

................................

Switzerland

555

196,382

Toro

Co.

(The)

.....................................

United

States

c

VAT

Group

AG

,

144A

,

Reg

S

...........................

Switzerland

1,200

576,120

Wartsila

OYJ

Abp

...................................

Finland

10,734

380,033

Xylem,

Inc.

........................................

United

States

2,838

386,479

Yangzijiang

Shipbuilding

Holdings

Ltd.

....................

China

57,100

154,255

10,572,865

#### Marine

#### Transportation

#### 0.0%

#### †
AP

Moller

-

Maersk

A/S

,

B

.............................

United

States

59,658

SITC

International

Holdings

Co.

Ltd.

.....................

China

33,000

118,087

177,745

#### Media

#### 0.2%
Comcast

Corp.

,

A

...................................

United

States

43,040

1,286,466

Fox

Corp.

,

A

.......................................

United

States

35,073

Publicis

Groupe

SA

..................................

France

51,197

1,372,736

#### Metals

#### &

#### Mining

#### 0.4%
BHP

Group

Ltd.

....................................

Australia

26,567

801,769

a

Boliden

AB

........................................

Sweden

969

53,679

Fortescue

Ltd.

......................................

Australia

37,563

549,265

Newmont

Corp.

.....................................

United

States

7,595

758,361

2,163,074

#### Multi-Utilities

#### 0.6%
Centrica

plc

.......................................

United

Kingdom

118,545

270,290

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Multi-Utilities
(continued)

CMS

Energy

Corp.

..................................

United

States

1,037

$

72,517

Consolidated

Edison,

Inc.

.............................

United

States

715

71,014

Engie

SA

.........................................

France

4,982

130,874

Sempra,

Inc.

.......................................

United

States

13,304

1,174,610

WEC

Energy

Group,

Inc.

..............................

United

States

15,268

1,610,163

3,329,468

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 1.6%
APA

Corp.

.........................................

United

States

29,360

718,146

BP

plc

............................................

United

States

152,334

888,406

Cheniere

Energy,

Inc.

................................

United

States

1,677

325,992

Chevron

Corp.

.....................................

United

States

8,371

1,275,824

ConocoPhillips

.....................................

United

States

13,063

1,222,827

EOG

Resources,

Inc.

................................

United

States

1,465

153,840

Equinor

ASA

.......................................

Norway

16,469

388,369

Exxon

Mobil

Corp.

...................................

United

States

8,550

1,028,907

Galp

Energia

SGPS

SA

,

B

............................

Portugal

29,030

499,906

Idemitsu

Kosan

Co.

Ltd.

..............................

Japan

8,600

65,113

Inpex

Corp.

........................................

Japan

13,300

266,007

Secure

Waste

Infrastructure

Corp.

.......................

Canada

44,997

566,171

Shell

plc

..........................................

United

States

31,922

1,176,398

TotalEnergies

SE

...................................

France

1,872

122,051

Valero

Energy

Corp.

.................................

United

States

69,186

8,767,143

#### Passenger

#### Airlines

#### 0.0%

#### †
Qantas

Airways

Ltd.

.................................

Australia

17,699

122,277

a

United

Airlines

Holdings,

Inc.

...........................

United

States

690

77,156

199,433

#### Personal

#### Care

#### Products

#### 0.3%
L'Oreal

SA

........................................

France

1,217

522,478

Unilever

plc

........................................

United

Kingdom

16,534

1,080,285

1,602,763

#### Pharmaceuticals

#### 2.9%
AstraZeneca

plc

....................................

United

Kingdom

12,813

2,371,166

AstraZeneca

plc

,

ADR

................................

United

Kingdom

13,394

1,231,310

Bristol-Myers

Squibb

Co.

..............................

United

States

17,286

932,407

Chugai

Pharmaceutical

Co.

Ltd.

........................

Japan

5,500

288,539

Eli

Lilly

&

Co.

......................................

United

States

1,452

1,560,435

GSK

plc

..........................................

United

States

30,834

755,964

Haleon

plc

,

ADR

....................................

United

States

97,380

984,512

Ipsen

SA

..........................................

France

920

128,367

Johnson

&

Johnson

.................................

United

States

11,431

2,365,645

Novartis

AG

.......................................

United

States

8,470

1,167,132

Novo

Nordisk

A/S

,

B

.................................

Denmark

15,705

796,534

Pfizer,

Inc.

.........................................

United

States

2,814

70,068

Roche

Holding

AG

..................................

United

States

541

228,457

Roche

Holding

AG

..................................

United

States

2,549

1,052,661

Roche

Holding

AG

,

ADR

..............................

United

States

13,870

715,276

Royalty

Pharma

plc

,

A

................................

United

States

Sanofi

SA

.........................................

United

States

9,238

893,825

Shionogi

&

Co.

Ltd.

..................................

Japan

15,700

284,167

15,826,581

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Professional

#### Services

#### 0.5%
Adecco

Group

AG

...................................

Switzerland

18,829

$

542,275

Automatic

Data

Processing,

Inc.

........................

United

States

42,443

Experian

plc

.......................................

United

States

16,900

761,963

Genpact

Ltd.

.......................................

United

States

ManpowerGroup,

Inc.

................................

United

States

9,889

294,000

Recruit

Holdings

Co.

Ltd.

.............................

Japan

8,300

466,390

RELX

plc

.........................................

United

Kingdom

4,668

188,059

Robert

Half,

Inc.

....................................

United

States

1,185

32,185

Verisk

Analytics,

Inc.

,

A

...............................

United

States

100,884

Wolters

Kluwer

NV

..................................

Netherlands

1,048

108,548

2,536,841

#### Real

#### Estate

#### Management

#### &

#### Development

#### 0.1%
a

CBRE

Group,

Inc.

,

A

.................................

United

States

38,590

CK

Asset

Holdings

Ltd.

...............................

Hong

Kong

44,500

225,031

a

Jones

Lang

LaSalle,

Inc.

..............................

United

States

53,499

Mitsubishi

Estate

Co.

Ltd.

.............................

Japan

2,000

48,590

Sun

Hung

Kai

Properties

Ltd.

..........................

Hong

Kong

11,500

140,027

505,737

#### Residential

#### REITs

#### 0.0%

#### †
Mid-America

Apartment

Communities,

Inc.

................

United

States

4,862

Sun

Communities,

Inc.

...............................

United

States

1,476

182,891

187,753

#### Retail

#### REITs

#### 0.1%
Klepierre

SA

.......................................

France

4,724

186,906

Simon

Property

Group,

Inc.

............................

United

States

826

152,901

339,807

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 6.7%
a

Advanced

Micro

Devices,

Inc.

..........................

United

States

19,274

Advantest

Corp.

....................................

Japan

5,000

632,240

a

ARM

Holdings

plc

,

ADR

..............................

United

States

832

90,946

ASM

International

NV

................................

Netherlands

736

445,571

ASML

Holding

NV

...................................

Netherlands

1,454

1,566,714

ASML

Holding

NV

,

ADR

..............................

Netherlands

1,449

1,550,227

Broadcom,

Inc.

.....................................

United

States

15,463

5,351,744

Disco

Corp.

........................................

Japan

1,700

517,926

a

Intel

Corp.

.........................................

United

States

31,715

1,170,283

KLA

Corp.

.........................................

United

States

588

714,467

Lam

Research

Corp.

.................................

United

States

1,153

197,371

Marvell

Technology,

Inc.

..............................

United

States

2,484

211,090

Microchip

Technology,

Inc.

............................

United

States

21,300

1,357,236

Micron

Technology,

Inc.

...............................

United

States

3,512

1,002,360

Monolithic

Power

Systems,

Inc.

.........................

United

States

784

710,586

a

Nova

Ltd.

.........................................

Israel

2,020

663,348

NVIDIA

Corp.

......................................

United

States

79,953

14,911,234

QUALCOMM,

Inc.

...................................

United

States

5,678

971,222

Skyworks

Solutions,

Inc.

..............................

United

States

STMicroelectronics

NV

...............................

Singapore

24,731

646,348

Taiwan

Semiconductor

Manufacturing

Co.

Ltd.

.............

Taiwan

25,819

1,269,192

Taiwan

Semiconductor

Manufacturing

Co.

Ltd.

,

ADR

.........

Taiwan

6,846

2,080,431

Texas

Instruments,

Inc.

...............................

United

States

1,863

323,212

Tokyo

Electron

Ltd.

..................................

Japan

1,900

423,182

36,826,331

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Software

#### 4.8%
a

Adobe,

Inc.

........................................

United

States

4,634

$

1,621,854

a

AppLovin

Corp.

,

A

...................................

United

States

717

483,129

a

Autodesk,

Inc.

......................................

United

States

2,014

596,164

a

Cadence

Design

Systems,

Inc.

.........................

United

States

30,320

a

Check

Point

Software

Technologies

Ltd.

..................

Israel

1,790

332,152

a

Crowdstrike

Holdings,

Inc.

,

A

...........................

United

States

147,191

a

CyberArk

Software

Ltd.

...............................

United

States

1,450

646,787

a

Datadog,

Inc.

,

A

....................................

United

States

1,340

182,227

a

DocuSign,

Inc.

,

A

...................................

United

States

2,243

153,421

a

Dropbox,

Inc.

,

A

....................................

United

States

1,629

45,286

a

Fair

Isaac

Corp.

....................................

United

States

338,124

Intuit,

Inc.

.........................................

United

States

3,194

2,115,770

a

Kinaxis,

Inc.

.......................................

Canada

5,700

718,776

Microsoft

Corp.

.....................................

United

States

24,220

11,713,276

Oracle

Corp.

.......................................

United

States

4,649

906,137

a

Palantir

Technologies,

Inc.

,

A

...........................

United

States

1,639

291,332

a

Palo

Alto

Networks,

Inc.

..............................

United

States

5,606

1,032,625

Pegasystems,

Inc.

...................................

United

States

1,014

60,556

a

PTC,

Inc.

.........................................

United

States

2,072

360,963

a

RingCentral,

Inc.

,

A

..................................

United

States

959

27,696

Sage

Group

plc

(The)

................................

United

Kingdom

16,247

236,304

Salesforce,

Inc.

.....................................

United

States

2,213

586,246

SAP

SE

..........................................

Germany

6,041

1,467,773

a

ServiceNow,

Inc.

....................................

United

States

4,792

734,087

a

Synopsys,

Inc.

.....................................

United

States

2,575

1,209,529

a

Teradata

Corp.

.....................................

United

States

1,141

34,732

a

Tyler

Technologies,

Inc.

...............................

United

States

146,626

a

Zoom

Communications,

Inc.

,

A

.........................

United

States

3,005

259,301

26,478,384

#### Specialized

#### REITs

#### 0.2%
American

Tower

Corp.

................................

United

States

3,926

689,288

Equinix,

Inc.

.......................................

United

States

225,251

Rayonier,

Inc.

......................................

United

States

1,941

42,023

VICI

Properties,

Inc.

,

A

...............................

United

States

13,310

374,277

1,330,839

#### Specialty

#### Retail

#### 1.0%
a

AutoZone,

Inc.

.....................................

United

States

78,005

Bath

&

Body

Works,

Inc.

..............................

United

States

Best

Buy

Co.,

Inc.

...................................

United

States

2,432

162,774

a

Carvana

Co.

,

A

.....................................

United

States

89,046

Fast

Retailing

Co.

Ltd.

................................

Japan

1,775

643,594

H

&

M

Hennes

&

Mauritz

AB

,

B

.........................

Sweden

3,531

70,775

Home

Depot,

Inc.

(The)

...............................

United

States

3,033

1,043,655

Industria

de

Diseno

Textil

SA

...........................

Spain

6,712

442,755

JD

Sports

Fashion

plc

................................

United

Kingdom

585,501

663,658

Lowe's

Cos.,

Inc.

....................................

United

States

1,887

455,069

a

O'Reilly

Automotive,

Inc.

..............................

United

States

11,411

1,040,797

TJX

Cos.,

Inc.

(The)

.................................

United

States

547

84,025

a

Ulta

Beauty,

Inc.

....................................

United

States

561

339,411

Williams-Sonoma,

Inc.

...............................

United

States

956

170,732

5,284,376

#### Technology

#### Hardware,

#### Storage

#### &

#### Peripherals

#### 1.9%
Apple,

Inc.

........................................

United

States

31,249

8,495,353

Canon,

Inc.

........................................

Japan

2,700

79,889

Logitech

International

SA

.............................

Switzerland

853

86,595

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Technology

#### Hardware,

#### Storage

#### &

#### Peripherals
(continued)

Samsung

Electronics

Co.

Ltd.

..........................

South

Korea

11,445

$

959,262

Western

Digital

Corp.

................................

United

States

3,747

645,496

10,266,595

#### Textiles,

#### Apparel

#### &

#### Luxury

#### Goods

#### 0.3%
adidas

AG

.........................................

Germany

583

115,368

Asics

Corp.

........................................

Japan

16,600

398,507

Kering

SA

.........................................

France

776

271,164

LVMH

Moet

Hennessy

Louis

Vuitton

SE

..................

France

616

464,301

Pandora

A/S

.......................................

Denmark

1,871

206,907

Tapestry,

Inc.

......................................

United

States

1,977

252,601

1,708,848

#### Tobacco

#### 0.2%
Altria

Group,

Inc.

....................................

United

States

12,888

743,122

Imperial

Brands

plc

..................................

United

Kingdom

7,835

328,993

1,072,115

#### Trading

#### Companies

#### &

#### Distributors

#### 0.5%
AerCap

Holdings

NV

.................................

Ireland

3,365

483,752

Fastenal

Co.

.......................................

United

States

16,355

656,326

RS

Group

plc

......................................

United

Kingdom

67,000

561,738

Toyota

Tsusho

Corp.

.................................

Japan

14,100

475,441

WW

Grainger,

Inc.

...................................

United

States

625

630,656

2,807,913

#### Transportation

#### Infrastructure

#### 0.1%
c

Aena

SME

SA

,

144A

,

Reg

S

...........................

Spain

12,013

335,654

#### Wireless

#### Telecommunication

#### Services

#### 0.1%
Millicom

International

Cellular

SA

.......................

Guatemala

26,334

Vodafone

Group

plc

.................................

United

Kingdom

240,293

320,313

346,647

#### Total

#### Common

#### Stocks

#### (Cost

#### $

#### 192,178,770

####)
...................................

#### 316,851,255

#### Preferred

#### Stocks

#### 0.1%

#### Household

#### Products

#### 0.0%

#### †
d

Henkel

AG

&

Co.

KGaA

,

.94

%

.........................

Germany

1,748

142,610

#### Life

#### Sciences

#### Tools

#### &

#### Services

#### 0.1%
d

Sartorius

AG

,

.3

%

..................................

Germany

1,173

337,783

#### Total

#### Preferred

#### Stocks

#### (Cost

#### $

#### 518,678

####)
.......................................

#### 480,393

#### Units

#### Limited

#### Partnerships

#### 0.2%

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 0.2%
Enterprise

Products

Partners

LP

........................

United

States

39,074

1,252,712

1,252,712

#### Total

#### Limited

#### Partnerships

#### (Cost

#### $

#### 991,322

####)
...................................

#### 1,252,712
Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds

#### 12.8%

#### Aerospace

#### &

#### Defense

#### 0.4%
c

BAE

Systems

plc

,

Senior

Bond

,

144A,

5.5 %

,

3/26/54

.........

United

Kingdom

200,000

$

201,425

Boeing

Co.

(The)

,

Senior

Bond

,

3.6 %

,

5/01/34

..........................

United

States

200,000

182,079

Senior

Bond

,

3.5 %

,

3/01/39

..........................

United

States

200,000

163,832

Senior

Bond

,

6.875 %

,

3/15/39

........................

United

States

100,000

112,846

Senior

Bond

,

5.705 %

,

5/01/40

........................

United

States

350,000

357,596

Senior

Note

,

6.528 %

,

5/01/34

........................

United

States

195,000

215,808

Howmet

Aerospace,

Inc.

,

Senior

Bond

,

5.95 %

,

2/01/37

.........................

United

States

260,000

281,401

Senior

Note

,

4.85 %

,

10/15/31

........................

United

States

50,000

51,412

Lockheed

Martin

Corp.

,

Senior

Bond

,

4.07 %

,

12/15/42

.......

United

States

130,000

111,128

Northrop

Grumman

Corp.

,

Senior

Bond

,

4.95 %

,

3/15/53

......

United

States

220,000

198,411

Spirit

AeroSystems,

Inc.

,

Senior

Bond

,

4.6 %

,

6/15/28

........

United

States

235,000

235,442

2,111,380

#### Automobiles

#### 0.1%
c

Hyundai

Capital

America

,

Senior

Note

,

144A,

5.35 %

,

3/19/29

....................

United

States

510,000

525,382

Senior

Note

,

144A,

4.5 %

,

9/18/30

.....................

United

States

55,000

55,026

Senior

Note

,

144A,

5.4 %

,

1/08/31

.....................

United

States

200,000

206,665

787,073

#### Banks

#### 2.9%
Bank

of

America

Corp.

,

Senior

Bond

,

3.974%

to

2/06/29,

FRN

thereafter

,

2/07/30

...

United

States

200,000

198,978

Senior

Bond

,

1.922%

to

10/23/30,

FRN

thereafter

,

10/24/31

.

United

States

200,000

178,932

Senior

Bond

,

2.687%

to

4/21/31,

FRN

thereafter

,

4/22/32

...

United

States

200,000

183,582

Senior

Bond

,

5.468%

to

1/22/34,

FRN

thereafter

,

1/23/35

...

United

States

225,000

234,463

Senior

Note

,

6.204%

to

11/09/27,

FRN

thereafter

,

11/10/28

..

United

States

1,280,000

1,330,425

Senior

Note

,

5.162%

to

1/23/30,

FRN

thereafter

,

1/24/31

....

United

States

825,000

851,868

Sub.

Bond

,

5.744%

to

2/11/35,

FRN

thereafter

,

2/12/36

.....

United

States

150,000

156,361

Sub.

Bond

,

3.846%

to

3/07/32,

FRN

thereafter

,

3/08/37

.....

United

States

58,000

54,636

Barclays

plc

,

Senior

Note

,

5.086%

to

2/24/28,

FRN

thereafter

,

2/25/29

.........................................

United

Kingdom

230,000

234,418

c

BPCE

SA

,

Senior

Non-Preferred

Note

,

144A,

2.045%

to

10/18/26,

FRN

thereafter

,

10/19/27

............................

France

250,000

245,976

c

CaixaBank

SA

,

Senior

Non-Preferred

Note

,

144A,

4.885%

to

7/02/30,

FRN

thereafter

,

7/03/31

......................

Spain

200,000

203,041

Citibank

NA

,

Senior

Note

,

4.914 %

,

5/29/30

................

United

States

500,000

514,517

Citigroup,

Inc.

,

e

Junior

Sub.

Bond

,

6.625%

to

2/14/31,

FRN

thereafter

,

Perpetual

.......................................

United

States

125,000

127,085

Senior

Bond

,

3.668%

to

7/23/27,

FRN

thereafter

,

7/24/28

...

United

States

465,000

462,177

Senior

Bond

,

2.572%

to

6/02/30,

FRN

thereafter

,

6/03/31

...

United

States

400,000

370,766

Senior

Bond

,

3.057%

to

1/24/32,

FRN

thereafter

,

1/25/33

...

United

States

285,000

261,149

Senior

Note

,

5.174%

to

2/12/29,

FRN

thereafter

,

2/13/30

....

United

States

360,000

369,503

Cooperatieve

Rabobank

UA

,

Senior

Bond

,

5.25 %

,

5/24/41

....

Netherlands

105,000

105,650

c

Danske

Bank

A/S

,

Senior

Non-Preferred

Note

,

144A,

5.705%

to

2/28/29,

FRN

thereafter

,

3/01/30

.................................

Denmark

200,000

207,867

Senior

Preferred

Note

,

144A,

5.427%

to

2/28/27,

FRN

thereafter

,

3/01/28

.................................

Denmark

400,000

406,290

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Banks
(continued)

Fifth

Third

Bancorp

,

Senior

Note

,

5.631%

to

1/28/31,

FRN

thereafter

,

1/29/32

.................................

United

States

200,000

$

209,975

Huntington

Bancshares,

Inc.

,

Senior

Bond

,

2.55 %

,

2/04/30

.........................

United

States

200,000

186,741

Senior

Note

,

5.272%

to

1/14/30,

FRN

thereafter

,

1/15/31

....

United

States

200,000

205,827

JPMorgan

Chase

&

Co.

,

Senior

Bond

,

3.54%

to

4/30/27,

FRN

thereafter

,

5/01/28

....

United

States

1,030,000

1,024,530

Senior

Bond

,

1.953%

to

2/03/31,

FRN

thereafter

,

2/04/32

...

United

States

150,000

133,818

Senior

Bond

,

5.35%

to

5/31/33,

FRN

thereafter

,

6/01/34

....

United

States

535,000

556,048

Senior

Bond

,

5.336%

to

1/22/34,

FRN

thereafter

,

1/23/35

...

United

States

100,000

103,677

Senior

Note

,

5.14%

to

1/23/30,

FRN

thereafter

,

1/24/31

.....

United

States

400,000

413,514

Sub.

Bond

,

2.956%

to

5/12/30,

FRN

thereafter

,

5/13/31

.....

United

States

200,000

188,734

Sub.

Bond

,

5.576%

to

7/22/35,

FRN

thereafter

,

7/23/36

.....

United

States

190,000

196,618

Mitsubishi

UFJ

Financial

Group,

Inc.

,

Senior

Note

,

5.159%

to

4/23/30,

FRN

thereafter

,

4/24/31

......................

Japan

200,000

206,182

Mizuho

Financial

Group,

Inc.

,

Senior

Note

,

5.778%

to

7/05/28,

FRN

thereafter

,

7/06/29

....

Japan

200,000

208,030

Senior

Note

,

5.098%

to

5/12/30,

FRN

thereafter

,

5/13/31

....

Japan

200,000

206,022

NatWest

Group

plc

,

Senior

Note

,

5.808%

to

9/12/28,

FRN

thereafter

,

9/13/29

....

United

Kingdom

300,000

312,592

Senior

Note

,

4.964%

to

8/14/29,

FRN

thereafter

,

8/15/30

....

United

Kingdom

200,000

204,194

PNC

Financial

Services

Group,

Inc.

(The)

,

e

T

,

Junior

Sub.

Bond

,

3.4%

to

9/14/26,

FRN

thereafter

,

Perpetual

.......................................

United

States

230,000

225,655

Senior

Bond

,

5.676%

to

1/21/34,

FRN

thereafter

,

1/22/35

...

United

States

50,000

52,736

Senior

Bond

,

5.373%

to

7/20/35,

FRN

thereafter

,

7/21/36

...

United

States

175,000

180,061

Senior

Note

,

6.615%

to

10/19/26,

FRN

thereafter

,

10/20/27

..

United

States

475,000

484,601

Senior

Note

,

5.222%

to

1/28/30,

FRN

thereafter

,

1/29/31

....

United

States

210,000

217,440

Royal

Bank

of

Canada

,

Senior

Note

,

4.97%

to

5/01/30,

FRN

thereafter

,

5/02/31

.................................

Canada

260,000

265,988

c

Societe

Generale

SA

,

Senior

Non-Preferred

Note

,

144A,

1.792%

to

6/08/26,

FRN

thereafter

,

6/09/27

.....................

France

200,000

197,893

Toronto-Dominion

Bank

(The)

,

Senior

Note

,

4.568 %

,

12/17/26

..

Canada

200,000

201,289

Truist

Financial

Corp.

,

Senior

Note

,

7.161%

to

10/29/28,

FRN

thereafter

,

10/30/29

..

United

States

365,000

393,824

Senior

Note

,

5.153%

to

8/04/31,

FRN

thereafter

,

8/05/32

....

United

States

200,000

206,734

c

UniCredit

SpA

,

Senior

Preferred

Note

,

144A,

1.982%

to

6/02/26,

FRN

thereafter

,

6/03/27

.............................

Italy

300,000

297,296

US

Bancorp

,

Senior

Note

,

5.1%

to

7/22/29,

FRN

thereafter

,

7/23/30

.........................................

United

States

500,000

515,015

Wells

Fargo

&

Co.

,

Senior

Bond

,

2.879%

to

10/29/29,

FRN

thereafter

,

10/30/30

.

United

States

350,000

333,068

Senior

Bond

,

3.35%

to

3/01/32,

FRN

thereafter

,

3/02/33

....

United

States

200,000

186,726

Senior

Bond

,

5.389%

to

4/23/33,

FRN

thereafter

,

4/24/34

...

United

States

430,000

447,521

Senior

Note

,

4.808%

to

7/24/27,

FRN

thereafter

,

7/25/28

....

United

States

550,000

556,218

Senior

Note

,

5.198%

to

1/22/29,

FRN

thereafter

,

1/23/30

....

United

States

100,000

103,005

15,919,256

#### Beverages

#### 0.1%
Anheuser-Busch

InBev

Worldwide,

Inc.

,

Senior

Bond

,

3.5 %

,

6/01/30

..........................

Belgium

350,000

341,929

Senior

Bond

,

5.8 %

,

1/23/59

..........................

Belgium

150,000

153,510

495,439

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Biotechnology

#### 0.4%
AbbVie,

Inc.

,

Senior

Bond

,

4.85 %

,

6/15/44

................

United

States

430,000

$

398,526

Amgen,

Inc.

,

Senior

Bond

,

2.45 %

,

2/21/30

.........................

United

States

200,000

186,611

Senior

Bond

,

5.25 %

,

3/02/33

.........................

United

States

100,000

103,546

Senior

Bond

,

5.6 %

,

3/02/43

..........................

United

States

350,000

352,245

c

CSL

Finance

plc

,

Senior

Bond

,

144A,

4.25 %

,

4/27/32

....................

Australia

300,000

295,009

Senior

Bond

,

144A,

5.106 %

,

4/03/34

...................

Australia

255,000

262,070

Regeneron

Pharmaceuticals,

Inc.

,

Senior

Bond

,

1.75 %

,

9/15/30

.........................

United

States

200,000

178,543

Senior

Bond

,

2.8 %

,

9/15/50

..........................

United

States

400,000

244,352

2,020,902

#### Broadline

#### Retail

#### 0.0%

#### †
Amazon.com,

Inc.

,

Senior

Bond

,

2.875 %

,

5/12/41

...........

United

States

230,000

174,621

#### Building

#### Products

#### 0.1%
Carlisle

Cos.,

Inc.

,

Senior

Bond

,

5.25 %

,

9/15/35

............

United

States

25,000

25,529

Owens

Corning

,

Senior

Bond

,

5.7 %

,

6/15/34

...............

United

States

300,000

315,638

341,167

#### Capital

#### Markets

#### 1.0%
BlackRock

Funding,

Inc.

,

Senior

Bond

,

5.25 %

,

3/14/54

.......

United

States

150,000

143,895

Goldman

Sachs

Group,

Inc.

(The)

,

Senior

Bond

,

2.615%

to

4/21/31,

FRN

thereafter

,

4/22/32

...

United

States

100,000

91,215

Senior

Bond

,

5.851%

to

4/24/34,

FRN

thereafter

,

4/25/35

...

United

States

450,000

478,591

Senior

Bond

,

5.536%

to

1/27/35,

FRN

thereafter

,

1/28/36

...

United

States

200,000

207,690

Senior

Note

,

5.727%

to

4/24/29,

FRN

thereafter

,

4/25/30

....

United

States

540,000

564,267

Senior

Note

,

5.218%

to

4/22/30,

FRN

thereafter

,

4/23/31

....

United

States

100,000

103,305

Jefferies

Financial

Group,

Inc.

,

Senior

Bond

,

2.625 %

,

10/15/31

.

United

States

200,000

177,551

Morgan

Stanley

,

Senior

Bond

,

3.591 %

,

7/22/28

........................

United

States

785,000

779,843

Senior

Bond

,

3.622%

to

3/31/30,

FRN

thereafter

,

4/01/31

...

United

States

500,000

485,978

Senior

Bond

,

1.794%

to

2/12/31,

FRN

thereafter

,

2/13/32

...

United

States

200,000

175,858

Senior

Bond

,

5.25%

to

4/20/33,

FRN

thereafter

,

4/21/34

....

United

States

735,000

756,956

Senior

Bond

,

5.466%

to

1/17/34,

FRN

thereafter

,

1/18/35

...

United

States

50,000

51,992

Senior

Note

,

4.654%

to

10/17/29,

FRN

thereafter

,

10/18/30

..

United

States

260,000

263,203

Sub.

Bond

,

5.948%

to

1/18/33,

FRN

thereafter

,

1/19/38

.....

United

States

22,000

23,158

c

MSCI,

Inc.

,

Senior

Bond

,

144A,

%

,

11/15/29

..............

United

States

200,000

195,643

c

UBS

Group

AG

,

Senior

Bond

,

144A,

2.095%

to

2/10/31,

FRN

thereafter

,

2/11/32

Switzerland

425,000

377,195

Senior

Note

,

144A,

6.327%

to

12/21/26,

FRN

thereafter

,

12/22/27

........................................

Switzerland

300,000

306,322

Senior

Note

,

144A,

6.246%

to

9/21/28,

FRN

thereafter

,

9/22/29

Switzerland

200,000

210,583

5,393,245

#### Communications

#### Equipment

#### 0.1%
Cisco

Systems,

Inc.

,

Senior

Bond

,

5.05 %

,

2/26/34

...........

United

States

330,000

339,696

Motorola

Solutions,

Inc.

,

Senior

Bond

,

4.6 %

,

5/23/29

..........................

United

States

130,000

131,597

Senior

Bond

,

5.4 %

,

4/15/34

..........................

United

States

150,000

154,949

Senior

Note

,

4.85 %

,

8/15/30

.........................

United

States

70,000

71,445

697,687

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Construction

#### Materials

#### 0.0%

#### †
Martin

Marietta

Materials,

Inc.

,

Senior

Bond

,

5.15 %

,

12/01/34

..

United

States

175,000

$

178,773

#### Consumer

#### Finance

#### 0.5%
AerCap

Ireland

Capital

DAC

/

AerCap

Global

Aviation

Trust

,

Senior

Bond

,

3.4 %

,

10/29/33

.........................

Ireland

150,000

135,493

Senior

Note

,

%

,

10/29/28

..........................

Ireland

450,000

436,392

American

Express

Co.

,

Senior

Bond

,

4.804%

to

10/23/35,

FRN

thereafter

,

10/24/36

.

United

States

125,000

123,478

Senior

Note

,

5.016%

to

4/24/30,

FRN

thereafter

,

4/25/31

....

United

States

225,000

231,927

c

Avolon

Holdings

Funding

Ltd.

,

Senior

Note

,

144A,

4.9 %

,

10/10/30

....................

Ireland

100,000

100,574

Senior

Note

,

144A,

4.95 %

,

10/15/32

...................

Ireland

200,000

198,225

Capital

One

Financial

Corp.

,

Senior

Bond

,

3.75 %

,

3/09/27

.........................

United

States

135,000

134,636

Senior

Note

,

5.463%

to

7/25/29,

FRN

thereafter

,

7/26/30

....

United

States

200,000

207,298

Sub.

Bond

,

6.183%

to

1/29/35,

FRN

thereafter

,

1/30/36

.....

United

States

200,000

208,849

General

Motors

Financial

Co.,

Inc.

,

Senior

Bond

,

5.45 %

,

9/06/34

.........................

United

States

360,000

365,335

Senior

Note

,

5.4 %

,

4/06/26

..........................

United

States

210,000

210,749

Senior

Note

,

4.2 %

,

10/27/28

.........................

United

States

30,000

30,049

Toyota

Motor

Credit

Corp.

,

Senior

Note

,

4.45 %

,

5/18/26

......

United

States

190,000

190,422

2,573,427

#### Consumer

#### Staples

#### Distribution

#### &

#### Retail

#### 0.1%
c

7-Eleven,

Inc.

,

Senior

Bond

,

144A,

1.8 %

,

2/10/31

.....................

United

States

44,000

38,574

Senior

Note

,

144A,

1.3 %

,

2/10/28

.....................

United

States

346,000

326,853

365,427

#### Containers

#### &

#### Packaging

#### 0.0%

#### †
AptarGroup,

Inc.

,

Senior

Note

,

4.75 %

,

3/30/31

.............

United

States

55,000

55,490

#### Diversified

#### REITs

#### 0.2%
Simon

Property

Group

LP

,

Senior

Bond

,

2.2 %

,

2/01/31

..........................

United

States

200,000

180,997

Senior

Note

,

3.375 %

,

12/01/27

.......................

United

States

295,000

292,924

VICI

Properties

LP

,

Senior

Note

,

4.95 %

,

2/15/30

............

United

States

200,000

202,454

c

VICI

Properties

LP

/

VICI

Note

Co.,

Inc.

,

Senior

Bond

,

144A,

4.125 %

,

8/15/30

...................................

United

States

225,000

218,292

894,667

#### Diversified

#### Telecommunication

#### Services

#### 0.3%
AT&T,

Inc.

,

Senior

Bond

,

2.55 %

,

12/01/33

........................

United

States

500,000

426,884

Senior

Bond

,

4.5 %

,

5/15/35

..........................

United

States

100,000

96,171

Senior

Bond

,

3.5 %

,

6/01/41

..........................

United

States

740,000

582,675

Orange

SA

,

Senior

Bond

,

%

,

3/01/31

....................

France

100,000

120,396

Verizon

Communications,

Inc.

,

Senior

Bond

,

2.55 %

,

3/21/31

.........................

United

States

100,000

91,355

Senior

Bond

,

3.4 %

,

3/22/41

..........................

United

States

320,000

250,875

Senior

Bond

,

2.85 %

,

9/03/41

.........................

United

States

200,000

144,266

Senior

Note

,

4.75 %

,

1/15/33

.........................

United

States

175,000

174,915

1,887,537

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Electric

#### Utilities

#### 1.1%
American

Electric

Power

Co.,

Inc.

,

C

,

Junior

Sub.

Bond

,

5.8%

to

3/14/31,

FRN

thereafter

,

3/15/56

United

States

100,000

$

99,321

D

,

Junior

Sub.

Bond

,

6.05%

to

3/14/36,

FRN

thereafter

,

3/15/56

.........................................

United

States

35,000

34,405

Baltimore

Gas

and

Electric

Co.

,

Senior

Bond

,

4.55 %

,

6/01/52

..

United

States

200,000

169,377

Commonwealth

Edison

Co.

,

Senior

Bond

,

%

,

3/01/48

.......

United

States

225,000

179,497

DTE

Electric

Co.

,

Senior

Bond

,

5.25 %

,

5/15/35

.............

United

States

25,000

25,709

Duke

Energy

Florida

LLC

,

Senior

Bond

,

6.4 %

,

6/15/38

.......

United

States

200,000

223,330

Duke

Energy

Indiana

LLC

,

Senior

Bond

,

5.4 %

,

4/01/53

.......

United

States

350,000

332,743

Duke

Energy

Ohio,

Inc.

,

Senior

Bond

,

5.25 %

,

4/01/33

........

United

States

230,000

238,703

c

Enel

Finance

International

NV

,

Senior

Bond

,

144A,

2.5 %

,

7/12/31

Italy

200,000

180,022

Exelon

Corp.

,

Senior

Bond

,

4.05 %

,

4/15/30

................

United

States

325,000

322,112

Georgia

Power

Co.

,

Senior

Bond

,

4.3 %

,

3/15/42

............

United

States

400,000

350,367

NextEra

Energy

Capital

Holdings,

Inc.

,

Senior

Bond

,

2.44 %

,

1/15/32

.........................

United

States

300,000

267,349

Senior

Bond

,

5.9 %

,

3/15/55

..........................

United

States

205,000

207,411

Senior

Note

,

5.3 %

,

3/15/32

..........................

United

States

95,000

99,002

Pacific

Gas

and

Electric

Co.

,

Senior

Note

,

3.3 %

,

12/01/27

.........................

United

States

350,000

344,837

Senior

Secured

Bond

,

3.25 %

,

6/01/31

..................

United

States

300,000

279,626

PECO

Energy

Co.

,

Senior

Bond

,

4.875 %

,

9/15/35

...........

United

States

240,000

242,401

Public

Service

Electric

and

Gas

Co.

,

Senior

Bond

,

5.45 %

,

3/01/54

United

States

135,000

132,523

c

RWE

Finance

US

LLC

,

Senior

Bond

,

144A,

5.125 %

,

9/18/35

...

Germany

300,000

298,431

Virginia

Electric

and

Power

Co.

,

Senior

Bond

,

2.4 %

,

3/30/32

..........................

United

States

725,000

645,925

Senior

Bond

,

%

,

4/01/33

...........................

United

States

200,000

204,920

C

,

Senior

Bond

,

4.9 %

,

9/15/35

.......................

United

States

250,000

248,919

c

Vistra

Operations

Co.

LLC

,

Senior

Secured

Bond

,

144A,

4.3 %

,

7/15/29

..............

United

States

300,000

298,043

Senior

Secured

Note

,

144A,

5.05 %

,

12/30/26

............

United

States

75,000

75,574

Xcel

Energy,

Inc.

,

Senior

Bond

,

4.6 %

,

6/01/32

..........................

United

States

200,000

199,014

Senior

Bond

,

5.45 %

,

8/15/33

.........................

United

States

150,000

155,167

5,854,728

#### Electrical

#### Equipment

#### 0.0%

#### †
c

Vertiv

Group

Corp.

,

Senior

Secured

Note

,

144A,

4.125 %

,

11/15/28

........................................

United

States

50,000

49,415

#### Electronic

#### Equipment,

#### Instruments

#### &

#### Components

#### 0.0%

#### †
Amphenol

Corp.

,

Senior

Note

,

4.4 %

,

2/15/33

...............

United

States

150,000

148,469

#### Energy

#### Equipment

#### &

#### Services

#### 0.0%

#### †
Baker

Hughes

Holdings

LLC

/

Baker

Hughes

Co-Obligor,

Inc.

,

Senior

Bond

,

4.08 %

,

12/15/47

........................

United

States

285,000

227,050

#### Entertainment

#### 0.0%

#### †
c

Netflix,

Inc.

,

Senior

Bond

,

144A,

5.375 %

,

11/15/29

..........

United

States

175,000

182,639

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Financial

#### Services

#### 0.1%
Corebridge

Financial,

Inc.

,

Senior

Note

,

6.05 %

,

9/15/33

.......

United

States

150,000

$

159,257

c

EDP

Finance

BV

,

Senior

Note

,

144A,

1.71 %

,

1/24/28

........

Portugal

200,000

190,550

Global

Payments,

Inc.

,

Senior

Note

,

5.4 %

,

8/15/32

..........

United

States

135,000

137,377

487,184

#### Food

#### Products

#### 0.4%
Bunge

Ltd.

Finance

Corp.

,

Senior

Note

,

3.2 %

,

4/21/31

.......

United

States

20,000

18,857

JBS

USA

Holding

Lux

SARL

/

JBS

USA

Food

Co.

/

JBS

Lux

Co.

SARL

,

Senior

Note

,

3.625 %

,

1/15/32

........................

United

States

400,000

374,785

Senior

Note

,

5.75 %

,

4/01/33

.........................

United

States

200,000

209,068

c

JBS

USA

Holding

Lux

SARL

/

JBS

USA

Foods

Group

Holdings,

Inc.

/

JBS

USA

Food

Co.

,

Senior

Bond

,

144A,

5.5 %

,

1/15/36

.

United

States

120,000

122,014

Kellanova

,

Senior

Bond

,

4.5 %

,

4/01/46

...................

United

States

30,000

26,449

Kraft

Heinz

Foods

Co.

,

Senior

Bond

,

%

,

6/04/42

...........................

United

States

175,000

160,683

Senior

Bond

,

4.375 %

,

6/01/46

........................

United

States

100,000

82,691

c

Mars,

Inc.

,

Senior

Bond

,

144A,

3.2 %

,

4/01/30

.....................

United

States

100,000

96,223

Senior

Bond

,

144A,

4.75 %

,

4/20/33

....................

United

States

210,000

212,437

Senior

Bond

,

144A,

5.7 %

,

5/01/55

.....................

United

States

90,000

89,716

Senior

Note

,

144A,

5.2 %

,

3/01/35

.....................

United

States

190,000

195,357

McCormick

&

Co.,

Inc.

,

Senior

Bond

,

1.85 %

,

2/15/31

.........

United

States

300,000

265,499

Pilgrim's

Pride

Corp.

,

Senior

Note

,

3.5 %

,

3/01/32

...........

United

States

140,000

129,450

1,983,229

#### Gas

#### Utilities

#### 0.0%

#### †
Southern

California

Gas

Co.

,

Senior

Bond

,

6.35 %

,

11/15/52

...

United

States

200,000

217,196

#### Ground

#### Transportation

#### 0.2%
c

Ashtead

Capital,

Inc.

,

Senior

Bond

,

144A,

5.8 %

,

4/15/34

......

United

Kingdom

200,000

209,810

Burlington

Northern

Santa

Fe

LLC

,

Senior

Bond

,

5.75 %

,

5/01/40

.........................

United

States

300,000

317,796

Senior

Bond

,

5.55 %

,

3/15/56

.........................

United

States

45,000

44,392

CSX

Corp.

,

Senior

Bond

,

4.75 %

,

11/15/48

.................

United

States

215,000

191,735

c

SMBC

Aviation

Capital

Finance

DAC

,

Senior

Note

,

144A,

5.1 %

,

4/01/30

.........................................

Ireland

200,000

204,920

968,653

#### Health

#### Care

#### Equipment

#### &

#### Supplies

#### 0.1%
Baxter

International,

Inc.

,

Senior

Note

,

2.539 %

,

2/01/32

.......

United

States

480,000

418,393

#### Health

#### Care

#### Providers

#### &

#### Services

#### 0.6%
Ascension

Health

,

Senior

Bond

,

3.945 %

,

11/15/46

...........

United

States

170,000

138,790

Cigna

Group

(The)

,

Senior

Bond

,

2.375 %

,

3/15/31

........................

United

States

200,000

181,112

Senior

Bond

,

3.2 %

,

3/15/40

..........................

United

States

250,000

198,187

CVS

Health

Corp.

,

Senior

Bond

,

5.3 %

,

12/05/43

.........................

United

States

435,000

406,677

Senior

Bond

,

5.125 %

,

7/20/45

........................

United

States

100,000

90,528

Senior

Note

,

%

,

9/15/32

...........................

United

States

161,000

164,390

Elevance

Health,

Inc.

,

Senior

Bond

,

5.1 %

,

1/15/44

..........

United

States

100,000

94,580

HCA,

Inc.

,

Senior

Bond

,

3.5 %

,

9/01/30

..........................

United

States

365,000

351,135

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Health

#### Care

#### Providers

#### &

#### Services
(continued)

HCA,

Inc.,

(continued)

Senior

Note

,

3.625 %

,

3/15/32

........................

United

States

200,000

$

189,144

Senior

Note

,

4.6 %

,

11/15/32

.........................

United

States

300,000

297,370

Icon

Investments

Six

DAC

,

Senior

Secured

Bond

,

%

,

5/08/34

.

United

States

200,000

211,598

Kaiser

Foundation

Hospitals

,

Senior

Bond

,

4.15 %

,

5/01/47

....

United

States

225,000

187,766

UnitedHealth

Group,

Inc.

,

Senior

Bond

,

3.05 %

,

5/15/41

.........................

United

States

585,000

443,801

Senior

Note

,

5.15 %

,

7/15/34

.........................

United

States

100,000

102,459

Senior

Note

,

5.3 %

,

6/15/35

..........................

United

States

95,000

98,396

3,155,933

#### Health

#### Care

#### Technology

#### 0.0%

#### †
IQVIA,

Inc.

,

Senior

Secured

Note

,

6.25 %

,

2/01/29

...........

United

States

100,000

105,472

#### Hotels,

#### Restaurants

#### &

#### Leisure

#### 0.1%
c

Carnival

Corp.

,

Senior

Note

,

144A,

5.75 %

,

3/15/30

....................

United

States

120,000

123,511

Senior

Secured

Note

,

144A,

%

,

8/01/28

................

United

States

165,000

162,649

Marriott

International,

Inc.

,

GG

,

Senior

Bond

,

3.5 %

,

10/15/32

...

United

States

135,000

126,121

McDonald's

Corp.

,

Senior

Bond

,

3.625 %

,

9/01/49

...........

United

States

65,000

47,895

c

Royal

Caribbean

Cruises

Ltd.

,

Senior

Note

,

144A,

5.5 %

,

4/01/28

United

States

200,000

203,689

663,865

#### Independent

#### Power

#### and

#### Renewable

#### Electricity

#### Producers

#### 0.1%
Constellation

Energy

Generation

LLC

,

Senior

Bond

,

5.8 %

,

3/01/33

..........................

United

States

300,000

320,354

Senior

Bond

,

6.125 %

,

1/15/34

........................

United

States

350,000

379,621

Southern

Power

Co.

,

B

,

Senior

Bond

,

4.9 %

,

10/01/35

........

United

States

105,000

103,932

803,907

#### Industrial

#### Conglomerates

#### 0.0%

#### †
c

Siemens

Funding

BV

,

Senior

Bond

,

144A,

5.8 %

,

5/28/55

......

Germany

200,000

209,533

#### Insurance

#### 0.4%
Allstate

Corp.

(The)

,

Senior

Bond

,

4.2 %

,

12/15/46

...........

United

States

200,000

164,864

Aon

North

America,

Inc.

,

Senior

Bond

,

5.75 %

,

3/01/54

........

United

States

70,000

69,697

Arch

Capital

Group

Ltd.

,

Senior

Bond

,

3.635 %

,

6/30/50

.......

United

States

155,000

115,263

Arthur

J

Gallagher

&

Co.

,

Senior

Bond

,

6.5 %

,

2/15/34

..........................

United

States

150,000

165,618

Senior

Bond

,

5.45 %

,

7/15/34

.........................

United

States

200,000

207,815

Senior

Bond

,

5.15 %

,

2/15/35

.........................

United

States

260,000

262,889

c

Athene

Global

Funding

,

Secured

Bond

,

144A,

2.673 %

,

6/07/31

.................

United

States

200,000

178,415

Senior

Secured

Bond

,

144A,

5.543 %

,

8/22/35

............

United

States

150,000

150,577

Athene

Holding

Ltd.

,

Senior

Bond

,

6.25 %

,

4/01/54

...........

United

States

115,000

111,973

Berkshire

Hathaway

Finance

Corp.

,

Senior

Bond

,

3.85 %

,

3/15/52

United

States

125,000

96,285

Brown

&

Brown,

Inc.

,

Senior

Bond

,

2.375 %

,

3/15/31

........................

United

States

315,000

282,707

Senior

Bond

,

5.55 %

,

6/23/35

.........................

United

States

30,000

30,780

Senior

Note

,

5.25 %

,

6/23/32

.........................

United

States

20,000

20,498

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Insurance
(continued)

Marsh

&

McLennan

Cos.,

Inc.

,

Senior

Bond

,

4.9 %

,

3/15/49

....

United

States

200,000

$

181,333

MetLife,

Inc.

,

Junior

Sub.

Bond

,

6.4 %

,

12/15/36

.............

United

States

200,000

209,947

c

Nippon

Life

Insurance

Co.

,

Sub.

Bond

,

144A,

6.5%

to

4/29/35,

FRN

thereafter

,

4/30/55

.............................

Japan

200,000

215,483

2,464,144

#### Interactive

#### Media

#### &

#### Services

#### 0.0%

#### †
Alphabet,

Inc.

,

Senior

Bond

,

5.45 %

,

11/15/55

..............

United

States

200,000

196,336

#### IT

#### Services

#### 0.0%

#### †
c

Beignet

Investor

LLC

,

Senior

Secured

Bond

,

144A,

6.581 %

,

5/30/49

.........................................

United

States

175,000

185,047

#### Leisure

#### Products

#### 0.1%
Brunswick

Corp.

,

Senior

Bond

,

4.4 %

,

9/15/32

..........................

United

States

200,000

191,237

Senior

Note

,

5.85 %

,

3/18/29

.........................

United

States

200,000

207,146

398,383

#### Machinery

#### 0.1%
Caterpillar,

Inc.

,

Senior

Bond

,

5.2 %

,

5/15/35

...............

United

States

200,000

207,424

Ingersoll

Rand,

Inc.

,

Senior

Note

,

5.176 %

,

6/15/29

..........

United

States

140,000

144,758

Westinghouse

Air

Brake

Technologies

Corp.

,

Senior

Bond

,

4.7 %

,

9/15/28

.........................................

United

States

200,000

202,570

554,752

#### Media

#### 0.3%
Charter

Communications

Operating

LLC

/

Charter

Communications

Operating

Capital

Corp.

,

Senior

Secured

Bond

,

4.4 %

,

4/01/33

...................

United

States

100,000

94,235

Senior

Secured

Bond

,

6.55 %

,

6/01/34

..................

United

States

400,000

420,851

Senior

Secured

Bond

,

5.85 %

,

12/01/35

.................

United

States

50,000

49,901

Senior

Secured

Bond

,

5.375 %

,

4/01/38

.................

United

States

385,000

355,271

Senior

Secured

Bond

,

3.5 %

,

6/01/41

...................

United

States

45,000

32,048

Senior

Secured

Bond

,

3.5 %

,

3/01/42

...................

United

States

100,000

69,506

Comcast

Corp.

,

Senior

Bond

,

4.049 %

,

11/01/52

............

United

States

400,000

292,829

Fox

Corp.

,

Senior

Bond

,

6.5 %

,

10/13/33

..................

United

States

85,000

93,904

Paramount

Global

,

Senior

Bond

,

4.95 %

,

1/15/31

.........................

United

States

210,000

202,038

Senior

Bond

,

4.2 %

,

5/19/32

..........................

United

States

200,000

180,779

1,791,362

#### Metals

#### &

#### Mining

#### 0.0%

#### †
Newmont

Corp.

/

Newcrest

Finance

Pty.

Ltd.

,

Senior

Note

,

5.35 %

,

3/15/34

.........................................

United

States

40,000

41,834

#### Multi-Utilities

#### 0.1%
Berkshire

Hathaway

Energy

Co.

,

Senior

Bond

,

1.65 %

,

5/15/31

.........................

United

States

300,000

261,644

Senior

Bond

,

5.15 %

,

11/15/43

........................

United

States

200,000

192,498

Public

Service

Enterprise

Group,

Inc.

,

Senior

Bond

,

5.4 %

,

3/15/35

United

States

50,000

51,530

Southern

Co.

Gas

Capital

Corp.

,

Senior

Bond

,

4.95 %

,

9/15/34

.

United

States

260,000

261,412

767,084

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 0.8%
c

Aker

BP

ASA

,

Senior

Bond

,

144A,

3.75 %

,

1/15/30

....................

Norway

200,000

$

193,617

Senior

Bond

,

144A,

5.8 %

,

10/01/54

....................

Norway

150,000

136,529

Canadian

Natural

Resources

Ltd.

,

Senior

Bond

,

2.95 %

,

7/15/30

Canada

200,000

188,793

Cheniere

Energy,

Inc.

,

Senior

Note

,

5.65 %

,

4/15/34

..........

United

States

50,000

51,892

c

DT

Midstream,

Inc.

,

Senior

Bond

,

144A,

5.8 %

,

12/15/34

......

United

States

100,000

103,835

Eastern

Energy

Gas

Holdings

LLC

,

Senior

Bond

,

5.8 %

,

1/15/35

United

States

290,000

306,407

Energy

Transfer

LP

,

Senior

Bond

,

5.55 %

,

5/15/34

.........................

United

States

300,000

308,742

Senior

Bond

,

5.15 %

,

3/15/45

.........................

United

States

525,000

464,534

Exxon

Mobil

Corp.

,

Senior

Bond

,

3.567 %

,

3/06/45

...........

United

States

190,000

149,165

Hess

Corp.

,

Senior

Bond

,

7.125 %

,

3/15/33

........................

United

States

150,000

173,754

Senior

Bond

,

5.6 %

,

2/15/41

..........................

United

States

250,000

258,962

MPLX

LP

,

Senior

Bond

,

5.4 %

,

4/01/35

..........................

United

States

200,000

201,554

Senior

Bond

,

5.5 %

,

2/15/49

..........................

United

States

145,000

133,317

Targa

Resources

Corp.

,

Senior

Bond

,

6.5 %

,

2/15/53

.........

United

States

215,000

225,171

Targa

Resources

Partners

LP

/

Targa

Resources

Partners

Finance

Corp.

,

Senior

Bond

,

%

,

1/15/32

................

United

States

300,000

286,384

TotalEnergies

Capital

SA

,

Senior

Bond

,

5.275 %

,

9/10/54

......

France

220,000

206,897

c

Transcontinental

Gas

Pipe

Line

Co.

LLC

,

Senior

Bond

,

144A,

5.1 %

,

3/15/36

....................................

United

States

85,000

85,611

c

Var

Energi

ASA

,

Senior

Bond

,

144A,

%

,

11/15/32

..........

Norway

200,000

229,198

Viper

Energy

Partners

LLC

,

Senior

Bond

,

5.7 %

,

8/01/35

..........................

United

States

168,000

171,553

Senior

Note

,

4.9 %

,

8/01/30

..........................

United

States

75,000

75,909

Williams

Cos.,

Inc.

(The)

,

Senior

Bond

,

2.6 %

,

3/15/31

..........................

United

States

200,000

182,691

Senior

Bond

,

5.1 %

,

9/15/45

..........................

United

States

100,000

91,839

4,226,354

#### Personal

#### Care

#### Products

#### 0.1%
Haleon

US

Capital

LLC

,

Senior

Note

,

3.625 %

,

3/24/32

.......

United

States

800,000

762,173

#### Pharmaceuticals

#### 0.4%
c

Bayer

US

Finance

II

LLC

,

Senior

Bond

,

144A,

4.375 %

,

12/15/28

Germany

400,000

400,512

Bristol-Myers

Squibb

Co.

,

Senior

Bond

,

4.25 %

,

10/26/49

......

United

States

150,000

122,697

Eli

Lilly

&

Co.

,

Senior

Bond

,

4.95 %

,

2/27/63

.........................

United

States

110,000

99,280

Senior

Bond

,

5.65 %

,

10/15/65

........................

United

States

90,000

90,760

Merck

&

Co.,

Inc.

,

Senior

Bond

,

4.75 %

,

12/04/35

........................

United

States

60,000

59,799

Senior

Note

,

4.45 %

,

12/04/32

........................

United

States

40,000

40,068

Novartis

Capital

Corp.

,

Senior

Bond

,

3.7 %

,

9/21/42

..........................

United

States

195,000

161,933

Senior

Note

,

4.1 %

,

11/05/30

.........................

United

States

285,000

284,787

Pfizer

Investment

Enterprises

Pte.

Ltd.

,

Senior

Bond

,

4.75 %

,

5/19/33

.........................

United

States

290,000

293,163

Senior

Bond

,

5.3 %

,

5/19/53

..........................

United

States

70,000

66,328

Royalty

Pharma

plc

,

Senior

Bond

,

2.15 %

,

9/02/31

.........................

United

States

300,000

264,060

Senior

Bond

,

5.2 %

,

9/25/35

..........................

United

States

65,000

65,383

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Pharmaceuticals
(continued)

Royalty

Pharma

plc,

(continued)

Senior

Bond

,

3.35 %

,

9/02/51

.........................

United

States

185,000

$

122,960

2,071,730

#### Residential

#### REITs

#### 0.1%
Essex

Portfolio

LP

,

Senior

Bond

,

2.65 %

,

3/15/32

............

United

States

400,000

357,308

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 0.3%
Analog

Devices,

Inc.

,

Senior

Bond

,

2.8 %

,

10/01/41

..........

United

States

185,000

136,556

Broadcom,

Inc.

,

Senior

Note

,

4.6 %

,

7/15/30

...............

United

States

285,000

289,803

c

Foundry

JV

Holdco

LLC

,

Senior

Secured

Bond

,

144A,

6.25 %

,

1/25/35

.............

United

States

200,000

212,294

Senior

Secured

Note

,

144A,

5.9 %

,

1/25/33

..............

United

States

400,000

418,894

Intel

Corp.

,

Senior

Bond

,

4.15 %

,

8/05/32

.........................

United

States

15,000

14,468

Senior

Bond

,

3.734 %

,

12/08/47

.......................

United

States

260,000

185,709

Marvell

Technology,

Inc.

,

Senior

Note

,

4.75 %

,

7/15/30

.........................

United

States

200,000

202,690

Senior

Note

,

5.95 %

,

9/15/33

.........................

United

States

220,000

235,339

1,695,753

#### Software

#### 0.4%
Intuit,

Inc.

,

Senior

Bond

,

5.5 %

,

9/15/53

...................

United

States

100,000

98,881

Microsoft

Corp.

,

Senior

Bond

,

2.921 %

,

3/17/52

.............

United

States

260,000

170,539

Oracle

Corp.

,

Senior

Bond

,

2.875 %

,

3/25/31

........................

United

States

300,000

269,687

Senior

Bond

,

3.95 %

,

3/25/51

.........................

United

States

200,000

131,720

Senior

Note

,

2.3 %

,

3/25/28

..........................

United

States

390,000

371,981

Senior

Note

,

4.45 %

,

9/26/30

.........................

United

States

135,000

132,106

Senior

Note

,

4.8 %

,

9/26/32

..........................

United

States

35,000

33,799

Salesforce,

Inc.

,

Senior

Bond

,

1.95 %

,

7/15/31

..............

United

States

350,000

311,391

Synopsys,

Inc.

,

Senior

Bond

,

5.7 %

,

4/01/55

..........................

United

States

80,000

79,444

Senior

Note

,

%

,

4/01/32

...........................

United

States

100,000

102,264

Workday,

Inc.

,

Senior

Bond

,

3.8 %

,

4/01/32

................

United

States

225,000

215,355

1,917,167

#### Specialized

#### REITs

#### 0.1%
American

Tower

Corp.

,

Senior

Bond

,

5.35 %

,

3/15/35

.........................

United

States

200,000

205,134

Senior

Note

,

4.7 %

,

12/15/32

.........................

United

States

120,000

120,062

325,196

#### Specialty

#### Retail

#### 0.2%
Dick's

Sporting

Goods,

Inc.

,

Senior

Bond

,

3.15 %

,

1/15/32

.........................

United

States

200,000

183,926

Senior

Bond

,

4.1 %

,

1/15/52

..........................

United

States

225,000

164,576

Home

Depot,

Inc.

(The)

,

Senior

Bond

,

3.625 %

,

4/15/52

.......

United

States

410,000

299,658

Lowe's

Cos.,

Inc.

,

Senior

Bond

,

5.75 %

,

7/01/53

.............

United

States

210,000

208,060

856,220

#### Technology

#### Hardware,

#### Storage

#### &

#### Peripherals

#### 0.1%
Apple,

Inc.

,

Senior

Bond

,

2.8 %

,

2/08/61

...................

United

States

500,000

294,574

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Textiles,

#### Apparel

#### &

#### Luxury

#### Goods

#### 0.0%

#### †
Tapestry,

Inc.

,

Senior

Bond

,

5.5 %

,

3/11/35

.................

United

States

125,000

$

127,869

#### Tobacco

#### 0.2%
BAT

Capital

Corp.

,

Senior

Bond

,

4.39 %

,

8/15/37

.........................

United

Kingdom

93,000

85,726

Senior

Note

,

4.625 %

,

3/22/33

........................

United

Kingdom

380,000

377,999

Philip

Morris

International,

Inc.

,

Senior

Bond

,

5.375 %

,

2/15/33

..

United

States

515,000

538,849

1,002,574

#### Wireless

#### Telecommunication

#### Services

#### 0.2%
Rogers

Communications,

Inc.

,

Senior

Bond

,

4.55 %

,

3/15/52

...

Canada

20,000

15,930

T-Mobile

USA,

Inc.

,

Senior

Bond

,

5.3 %

,

5/15/35

..........................

United

States

325,000

333,362

Senior

Bond

,

3.3 %

,

2/15/51

..........................

United

States

100,000

66,920

Senior

Note

,

3.375 %

,

4/15/29

........................

United

States

530,000

516,692

Senior

Note

,

2.55 %

,

2/15/31

.........................

United

States

300,000

274,160

Vodafone

Group

plc

,

Senior

Bond

,

6.15 %

,

2/27/37

.........................

United

Kingdom

36,000

39,168

Senior

Bond

,

5.75 %

,

6/28/54

.........................

United

Kingdom

80,000

77,790

1,324,022

#### Total

#### Corporate

#### Bonds

#### (Cost

#### $

#### 70,772,844

####)
....................................

#### 70,731,639

#### Foreign

#### Government

#### and

#### Agency

#### Securities

#### 0.9%
Brazil

Notas

do

Tesouro

Nacional

,

%

,

1/01/35

............

Brazil

5,120,000

BRL

769,709

Colombia

Titulos

de

Tesoreria

,

B

,

11.75 %

,

1/24/35

.................................

Colombia

180,000,000

COP

44,538

B

,

11.5 %

,

7/25/46

.................................

Colombia

1,200,000,000

COP

285,825

B

,

%

,

3/13/58

...................................

Colombia

180,000,000

COP

47,520

c

Electricite

de

France

SA

,

Senior

Note

,

144A,

5.7 %

,

5/23/28

....

France

200,000

206,716

Hungary

Government

Bond

,

%

,

10/24/35

.................

Hungary

37,000,000

HUF

114,726

Mexican

Bonos

Desarr

Fixed

Rate

,

M

,

%

,

11/07/47

...................................

Mexico

4,330,000

f

MXN

207,277

M

,

%

,

7/31/53

...................................

Mexico

16,030,000

f

MXN

760,264

M

,

%

,

4/29/55

...................................

Mexico

2,800,000

f

MXN

132,157

c

United

Kingdom

Gilt

,

Reg

S,

4.25 %

,

7/31/34

..............................

United

Kingdom

280,000

GBP

372,945

Reg

S,

4.5 %

,

3/07/35

...............................

United

Kingdom

560,000

GBP

756,267

Reg

S,

1.25 %

,

7/31/51

..............................

United

Kingdom

880,000

GBP

526,370

Reg

S,

4.375 %

,

7/31/54

.............................

United

Kingdom

570,000

GBP

673,761

#### Total

#### Foreign

#### Government

#### and

#### Agency

#### Securities

#### (Cost

#### $

#### 4,792,084

####)
.............

#### 4,898,075

#### U.S.

#### Government

#### and

#### Agency

#### Securities

#### 19.8%
FFCB

,

2.1 %,

2/25/36

.................................

United

States

150,000

120,909

U.S.

Treasury

Bonds

,

1.125 %,

5/15/40

..................................

United

States

500,000

317,441

4.375 %,

5/15/40

..................................

United

States

500,000

491,719

1.125 %,

8/15/40

..................................

United

States

332,000

208,667

1.375 %,

11/15/40

.................................

United

States

1,771,000

1,150,251

2.75 %,

8/15/42

...................................

United

States

80,000

61,778

3.875 %,

5/15/43

..................................

United

States

2,000,000

1,794,766

4.75 %,

11/15/43

..................................

United

States

235,000

235,101

3.125 %,

8/15/44

..................................

United

States

725,000

574,053

4.625 %,

11/15/45

.................................

United

States

35,000

34,207

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### U.S.

#### Government

#### and

#### Agency

#### Securities
(continued)

U.S.

Treasury

Bonds,

(continued)

2.5 %,

5/15/46

....................................

United

States

945,000

$

655,741

2.25 %,

8/15/46

...................................

United

States

1,623,000

1,068,581

2.75 %,

11/15/47

..................................

United

States

340,000

242,316

3.375 %,

11/15/48

.................................

United

States

2,690,000

2,129,093

%,

2/15/49

.....................................

United

States

6,911,000

5,092,813

2.25 %,

8/15/49

...................................

United

States

255,000

159,992

1.25 %,

5/15/50

...................................

United

States

1,285,000

615,545

1.375 %,

8/15/50

..................................

United

States

1,705,000

838,747

2.375 %,

5/15/51

..................................

United

States

950,000

599,019

%,

8/15/51

.....................................

United

States

1,350,000

773,771

1.875 %,

11/15/51

.................................

United

States

1,810,000

1,001,085

2.25 %,

2/15/52

...................................

United

States

710,000

431,020

3.625 %,

2/15/53

..................................

United

States

605,000

490,003

3.625 %,

5/15/53

..................................

United

States

1,755,000

1,420,282

4.125 %,

8/15/53

..................................

United

States

20,000

17,711

4.25 %,

2/15/54

...................................

United

States

175,000

158,266

4.75 %,

8/15/55

...................................

United

States

2,470,000

2,429,091

U.S.

Treasury

Notes

,

0.75 %,

5/31/26

...................................

United

States

320,000

316,349

0.875 %,

6/30/26

..................................

United

States

1,175,000

1,159,764

1.25 %,

12/31/26

..................................

United

States

9,075,000

8,874,867

2.375 %,

5/15/27

..................................

United

States

3,140,000

3,093,145

0.5 %,

6/30/27

....................................

United

States

9,935,000

9,508,105

3.25 %,

6/30/27

...................................

United

States

4,230,000

4,216,038

2.25 %,

8/15/27

...................................

United

States

730,000

715,913

0.375 %,

9/30/27

..................................

United

States

670,000

635,152

2.25 %,

11/15/27

..................................

United

States

3,500,000

3,422,891

1.125 %,

2/29/28

..................................

United

States

8,360,000

7,952,450

3.5 %,

4/30/28

....................................

United

States

223,000

222,991

3.125 %,

11/15/28

.................................

United

States

820,000

810,951

1.375 %,

12/31/28

.................................

United

States

150,000

140,851

3.75 %,

12/31/28

..................................

United

States

500,000

502,920

2.625 %,

2/15/29

..................................

United

States

4,000,000

3,889,922

g

Index

Linked,

2.125 %,

4/15/29

.......................

United

States

1,000,000

1,075,142

3.25 %,

6/30/29

...................................

United

States

1,500,000

1,483,096

3.125 %,

8/31/29

..................................

United

States

735,000

722,712

%,

10/31/29

....................................

United

States

1,725,000

1,747,809

g

Index

Linked,

1.625 %,

4/15/30

.......................

United

States

750,000

771,198

3.75 %,

6/30/30

...................................

United

States

600,000

601,547

0.625 %,

8/15/30

..................................

United

States

4,400,000

3,829,375

4.125 %,

8/31/30

..................................

United

States

3,105,000

3,160,187

3.625 %,

10/31/30

.................................

United

States

740,000

736,994

1.375 %,

11/15/31

.................................

United

States

7,400,000

6,447,250

4.125 %,

11/15/32

.................................

United

States

7,000,000

7,080,938

3.5 %,

2/15/33

....................................

United

States

500,000

485,986

3.375 %,

5/15/33

..................................

United

States

1,750,000

1,682,734

3.875 %,

8/15/33

..................................

United

States

1,500,000

1,487,871

4.375 %,

5/15/34

..................................

United

States

1,000,000

1,022,129

3.875 %,

8/15/34

..................................

United

States

1,850,000

1,821,925

4.25 %,

5/15/35

...................................

United

States

2,500,000

2,521,289

g

Index

Linked,

1.875 %,

7/15/35

.......................

United

States

445,000

450,176

4.25 %,

8/15/35

...................................

United

States

185,000

186,359

h

FRN,

3.762 %,

(3-month

U.S.

Treasury

Bill

Rate

+

0.16 %),

4/30/27

.........................................

United

States

1,030,000

1,030,413

h

FRN,

3.761 %,

(3-month

U.S.

Treasury

Bill

Rate

+

0.159 %),

7/31/27

.........................................

United

States

1,030,000

1,030,672

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### U.S.

#### Government

#### and

#### Agency

#### Securities
(continued)

U.S.

Treasury

Notes,

(continued)

h

FRN,

3.792 %,

(3-month

U.S.

Treasury

Bill

Rate

+

0.19 %),

10/31/27

........................................

United

States

1,120,000

$

1,120,882

#### Total

#### U.S.

#### Government

#### and

#### Agency

#### Securities

#### (Cost

#### $

#### 114,322,566

####)
..............

#### 109,070,961

#### Asset-Backed

#### Securities

#### 0.2%

#### Financial

#### Services

#### 0.1%
c

Compass

Datacenters

Issuer

II

LLC

,

2024-1A

,

A1

,

144A,

5.25 %

,

2/25/49

....................

United

States

145,000

145,857

2025-2A

,

A1

,

144A,

4.926 %

,

11/25/50

..................

United

States

192,000

191,901

c

New

Economy

Assets

-

Phase

Sponsor

LLC

,

2021-1

,

A1

,

144A,

1.91 %

,

10/20/61

.

..................................

United

States

490,000

410,504

748,262

a

a

a

a

a

a

#### Passenger

#### Airlines

#### 0.1%
American

Airlines

Pass-Through

Trust

,

2016-3

,

A

,

3.25 %

,

10/15/28

.

........................................

United

States

315,238

302,766

United

Airlines

Pass-Through

Trust

,

2016-1

,

A

,

3.45 %

,

7/07/28

...........................

United

States

57,788

56,394

2019-2

,

A

,

2.9 %

,

5/01/28

............................

United

States

72,528

69,545

2020-1

,

B

,

4.875 %

,

7/15/27

..........................

United

States

68,738

68,740

497,445

a

a

a

a

a

a

#### Total

#### Asset-Backed

#### Securities

#### (Cost

#### $

#### 1,296,522

####)
..............................

#### 1,245,707

#### Commercial

#### Mortgage-Backed

#### Securities

#### 0.6%

#### Financial

#### Services

#### 0.6%
BANK

,

2019-BN18

,

A2

,

3.474 %

,

5/15/62

..................

United

States

67,000

65,583

i

BANK5

Trust

,

c,j

2025-5YR13

,

XA

,

IO,

144A,

FRN

,

1.062 %

,

1/15/58

.........

United

States

2,798,714

109,747

j

2025-5YR15

,

XA

,

IO,

FRN

,

1.221 %

,

7/15/58

.............

United

States

625,655

30,530

2025-5YR17

,

AS

,

FRN

,

5.626 %

,

11/15/58

...............

United

States

80,000

82,577

Barclays

Commercial

Mortgage

Trust

,

2019-C3

,

A2

,

3.438 %

,

5/15/52

.........................................

United

States

31,279

30,901

i

BBCMS

Mortgage

Trust

,

2023-C21

,

A3

,

FRN

,

6.296 %

,

9/15/56

...................

United

States

60,000

64,088

2025-5C37

,

AS

,

FRN

,

5.382 %

,

9/15/58

.................

United

States

127,000

129,743

Benchmark

Mortgage

Trust

,

2019-B13

,

A2

,

2.889 %

,

8/15/57

.......................

United

States

193,585

187,282

2019-B14

,

A2

,

2.915 %

,

12/15/62

......................

United

States

49,390

47,927

2020-B17

,

A2

,

2.211 %

,

3/15/53

.......................

United

States

87,652

83,091

c,i,j

2025-V18

,

XA

,

IO,

144A,

FRN

,

1.258 %

,

10/15/58

..........

United

States

999,887

52,797

BMO

Mortgage

Trust

,

i

2024-5C8

,

AS

,

FRN

,

5.94 %

,

12/15/57

..................

United

States

82,000

85,270

2025-5C11

,

AS

,

5.938 %

,

7/15/58

......................

United

States

103,000

107,276

i,j

2025-5C11

,

XA

,

IO,

FRN

,

1.11 %

,

7/15/58

................

United

States

1,847,220

83,554

c

,k

BX

Commercial

Mortgage

Trust

,

2022-LP2

,

A

,

144A,

FRN

,

4.763 %

,

(1-month

SOFR

+

1.013 %),

2/15/39

.............

United

States

34,011

33,977

c

,k

BX

Mortgage

Trust

,

2021-PAC

,

A

,

144A,

FRN

,

4.554 %

,

(1-month

SOFR

+

0.804 %),

10/15/36

..........................

United

States

230,000

229,380

c

,k

BX

Trust

,

2022-IND

,

A

,

144A,

FRN

,

5.241 %

,

(1-month

SOFR

+

1.491 %),

4/15/37

.........................................

United

States

190,684

191,008

2025-VOLT

,

A

,

144A,

FRN

,

5.45 %

,

(1-month

SOFR

+

1.7 %),

12/15/44

........................................

United

States

100,000

100,244

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Commercial

#### Mortgage-Backed

#### Securities
(continued)

#### Financial

#### Services
(continued)

CD

Mortgage

Trust

,

2016-CD1

,

A4

,

2.724 %

,

8/10/49

.........

United

States

137,000

$

134,949

CFCRE

Commercial

Mortgage

Trust

,

2016-C7

,

A3

,

3.839 %

,

12/10/54

........................................

United

States

70,000

69,562

Citigroup

Commercial

Mortgage

Trust

,

2016-P4

,

A2

,

2.45 %

,

7/10/49

.........................

United

States

43,618

43,523

2020-GC46

,

A2

,

2.708 %

,

2/15/53

......................

United

States

54,834

52,747

CSAIL

Commercial

Mortgage

Trust

,

2017-CX10

,

A3

,

3.398 %

,

11/15/50

........................................

United

States

41,643

41,575

c

,i

CSTL

Commercial

Mortgage

Trust

,

2025-GATE2

,

A

,

144A,

FRN

,

4.56 %

,

11/10/42

...................................

United

States

140,000

139,706

GS

Mortgage

Securities

Trust

,

2016-GS2

,

A4

,

3.05 %

,

5/10/49

........................

United

States

30,000

29,906

2019-GC42

,

A2

,

2.933 %

,

9/10/52

......................

United

States

106,241

103,703

JPMBB

Commercial

Mortgage

Securities

Trust

,

2016-C1

,

A5

,

3.576 %

,

3/17/49

...................................

United

States

30,725

30,669

JPMCC

Commercial

Mortgage

Securities

Trust

,

2019-COR5

,

A2

,

3.15 %

,

6/13/52

...................................

United

States

49,030

48,718

JPMDB

Commercial

Mortgage

Securities

Trust

,

2017-C5

,

A4

,

3.414 %

,

3/15/50

...................................

United

States

61,584

60,959

Morgan

Stanley

Bank

of

America

Merrill

Lynch

Trust

,

2015-C27

,

AS

,

4.068 %

,

12/15/47

......................

United

States

5,692

5,651

i

2016-C32

,

AS

,

FRN

,

3.994 %

,

12/15/49

.................

United

States

75,000

74,247

i,j

2025-5C2

,

XA

,

IO,

FRN

,

1.25 %

,

11/15/58

................

United

States

1,993,000

105,874

Morgan

Stanley

Capital

I

Trust

,

2016-BNK2

,

A4

,

3.049 %

,

11/15/49

.....................

United

States

84,000

82,448

i,j

2019-H7

,

XA

,

IO,

FRN

,

1.219 %

,

7/15/52

.................

United

States

2,876,493

102,917

c

,k

SHRN

Trust

,

2025-MF18

,

A

,

144A,

FRN

,

4.95 %

,

(1-month

SOFR

+

1.2 %),

10/15/40

.................................

United

States

130,000

130,244

Wells

Fargo

Commercial

Mortgage

Trust

,

i

2016-C32

,

B

,

FRN

,

4.684 %

,

1/15/59

...................

United

States

42,000

41,274

2016-LC24

,

AS

,

3.367 %

,

10/15/49

.....................

United

States

120,000

117,650

3,131,297

a

a

a

a

a

a

#### Total

#### Commercial

#### Mortgage-Backed

#### Securities

#### (Cost

#### $

#### 3,119,285

####)
...............

#### 3,131,297

#### Mortgage-Backed

#### Securities

#### 4.1%

#### Federal

#### Home

#### Loan

#### Mortgage

#### Corp.
(FHLMC)

#### Fixed

#### Rate

#### 1.4%
FHLMC

Gold

Pool,

Year

,

4.5 %,

1/01/49

................

United

States

263,115

262,455

FHLMC

Pool,

Year

,

1.5 %,

12/01/36

....................

United

States

384,766

348,613

FHLMC

Pool,

Year

,

%,

4/01/37

......................

United

States

157,476

145,976

FHLMC

Pool,

Year

,

%,

8/01/34

......................

United

States

25,983

25,226

FHLMC

Pool,

Year

,

4.5 %,

10/01/40

....................

United

States

96,233

96,319

FHLMC

Pool,

Year

,

%,

10/01/51

-

8/01/52

..............

United

States

2,151,478

1,747,091

FHLMC

Pool,

Year

,

2.5 %,

4/01/52

.....................

United

States

425,555

364,078

FHLMC

Pool,

Year

,

%,

3/01/50

-

5/01/52

...............

United

States

565,960

506,871

FHLMC

Pool,

Year

,

3.5 %,

4/01/50

.....................

United

States

991,561

929,878

FHLMC

Pool,

Year

,

%,

5/01/47

-

1/01/54

...............

United

States

974,694

934,650

FHLMC

Pool,

Year

,

4.5 %,

10/01/48

....................

United

States

275,386

273,865

FHLMC

Pool,

Year

,

%,

10/01/52

-

2/01/53

..............

United

States

1,169,357

1,171,594

FHLMC

Pool,

Year

,

5.5 %,

3/01/55

.....................

United

States

1,023,582

1,047,701

7,854,317

#### Federal

#### National

#### Mortgage

#### Association
(FNMA)

#### Fixed

#### Rate

#### 1.4%
FNMA,

Year

,

%,

8/01/36

-

12/01/36

...................

United

States

379,616

351,750

FNMA,

Year

,

2.5 %,

7/01/37

.........................

United

States

185,784

176,343

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Mortgage-Backed

#### Securities
(continued)

#### Federal

#### National

#### Mortgage

#### Association
(FNMA)

#### Fixed

#### Rate
(continued)

FNMA,

Year

,

%,

8/01/39

...........................

United

States

204,372

$

207,138

FNMA,

Year

,

%,

5/01/51

-

10/01/51

...................

United

States

2,020,777

1,644,818

FNMA,

Year

,

2.5 %,

10/01/51

-

3/01/52

.................

United

States

2,594,569

2,211,827

FNMA,

Year

,

%,

9/01/50

-

9/01/51

....................

United

States

1,016,638

907,186

FNMA,

Year

,

3.5 %,

6/01/49

.........................

United

States

110,334

104,077

FNMA,

Year

,

%,

2/01/49

...........................

United

States

45,014

43,752

FNMA,

Year

,

4.5 %,

2/01/50

-

11/01/52

.................

United

States

258,952

255,662

FNMA,

Year

,

%,

8/01/53

-

6/01/54

....................

United

States

1,279,782

1,326,540

FNMA,

Year

,

6.5 %,

8/01/55

.........................

United

States

388,754

406,390

7,635,483

#### Government

#### National

#### Mortgage

#### Association
(GNMA)

#### Fixed

#### Rate

#### 1.3%
GNMA

II,

Single-family,

Year

,

%,

10/20/50

-

8/20/51

......

United

States

811,058

672,522

GNMA

II,

Single-family,

Year

,

2.5 %,

4/20/50

-

6/20/52

......

United

States

870,408

751,855

GNMA

II,

Single-family,

Year

,

%,

8/20/47

-

11/20/51

.......

United

States

614,609

554,468

GNMA

II,

Single-family,

Year

,

3.5 %,

5/20/52

-

6/20/55

......

United

States

606,527

555,248

GNMA

II,

Single-family,

Year

,

%,

11/20/52

..............

United

States

396,604

377,492

GNMA

II,

Single-family,

Year

,

4.5 %,

5/20/53

.............

United

States

437,101

428,353

GNMA

II,

Single-family,

Year

,

%,

7/20/53

-

10/20/54

......

United

States

651,681

652,338

GNMA

II,

Single-family,

Year

,

5.5 %,

5/20/53

-

11/20/54

.....

United

States

684,675

693,747

GNMA

II,

Single-family,

Year

,

%,

8/20/53

-

7/20/55

.......

United

States

2,189,156

2,236,568

6,922,591

#### Total

#### Mortgage-Backed

#### Securities

#### (Cost

#### $

#### 23,474,584

####)
..........................

#### 22,412,391

#### Municipal

#### Bonds

#### 0.1%

#### California

#### 0.1%
Golden

State

Tobacco

Securitization

Corp.

,

Revenue

,

2021

,

Refunding

,

3.85 %

,

6/01/50

...........................

United

States

310,000

283,483

San

Bernardino

Community

College

District

,

GO

,

2021

,

Refunding

,

2.856 %

,

8/01/49

..........................

United

States

285,000

189,538

473,021

#### Ohio

#### 0.0%

#### †
Greenville

City

School

District

,

GO

,

2019

,

Refunding

,

3.541 %

,

1/01/51

.........................................

United

States

160,000

123,572

#### Total

#### Municipal

#### Bonds

#### (Cost

#### $

#### 742,267

####)
.......................................

#### 596,593

#### Total

#### Long

#### Term

#### Investments

#### (Cost

#### $

#### 412,208,922

####)
.............................

#### 530,671,023

#### a

#### Short

#### Term

#### Investments

#### 2.8%
a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

a

#### a
a

#### Foreign

#### Government

#### and

#### Agency

#### Securities

#### 0.0%

#### †
l

Egypt

Treasury

Bills

,

.16

%

,

2/03/26

...................................

Egypt

7,700,000

EGP

158,263

.84

%

,

4/21/26

...................................

Egypt

10,200,000

EGP

199,767

358,030

#### Total

#### Foreign

#### Government

#### and

#### Agency

#### Securities

#### (Cost

#### $

#### 354,742

####)
..............

#### 358,030
Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Short

#### Term

#### Investments
(continued)

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Money

#### Market

#### Funds

#### 2.8%
m,n

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

.........................................

United

States

10,913,142

$

10,913,142

n

JPMorgan

100%

U.S.

Treasury

Securities

Money

Market

Fund

,

Class

Institutional

,

3.611 %

...........................

United

States

4,330,989

4,330,989

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $

#### 15,244,131

####)
................................

#### 15,244,131

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $

#### 15,598,873

####)
..............................

#### 15,602,161

#### a

#### Total

#### Investments

#### (Cost

#### $

#### 427,807,795

####)
99.0 #### %
.................................

#### $546,273,184

#### Other

#### Assets,

#### less

#### Liabilities
1.0 #### %
...........................................

#### 5,637,659

#### Net

#### Assets

#### 100.0%

#### .........................................................

#### $551,910,843

#### a
\*

The

principal

amount

is

stated

in

U.S.

dollars

unless

otherwise

indicated.

†

Rounds

to

less

than

0.1%

of

net

assets.

a

Non-income

producing.

b

Variable

interest

entity

(VIE).

See

Note

regarding

investments

made

through

a

VIE

structure.

At

December

31,

2025,

the

aggregate

value

of

these

securities

was

$1,440,208,

representing

0.3%

of

net

assets.

c

Security

was

purchased

pursuant

to

Rule

144A

or

Regulation

S

under

the

Securities

Act

of

1933. 144A

securities

may

be

sold

in

transactions

exempt

from

registration

only

to

qualified

institutional

buyers

or

in

a

public

offering

registered

under

the

Securities

Act

of

1933. Regulation

S

securities

cannot

be

sold

in

the

United

States

without

either

an

effective

registration

statement

filed

pursuant

to

the

Securities

Act

of

1933,

or

pursuant

to

an

exemption

from

registration.

At

December

31,

2025,

the

aggregate

value

of

these

securities

was

$17,273,970,

representing

3.1%

of

net

assets.

d

Variable

rate

security.

The

rate

shown

represents

the

yield

at

period

end.

e

Perpetual

security

with

no

stated

maturity

date.

f

Principal

amount

is

stated

in

Mexican

Peso

Units.

g

Principal

amount

of

security,

redemption

price

at

maturity,

and/or

coupon

payments

are

adjusted

for

inflation.

See

Note

1(f).

h

The

coupon

rate

shown

represents

the

rate

at

period

end.

i

Adjustable

rate

security

with

an

interest

rate

that

is

not

based

on

a

published

reference

index

and

spread.

The

rate

is

based

on

the

structure

of

the

agreement

and

current

market

conditions.

The

coupon

rate

shown

represents

the

rate

at

period

end.

j

Investment

in

an

interest-only

security

entitles

holders

to

receive

only

the

interest

payment

on

the

underlying

instruments.

The

principal

amount

shown

is

the

notional

amount

of

the

underlying

instruments.

k

The

coupon

rate

shown

represents

the

rate

inclusive

of

any

caps

or

floors,

if

applicable,

in

effect

at

period

end.

l

The

rate

shown

represents

the

yield

at

period

end.

m

See

Note

3(e)

regarding

investments

in

affiliated

management

investment

companies.

n

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

At

December

31,

2025

,

the

Fund

had

the

following futures

contracts

outstanding.

See

Note

1(d)

.

#### Futures

#### Contracts

#### Description

#### Type

#### Number

#### of

#### Contracts

#### Notional

#### Amount

#### \*

#### Expiration

#### Date

#### Value/

#### Unrealized

#### Appreciation
(Depreciation)

#### Equity

#### contracts
S&P

500

E-Mini

Index

.........................

Long

$

16,197,375

3/20/26

$

(1,419)

#### Interest

#### rate

#### contracts
U.S.

Treasury

Year

Notes

....................

Short

12,368,125

3/20/26

89,197

U.S.

Treasury

Year

Notes

....................

Long

3,035,812

3/20/26

(13,491)

U.S.

Treasury

Year

Ultra

Notes

................

Long

2,645,359

3/20/26

(21,439)

U.S.

Treasury

Year

Notes

.....................

Long

3,758,203

3/31/26

(1,197)

U.S.

Treasury

Year

Notes

.....................

Long

2,404,703

3/31/26

(8,145)

U.S.

Treasury

Long

Bonds

.....................

Long

115,594

3/20/26

(1,572)

Total

Futures

Contracts

......................................................................

$41,934

\*

As

of

period

end.

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

At

December

31,

2025,

the

Fund

had

the

following

forward

exchange

contracts

outstanding.

See

Note

1(d).

#### Forward

#### Exchange

#### Contracts

#### Currency

#### Counter-

#### party

#### a

#### Type

#### Quantity

#### Contract

#### Amount

#### \*

#### Settlement

#### Date

#### Unrealized

#### Appreciation

#### Unrealized

#### Depreciation

#### a

#### OTC

#### Forward

#### Exchange

#### Contracts
British

Pound

......

HSBK

Buy

940,000

1,236,911

1/16/26

$

30,146

$

—

British

Pound

......

HSBK

Sell

1,960,000

2,631,874

1/16/26

—

(10,077)

British

Pound

......

MSCO

Sell

290,000

381,062

1/16/26

—

(9,838)

Japanese

Yen

......

CITI

Buy

409,000,000

2,795,979

1/16/26

—

(182,239)

Japanese

Yen

......

CITI

Sell

218,000,000

1,392,504

1/16/26

2,236

(2,875)

Japanese

Yen

......

JPHQ

Sell

33,000,000

215,027

1/16/26

4,139

—

South

Korean

Won

..

CITI

Buy

790,000,000

560,602

1/21/26

—

(13,195)

South

Korean

Won

..

CITI

Sell

230,000,000

157,399

1/21/26

—

(1,972)

Chilean

Peso

......

HSBK

Buy

330,000,000

347,954

1/22/26

18,680

—

Canadian

Dollar

....

CITI

Buy

1,530,000

1,098,038

1/23/26

17,615

—

Canadian

Dollar

....

GSCO

Buy

640,000

459,717

1/23/26

6,961

—

Canadian

Dollar

....

GSCO

Sell

790,000

567,696

1/23/26

—

(8,360)

Canadian

Dollar

....

WFLA

Sell

260,000

186,094

1/23/26

—

(3,494)

Euro

.............

CITI

Buy

490,000

567,932

2/06/26

8,813

—

Euro

.............

JPHQ

Buy

1,370,000

1,599,988

2/06/26

12,543

—

South

Korean

Won

..

CITI

Buy

1,790,000,000

1,255,876

2/10/26

—

(14,726)

South

Korean

Won

..

CITI

Sell

500,000,000

340,507

2/10/26

—

(6,183)

Mexican

Peso

......

CITI

Buy

6,300,000

338,690

2/13/26

9,828

—

Mexican

Peso

......

CITI

Sell

13,300,000

714,270

2/13/26

—

(21,490)

Chilean

Peso

......

HSBK

Buy

330,000,000

350,084

2/26/26

16,805

—

New

Zealand

Dollar

.

GSCO

Buy

1,000,000

578,110

2/27/26

—

(1,175)

Australian

Dollar

....

UBSW

Buy

200,000

132,796

3/13/26

688

—

Norwegian

Krone

...

CITI

Buy

3,400,000

337,858

3/16/26

—

(631)

Columbian

Peso

....

BZWS

Sell

1,440,000,000

365,960

3/19/26

—

(5,944)

Egyptian

Pound

....

MSCO

Buy

12,100,000

223,515

6/02/26

17,528

—

Total

Forward

Exchange

Contracts

...................................................

$145,982

$(282,199)

Net

unrealized

appreciation

(depreciation)

............................................

$(136,217)

a

May

be

comprised

of

multiple

contracts

with

the

same

counterparty,

currency

and

settlement

date.

\*

In

U.S.

dollars

unless

otherwise

indicated.

See

Note

regarding

other

derivative

information.

See

Abbreviations

on

.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Assets

and

Liabilities

December

31,

2025

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Allocation

#### VIP

#### Fund
Assets:

Investments

in

securities:

Cost

-

Unaffiliated

issuers

...................................................................

$416,894,653

Cost

-

Non-controlled

affiliates

(Note

e)

........................................................

10,913,142

Value

-

Unaffiliated

issuers

..................................................................

$535,360,042

Value

-

Non-controlled

affiliates

(Note

e)

.......................................................

10,913,142

Cash

....................................................................................

146,727

Receivables:

Investment

securities

sold

...................................................................

2,910,081

Capital

shares

sold

........................................................................

92,577

Dividends

and

interest

.....................................................................

2,187,875

European

Union

tax

reclaims

(Note

e)

.........................................................

59,063

Deposits

with

brokers

for:

Futures

contracts

........................................................................

1,422,106

Unrealized

appreciation

on

OTC

forward

exchange

contracts

..........................................

145,982

Total

assets

..........................................................................

553,237,595

Liabilities:

Payables:

Investment

securities

purchased

..............................................................

176,848

Capital

shares

redeemed

...................................................................

180,335

Management

fees

.........................................................................

203,939

Distribution

fees

..........................................................................

147,405

Professional

fees

.........................................................................

112,839

Trustees'

fees

and

expenses

.................................................................

Variation

margin

on

futures

contracts

...........................................................

114,037

Unrealized

depreciation

on

OTC

forward

exchange

contracts

..........................................

282,199

Deferred

taxes

on

unrealized

appreciation

........................................................

60,800

Accrued

expenses

and

other

liabilities

...........................................................

48,336

Total

liabilities

.........................................................................

1,326,752

Net

assets,

at

value

.................................................................

$551,910,843

Net

assets

consist

of:

Paid-in

capital

.............................................................................

$407,816,862

Total

distributable

earnings

(losses)

.............................................................

144,093,981

Net

assets,

at

value

.................................................................

$551,910,843

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Assets

and

Liabilities

(continued)

December

31,

2025

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Franklin

#### Allocation

#### VIP

#### Fund

#### Class

#### 1:
Net

assets,

at

value

.......................................................................

$1,150,680

Shares

outstanding

........................................................................

205,635

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$5.60

#### Class

#### 2:
Net

assets,

at

value

.......................................................................

$200,975,649

Shares

outstanding

........................................................................

36,306,170

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$5.54

#### Class

#### 4:
Net

assets,

at

value

.......................................................................

$349,784,514

Shares

outstanding

........................................................................

60,497,863

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$5.78

a

Net

asset

value

per

share

may

not

recalculate

due

to

rounding.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Operations

for

the

year

ended

December

31,

2025

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Allocation

#### VIP

#### Fund
Investment

income:

Dividends:

(net

of

foreign

taxes

of

$251,367)

Unaffiliated

issuers

........................................................................

$5,479,022

Non-controlled

affiliates

(Note

e)

.............................................................

515,588

Interest:

(net

of

foreign

taxes

of

$6,612)

Unaffiliated

issuers

........................................................................

9,173,578

Other

income

(Note

e)

......................................................................

1,576

Total

investment

income

...................................................................

15,169,764

Expenses:

Management

fees

(Note

a)

...................................................................

3,034,497

Distribution

fees:

(Note

3c)

Class

................................................................................

507,777

Class

................................................................................

1,216,359

Custodian

fees

............................................................................

2,480

Reports

to

shareholders

fees

..................................................................

19,477

Professional

fees

...........................................................................

177,185

Trustees'

fees

and

expenses

..................................................................

6,278

Other

....................................................................................

132,912

Total

expenses

.........................................................................

5,096,965

Expenses

waived/paid

by

affiliates

(Note

e

and

f)

..............................................

(274,234)

Net

expenses

.........................................................................

4,822,731

Net

investment

income

................................................................

10,347,033

Realized

and

unrealized

gains

(losses):

Net

realized

gain

(loss)

from:

Investments:

(net

of

foreign

taxes

of

$18,874)

Unaffiliated

issuers

......................................................................

22,190,194

Foreign

currency

transactions

................................................................

(6,728)

Forward

exchange

contracts

.................................................................

(59,489)

Futures

contracts

.........................................................................

(1,330,292)

Swap

contracts

...........................................................................

(4,015)

Net

realized

gain

(loss)

..................................................................

20,789,670

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments:

Unaffiliated

issuers

......................................................................

33,267,851

Translation

of

other

assets

and

liabilities

denominated

in

foreign

currencies

..............................

43,032

Forward

exchange

contracts

.................................................................

190,517

Futures

contracts

.........................................................................

356,206

Change

in

deferred

taxes

on

unrealized

appreciation

...............................................

(39,519)

Net

change

in

unrealized

appreciation

(depreciation)

............................................

33,818,087

Net

realized

and

unrealized

gain

(loss)

............................................................

54,607,757

Net

increase

(decrease)

in

net

assets

resulting

from

operations

..........................................

$64,954,790

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statements

of

Changes

in

Net

Assets

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Franklin

#### Allocation

#### VIP

#### Fund

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024
Increase

(decrease)

in

net

assets:

Operations:

Net

investment

income

.................................................

$10,347,033

$10,072,440

Net

realized

gain

(loss)

.................................................

20,789,670

27,917,421

Net

change

in

unrealized

appreciation

(depreciation)

...........................

33,818,087

12,009,104

Net

increase

(decrease)

in

net

assets

resulting

from

operations

................

64,954,790

49,998,965

Distributions

to

shareholders:

Class

.............................................................

(66,881)

(24,453)

Class

.............................................................

(12,249,745)

(4,459,886)

Class

.............................................................

(19,802,794)

(6,636,366)

Total

distributions

to

shareholders

..........................................

(32,119,420)

(11,120,705)

Capital

share

transactions:

(Note

2)

Class

.............................................................

18,367

203,661

Class

.............................................................

(18,457,859)

(29,429,959)

Class

.............................................................

(15,367,597)

(35,020,317)

Total

capital

share

transactions

............................................

(33,807,089)

(64,246,615)

Net

increase

(decrease)

in

net

assets

...................................

(971,719)

(25,368,355)

Net

assets:

Beginning

of

year

.......................................................

552,882,562

578,250,917

End

of

year

...........................................................

$551,910,843

$552,882,562

Franklin

Templeton

Variable

Insurance

Products

Trust

franklintempleton.com

Annual

Report

Notes

to

Financial

Statements

#### Franklin

#### Allocation

#### VIP

#### Fund
1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
Franklin

Templeton

Variable

Insurance

Products

Trust

(Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-end

management

investment

company,

consisting

of seventeen separate

funds.

The Trust

follows the

accounting

and

reporting

guidance

in

Financial

Accounting

Standards

Board

(FASB)

Accounting

Standards

Codification

Topic

946,

Financial

Services

–

Investment

Companies

(ASC

946)

and

applies

the

specialized

accounting

and

reporting

guidance

in

U.S.

Generally

Accepted

Accounting

Principles

(U.S.

GAAP),

including,

but

not

limited

to,

ASC

946. Franklin

Allocation

VIP

Fund

(Fund)

is

included

in

this

report.

Shares

of

the

Fund

are

generally

sold

only

to

insurance

company

separate

accounts

to

fund

the

benefits

of

variable

life

insurance

policies

or

variable

annuity

contracts. At

December

31,

2025,

47.9%

of

the

Fund's

shares

were

held

through

one

insurance

company.

Investment

activities

of

these

insurance

company

separate

accounts

could

have

a

material

impact

on

the

Fund.

The

Fund

offers three classes

of

shares:

Class

1,

Class

and

Class

4. Each

class

of

shares

may

differ

by

its

distribution

fees,

voting

rights

on

matters

affecting

a

single

class

and

its

exchange

privilege.

The

following

summarizes

the Fund's

significant

accounting

policies.

a. #### Financial

#### Instrument

#### Valuation
The

Fund's

investments

in

financial

instruments

are

carried

at

fair

value

daily.

Fair

value

is

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

market

participants

on

the

measurement

date.

The

Fund

calculates

the

net

asset

value

(NAV)

per

share

each business

day as

of

p.m.

Eastern

time

or

the

regularly

scheduled

close

of

the

New

York

Stock

Exchange

(NYSE),

whichever

is

earlier.

Under

compliance

policies

and

procedures

approved

by

the Trust's

Board

of

Trustees

(the

Board),

the

Board

has

designated

the

Fund's

investment

manager

as

the

valuation

designee

and

has

responsibility

for

oversight

of

valuation.

The

investment

manager

is

assisted

by

the

Fund's

administrator

in

performing

this

responsibility,

including

leading

the

cross-

functional

Valuation

Committee

(VC).

The

Fund

may

utilize

independent

pricing

services,

quotations

from

securities

and

financial

instrument

dealers,

and

other

market

sources

to

determine

fair

value.

Equity

securities

and

derivative

financial instruments listed

on

an

exchange

or

on

the

NASDAQ

National

Market

System

are

valued

at

the

last

quoted

sale

price

or

the

official

closing

price of

the

day,

respectively. Foreign

equity

securities

are

valued

as

of

the

close

of

trading

on

the

foreign

stock

exchange

on

which

the

security

is

primarily

traded,

or

as

of

p.m.

Eastern

time.

The

value

is

then

converted

into

its

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

p.m.

Eastern

time

on

the

day

that

the

value

of

the

security

is

determined.

Over-the-counter

(OTC)

securities

are

valued

within

the

range

of

the

most

recent

quoted

bid

and

ask

prices.

Securities

that

trade

in

multiple

markets

or

on

multiple

exchanges

are

valued

according

to

the

broadest

and

most

representative

market.

Certain

equity

securities

are

valued

based

upon

fundamental

characteristics

or

relationships

to

similar

securities.

Debt

securities

generally

trade

in

the OTC

market

rather

than

on

a

securities

exchange.

The

Fund's

pricing

services

use

multiple

valuation

techniques

to

determine

fair

value.

In

instances

where

sufficient

market

activity

exists,

the

pricing

services

may

utilize

a

market-based

approach

through

which

quotes

from

market

makers

are

used

to

determine

fair

value.

In

instances

where

sufficient

market

activity

may

not

exist

or

is

limited,

the

pricing

services

also

utilize

proprietary

valuation

models

which

may

consider

market

characteristics

such

as

benchmark

yield

curves,

credit

spreads,

estimated

default

rates,

anticipated

market

interest

rate

volatility,

coupon

rates,

anticipated

timing

of

principal

repayments,

underlying

collateral,

and

other

unique

security

features

in

order

to

estimate

the

relevant

cash

flows,

which

are

then

discounted

to

calculate

the

fair

value.

Securities

denominated

in

a

foreign

currency

are

converted

into

their

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

p.m.

Eastern

time

on

the

date

that

the

values

of

the

foreign

debt

securities

are

determined.

Investments

in open-end mutual

funds

are

valued

at

the

closing

NAV.

Certain

derivative

financial

instruments

are

centrally

cleared

or

trade

in

the

OTC

market.

The

Fund's

pricing

services

use

various

techniques

including

industry

standard

option

pricing

models

and

proprietary

discounted

cash

flow

models

to

determine

the

fair

value

of

those

instruments.

The

Fund's

net

benefit

or

obligation

under

the

derivative

contract,

as

measured

by

the

fair

value

of

the

contract,

is

included

in

net

assets.

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

The

Fund

has

procedures

to

determine

the

fair

value

of

financial

instruments

for

which

market

prices

are

not

reliable

or

readily

available.

Under

these

procedures,

the Fund

primarily

employs

a

market-based

approach

which

may

use

related

or

comparable

assets

or

liabilities,

recent

transactions,

market

multiples,

and

other

relevant

information

for

the

investment

to

determine

the

fair

value

of

the

investment.

An

income-based

valuation

approach

may

also

be

used

in

which

the

anticipated

future

cash

flows

of

the

investment

are

discounted

to

calculate

fair

value.

Discounts

may

also

be

applied

due

to

the

nature

or

duration

of

any

restrictions

on

the

disposition

of

the

investments.

Due

to

the

inherent

uncertainty

of

valuations

of

such

investments,

the

fair

values

may

differ

significantly

from

the

values

that

would

have

been

used

had

an

active

market

existed.

Trading

in

securities

on

foreign

securities

stock

exchanges

and

OTC

markets

may

be

completed

before

p.m.

Eastern

time.

In

addition,

trading

in

certain

foreign

markets

may

not

take

place

on

every

Fund's

business

day. Events

can occur

between

the

time

at

which

trading

in

a

foreign

security

is

completed

and

p.m.

Eastern

time

that

might

call

into

question

the

reliability

of

the

value

of

a

portfolio

security

held

by

the

Fund.

As

a

result,

differences

may

arise

between

the

value

of

the

Fund's

portfolio

securities

as

determined

at

the

foreign

market

close

and

the

latest

indications

of

value

at

p.m.

Eastern

time. In

order

to

minimize

the

potential

for

these

differences,

an

independent

pricing

service

may

be

used

to

adjust

the

value

of

the

Fund's

portfolio

securities

to

the

latest

indications

of

fair

value

at

p.m.

Eastern

time.

At

December

31,

2025,

certain

securities

may

have

been

fair

valued

using

these

procedures,

in

which

case

the

securities

were

categorized

as

Level

within

the

fair

value

hierarchy

(referred

to

as

"market

level

fair

value").

See

the

Fair

Value

Measurements

note

for

more

information.

When

the

last

day

of

the

reporting

period

is

a

non-business

day,

certain

foreign

markets

may

be

open

on

those

days

that

the

Fund's

NAV

is

not

calculated,

which

could

result

in

differences

between

the

value

of

the

Fund's

portfolio

securities

on

the

last

business

day

and

the

last

calendar

day

of

the

reporting

period.

Any

security

valuation

changes

due

to

an

open

foreign

market

are

adjusted

and

reflected

by

the

Fund

for

financial

reporting

purposes.

b. #### Foreign

#### Currency

#### Translation
Portfolio

securities

and

other

assets

and

liabilities

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

based

on

the

exchange

rate

of

such

currencies

against

U.S.

dollars

on

the

date

of

valuation.

The

Fund

may

enter

into

foreign

currency

exchange

contracts

to

facilitate

transactions

denominated

in

a

foreign

currency.

Purchases

and

sales

of

securities,

income

and

expense

items

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

at

the

exchange

rate

in

effect

on

the

transaction

date.

Portfolio

securities

and

assets

and

liabilities

denominated

in

foreign

currencies

contain

risks

that

those

currencies

will

decline

in

value

relative

to

the

U.S.

dollar.

Occasionally,

events

may

impact

the

availability

or

reliability

of

foreign

exchange

rates

used

to

convert

the

U.S.

dollar

equivalent

value.

If

such

an

event

occurs,

the

foreign

exchange

rate

will

be

valued

at

fair

value

using

procedures

established

and

approved

by

the

Board.

The

Fund

does

not

separately

report

the

effect

of

changes

in

foreign

exchange

rates

from

changes

in

market

prices

on

securities

held.

Such

changes

are

included

in

net

realized

and

unrealized

gain

or

loss

from

investments

in

the

Statement of

Operations.

Realized

foreign

exchange

gains

or

losses

arise

from

sales

of

foreign

currencies,

currency

gains

or

losses

realized

between

the

trade

and

settlement

dates

on

securities

transactions

and

the

difference

between

the

recorded

amounts

of

dividends,

interest,

and

foreign

withholding

taxes

and

the

U.S.

dollar

equivalent

of

the

amounts

actually

received

or

paid.

Net

unrealized

foreign

exchange

gains

and

losses

arise

from

changes

in

foreign

exchange

rates

on

foreign

denominated

assets

and

liabilities

other

than

investments

in

securities

held

at

the

end

of

the

reporting

period.

c. #### Securities

#### Purchased

#### on

#### a

#### When-Issued,

#### Forward

#### Commitment or

#### Delayed

#### Delivery

#### Basis
The

Fund

may

purchase

securities

on

a when-issued,

forward

commitment

or

delayed

delivery basis,

with

payment

and

delivery

scheduled

for

a

future

date.

These

transactions

are

subject

to

market

fluctuations

and

are

subject

to

the

risk

that

the

value

at

delivery

may

be

more

or

less

than

the

trade

date

purchase

price.

Although

the

Fund

will

generally

purchase

these

securities

with

the

intention

of

holding

the

securities, it

may

sell

the

securities

before

the

settlement

date.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

a. #### Financial

#### Instrument

#### Valuation
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

d. #### Derivative

#### Financial

#### Instruments
The

Fund invested

in

derivative

financial

instruments

in

order

to

manage

risk

or

gain

exposure

to

various

other

investments

or

markets.

Derivatives

are

financial

contracts

based

on

an

underlying

or

notional

amount,

require

no

initial

investment

or

an

initial

net

investment

that

is

smaller

than

would

normally

be

required

to

have

a

similar

response

to

changes

in

market

factors,

and

require

or

permit

net

settlement.

Derivatives

contain

various

risks

including

the

potential

inability

of

the

counterparty

to

fulfill

their

obligations

under

the

terms

of

the

contract,

the

potential

for

an

illiquid

secondary

market,

and/or

the

potential

for

market

movements

which

expose

the

Fund

to

gains

or

losses

in

excess

of

the

amounts

shown

in

the

Statement

of

Assets

and

Liabilities.

Realized

gain

and

loss

and

unrealized

appreciation

and

depreciation

on

these

contracts

for

the

period

are

included

in

the

Statement

of

Operations.

Derivative

counterparty

credit

risk

is

managed

through

a

formal

evaluation

of

the

creditworthiness

of

all

potential

counterparties.

The

Fund

attempts

to

reduce

its

exposure

to

counterparty

credit

risk

on

OTC

derivatives,

whenever

possible,

by

entering

into

International

Swaps

and

Derivatives

Association

(ISDA)

master

agreements

with

certain

counterparties.

These

agreements

contain

various

provisions,

including

but

not

limited

to

collateral

requirements,

events

of

default,

or

early

termination.

Termination

events

applicable

to

the

counterparty

include

certain

deteriorations

in

the

credit

quality

of

the

counterparty.

Termination

events

applicable

to

the

Fund

include

failure

of

the

Fund

to

maintain

certain

net

asset

levels

and/or

limit

the

decline

in

net

assets

over

various

periods

of

time.

In

the

event

of

default

or

early

termination,

the

ISDA

master

agreement

gives

the

non-defaulting

party

the

right

to

net

and

close-out

all

transactions

traded,

whether

or

not

arising

under

the

ISDA

agreement,

to

one

net

amount

payable

by

one

counterparty

to

the

other.

However,

absent

an

event

of

default

or

early

termination,

OTC

derivative

assets

and

liabilities

are

presented

gross

and

not

offset

in

the

Statement

of

Assets

and

Liabilities.

Early

termination

by

the

counterparty

may

result

in

an

immediate

payment

by

the

Fund

of

any

net

liability

owed

to

that

counterparty

under

the

ISDA

agreement.

At

December

31,

2025,

the

Fund

had

OTC

derivatives

in

a

net

liability

position

of

$216,831.

Collateral

requirements

differ

by

type

of

derivative.

Collateral

or

initial

margin

requirements

are

set

by

the

broker

or

exchange

clearing

house

for

exchange

traded

and

centrally

cleared

derivatives.

Initial

margin

deposited

is

held

at

the

exchange

or

at

the

broker and

can

be

in

the

form

of

cash

and/or

securities.

For

OTC

derivatives

traded

under

an

ISDA

master

agreement,

posting

of

collateral

is

required

by

either

the

Fund

or

the

applicable

counterparty

if

the

total

net

exposure

of

all

OTC

derivatives

with

the

applicable

counterparty

exceeds

the

minimum

transfer

amount,

which

typically

ranges

from

$100,000

to

$250,000,

and

can

vary

depending

on

the

counterparty

and

the

type

of agreement.

Generally,

collateral

is

determined

at

the

close

of

Fund

business

each

day

and

any

additional

collateral

required

due

to

changes

in

derivative

values

may

be

delivered

by

the

Fund

or

the

counterparty

the

next

business

day,

or

within

a

few

business

days.

Collateral

pledged

and/or

received

by

the

Fund

for

OTC

derivatives,

if

any,

is

held

in

segregated

accounts

with

the

Fund's

custodian/counterparty

broker

and

can

be

in

the

form

of

cash

and/or

securities.

Unrestricted

cash

may

be

invested

according

to

the

Fund's

investment

objectives.

To

the

extent

that

the

amounts

due

to

the

Fund

from

its

counterparties

are

not

subject

to

collateralization

or

are

not

fully

collateralized,

the

Fund

bears

the

risk

of

loss

from

counterparty

non-performance.

The

Fund

entered

into

exchange

traded

futures

contracts

primarily

to

manage

and/or

gain

exposure

to

interest

rate

and

equity

price

risk.

A

futures

contract

is

an

agreement

between

the

Fund

and

a

counterparty

to

buy

or

sell

an

asset

at

a

specified

price

on

a

future

date.

Required

initial

margins

are

pledged

by

the

Fund,

and

the

daily

change

in

fair

value

is

accounted

for

as

a

variation

margin

payable

or

receivable

in

the

Statement

of

Assets

and

Liabilities.

Futures

contracts

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

The

Fund entered

into

OTC

forward

exchange

contracts

primarily

to

manage

and/or

gain exposure

to

certain

foreign

currencies.

A

forward

exchange

contract

is

an

agreement

between

the

Fund

and

a

counterparty

to

buy

or

sell

a

foreign

currency at

a

specific

exchange

rate

on

a

future

date.

Forward

exchange

contracts

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

The

Fund

entered

into

credit

default

swap

contracts

primarily

to

manage

and/or

gain

exposure

to

credit

risk.

A

credit

default

swap

is

an

agreement

between

the

Fund

and

a

counterparty

whereby

the

buyer

of

the

contract

receives

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

credit

protection

and

the

seller

of

the

contract

guarantees

the

credit

worthiness

of

a

referenced

debt

obligation.

These

agreements

may

be

privately

negotiated

in

the

over-the-

counter

market

(OTC

credit

default

swaps)

or

may

be

executed

in

a

multilateral

trade

facility

platform,

such

as

a

registered

exchange

(centrally

cleared

credit

default

swaps).

The

underlying

referenced

debt

obligation

may

be

a

single

issuer

of

corporate

or

sovereign

debt,

a

credit

index,

a

basket

of

issuers

or

indices,

or

a

tranche

of

a

credit

index

or

basket

of

issuers

or

indices.

In

the

event

of

a

default

of

the

underlying

referenced

debt

obligation,

the

buyer

is

entitled

to

receive

the

notional

amount

of

the

credit

default

swap

contract

from

the

seller

in

exchange

for

the

referenced

debt

obligation,

a

net

settlement

amount

equal

to

the

notional

amount

of

the

credit

default

swap

less

the

recovery

value

of

the

referenced

debt

obligation,

or

other

agreed

upon

amount.

For

centrally

cleared

credit

default

swaps,

required

initial

margins

are

pledged

by

the

Fund,

and

the

daily

change

in

fair

value

is

accounted

for

as

a

variation

margin

payable

or

receivable

in

the

Statement

of

Assets

and

Liabilities.

Over

the

term

of

the

contract,

the

buyer

pays

the

seller

a

periodic

stream

of

payments,

provided

that

no

event

of

default

has

occurred.

Such

periodic

payments

are

accrued

daily

as

an

unrealized

appreciation or

depreciation

until

the

payments

are

made,

at

which

time

they

are

realized.

Upfront

payments

and

receipts

are

reflected

in

the Statement

of

Assets

and

Liabilities

and

represent

compensating

factors

between

stated

terms

of

the

credit

default

swap

agreement

and

prevailing

market

conditions

(credit

spreads

and

other

relevant

factors).

These

upfront

payments

and

receipts

are

amortized

over

the

term

of

the

contract

as

a

realized

gain

or

loss

in

the Statement

of

Operations.

Credit

default

swap

contracts

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

See

Note

7 regarding

other

derivative

information.

e. #### Income

#### and

#### Deferred

#### Taxes
It

is the Fund's

policy

to

qualify

as

a

regulated

investment

company

under

the

Internal

Revenue

Code. The Fund

intends

to

distribute

to

shareholders

substantially

all

of

its

taxable

income

and

net

realized

gains

to

relieve

it

from

federal

income

and if

applicable,

excise

taxes.

As

a

result,

no

provision

for

U.S.

federal

income

taxes

is

required.

The

Fund

may

be

subject

to

foreign

taxation

related

to

income

received,

capital

gains

on

the

sale

of

securities

and

certain

foreign

currency

transactions

in

the

foreign

jurisdictions

in

which

it

invests.

Foreign

taxes,

if

any,

are

recorded

based

on

the

tax

regulations

and

rates

that

exist

in

the

foreign

markets

in

which

the

Fund

invests.

When

a

capital

gain

tax

is

determined

to

apply,

the

Fund

records

an

estimated

deferred

tax

liability

in

an

amount

that

would

be

payable

if

the

securities

were

disposed

of

on

the

valuation

date.

As

a

result

of

several

court

cases,

in

certain

countries

across

the

European

Union,

the

Fund

filed

additional

tax

reclaims

for

previously

withheld

taxes

on

dividends

earned

in

those

countries

(EU

reclaims). Income

recognized,

if

any,

for

EU

reclaims

is

reflected

as

other

income

in

the

Statement

of

Operations

and

any

related

receivable,

if

any,

is

reflected

as

European

Union

tax

reclaims

in

the

Statement

of

Assets

and

Liabilities.

Any

fees

associated

with

these

filings

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

When

uncertainty

exists

as

to

the

ultimate

resolution

of

these

proceedings,

the

likelihood

of

receipt

of

these

EU

reclaims,

and

the

potential

timing

of

payment,

no

amounts

are

reflected

in

the

financial

statements.

For

U.S.

income

tax

purposes,

when

EU

reclaims

are

received

by

the

Fund

and

the

Fund

previously

passed

foreign

tax

credit

on

to

its

shareholders,

the

Fund

will

enter

into

a

closing

agreement

with

the

Internal

Revenue

Service

(IRS)

in

order

to

pay

the

associated

tax

liability

on

behalf

of

the

Fund's

shareholders.

The Fund

may

recognize

an

income

tax

liability

related

to

its

uncertain

tax

positions

under

U.S.

GAAP

when

the

uncertain

tax

position

has

a

less

than

50%

probability

that

it

will

be

sustained

upon

examination

by

the

tax

authorities

based

on

its

technical

merits.

As

of

December

31,

2025, the Fund

has

determined

that

no

tax

liability

is

required

in

its

financial

statements

related

to

uncertain

tax

positions

for

any

open

tax

years

(or

expected

to

be

taken

in

future

tax

years).

The

Fund's

federal

and

state

income

and

federal

excise

tax

returns

for

the

prior

three

fiscal

years

are

subject

to

examination

by

the

Internal

Revenue

Service

and

state

departments

of

revenue.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

d. #### Derivative

#### Financial

#### Instruments
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

f. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
Security

transactions

are

accounted

for

on

trade

date.

Realized

gains

and

losses

on

security

transactions

are

determined

on

a

specific

identification

basis.

Interest

income

(including

interest

income

from

payment-in-kind

securities,

if

any)

and

estimated

expenses

are

accrued

daily.

Amortization

of

premium

and

accretion

of

discount

on

debt

securities

are

included

in

interest

income.

Paydown

gains

and

losses

are

recorded

as

an

adjustment

to

interest

income. Dividend

income

and

capital

gain

distributions

are

recorded

on

the

ex-dividend

date

except

for

certain

dividends

from securities

where

the

dividend

rate

is

not

available.

In

such

cases,

the

dividend

is

recorded

as

soon

as

the

information

is

received

by

the

Fund.

Distributions

to

shareholders

are

recorded

on

the ex-dividend

date.

Distributable

earnings

are

determined

according

to

income

tax

regulations

(tax

basis)

and

may

differ

from

earnings

recorded

in

accordance

with

U.S.

GAAP.

These

differences

may

be

permanent

or

temporary.

Permanent

differences

are

reclassified

among

capital

accounts

to

reflect

their

tax

character.

These

reclassifications

have

no

impact

on

net

assets

or

the

results

of

operations.

Temporary

differences

are

not

reclassified,

as

they

may

reverse

in

subsequent

periods.

Common

expenses

incurred

by

the

Trust

are

allocated

among

the

Funds

based

on

the

ratio

of

net

assets

of

each

Fund

to

the

combined

net

assets

of

the

Trust

or

based

on

the

ratio

of

number

of

shareholders

of

each

Fund

to

the

combined

number

of

shareholders

of

the

Trust.

Fund

specific

expenses

are

charged

directly

to

the

Fund

that

incurred

the

expense.

Realized

and

unrealized

gains

and

losses

and

net

investment

income,

excluding

class

specific

expenses,

are

allocated

daily

to

each

class

of

shares

based

upon

the

relative

proportion

of

net

assets

of

each

class.

Differences

in

per

share

distributions

by

class

are

generally

due

to

differences

in

class

specific

expenses.

Inflation-indexed

bonds

are

adjusted

for

inflation

through

periodic

increases

or

decreases

in

the

security's

interest

accruals,

face

amount,

or

principal

redemption

value,

by

amounts

corresponding

to

the

rate

of

inflation

as

measured

by

an

index.

Any

increase

or

decrease

in

the

face

amount

or

principal

redemption

value

will

be

included

as

interest

income

in

the

Statement

of

Operations.

g. #### Accounting

#### Estimates
The

preparation

of

financial

statements

in

accordance

with

U.S.

GAAP

requires

management

to

make

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

amounts

of

income

and

expenses

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

h. #### Guarantees

#### and

#### Indemnifications
Under

the Trust's

organizational

documents,

its

officers

and trustees

are

indemnified

by

the Trust against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Trust.

Additionally,

in

the

normal

course

of

business,

the Trust,

on

behalf

of

the

Fund, enters

into

contracts

with

service

providers

that

contain

general

indemnification

clauses.

The Trust's

maximum

exposure

under

these

arrangements

is

unknown

as

this

would

involve

future

claims

that

may

be

made

against

the Trust

that

have

not

yet

occurred.

Currently,

the Trust

expects

the

risk

of

loss

to

be

remote.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

2. #### Shares

#### of

#### Beneficial

#### Interest
At

December

31,

2025,

there

were

an

unlimited

number

of

shares

authorized

(without

par

value).

Transactions

in

the

Fund's

shares

were

as

follows:

3. #### Transactions

#### with

#### Affiliates
Franklin

Resources,

Inc.

is

the

holding

company

for

various

subsidiaries

that

together

are

referred

to

as

Franklin

Templeton.

Certain

officers

and trustees

of

the Fund are

also

officers

and/or directors

of

the

following

subsidiaries:

a. #### Management

#### Fees
The

Fund

pays

an

investment

management fee,

calculated

daily and

paid

monthly,

to

Advisers

of

0.55% per year

of

the average

daily net

assets

of

the

Fund.

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### 1

#### Shares:
Shares

sold

...................................

6,035

$32,606

63,490

$318,346

Shares

issued

in

reinvestment

of

distributions

..........

12,911

66,881

4,748

24,453

Shares

redeemed

...............................

(15,004)

(81,120)

(26,190)

(139,138)

Net

increase

(decrease)

..........................

3,942

$18,367

42,048

$203,661

#### Class

#### 2

#### Shares:
Shares

sold

...................................

957,405

$5,113,362

1,011,554

$5,234,190

Shares

issued

in

reinvestment

of

distributions

..........

2,387,865

12,249,745

872,776

4,459,886

Shares

redeemed

...............................

(6,693,564)

(35,820,966)

(7,591,966)

(39,124,035)

Net

increase

(decrease)

..........................

(3,348,294)

$(18,457,859)

(5,707,636)

$(29,429,959)

#### Class

#### 4

#### Shares:
Shares

sold

...................................

3,179,491

$17,697,232

2,535,598

$13,685,761

Shares

issued

in

reinvestment

of

distributions

..........

3,687,671

19,802,794

1,247,437

6,636,366

Shares

redeemed

...............................

(9,460,457)

(52,867,623)

(10,303,681)

(55,342,444)

Net

increase

(decrease)

..........................

(2,593,295)

$(15,367,597)

(6,520,646)

$(35,020,317)

#### Subsidiary

#### Affiliation
Franklin

Advisers,

Inc.

(Advisers)

Investment

manager

Brandywine

Global

Investment

Management,

LLC

(Brandywine)

Subadvisor

ClearBridge

Investments,

LLC

(ClearBridge)

Subadvisor

Franklin

Templeton

Institutional,

LLC

(FT

Institutional)

Subadvisor

Templeton

Global

Advisors

Limited

(Global

Advisors)

Subadvisor

Western

Asset

Management

Company,

LLC

(Western)

Subadvisor

Western

Asset

Management

Company,

Limited

(Western

London)

Subadvisor

Franklin

Templeton

Services,

LLC

(FT

Services)

Administrative

manager

Franklin

Distributors,

LLC

(Distributors)

Principal

underwriter

Franklin

Templeton

Investor

Services,

LLC

(Investor

Services)

Transfer

agent

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

Under

each

subadvisory

agreement,

the

below

entities

provide

subadvisory

services

to

the

Fund.

The

subadvisory

fees

are

paid

by

Advisers

and

are

not

an

additional

expense

of

the

Fund.

Each

subadvisor

is

compensated

for

managing

its

respective

portion

of

the

Fund's

average

daily

net

assets.

Effective

December

8,

2025,

the

subadvisory

agreement

was

terminated

for

Western

and

Western

London.

b. #### Administrative

#### Fees
Under

an

agreement

with

Advisers,

FT

Services

provides

administrative

services

to

the

Fund.

The

fee

is

paid

by Advisers

based

on

the Fund's

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Fund.

c. #### Distribution

#### Fees
The

Board

has

adopted distribution

plans

for

Class

2 and

Class

shares

pursuant

to

Rule

12b-1

under

the

1940

Act.

Under

the

Fund's

compensation

distribution

plans,

the

Fund

pays

Distributors

for

costs

incurred

in

connection

with

the

servicing,

sale

and

distribution

of

the

Fund's

shares

up

to

0.35%

per

year

of

its

average

daily

net

assets

of

each

class.

The

Board

has

agreed

to

limit

the

current

rate

to

0.25%

per

year

for

Class

2. The

plan

year,

for

purposes

of

monitoring

compliance

with

the

maximum

annual

plan

rates,

is

February

through

January

31. d. #### Transfer

#### Agent

#### Fees
Investor

Services,

under

terms

of

an

agreement,

performs

shareholder

servicing

for

the

Fund and

is

not

paid

by

the Fund

for

the

services.

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
The

Fund

invests

in

one

or

more

affiliated

management

investment

companies.

As

defined

in

the

1940

Act,

an

investment

is

deemed

to

be

a

"Controlled

Affiliate"

of

a

fund

when

a

fund

owns,

either

directly

or

indirectly,

25%

or

more

of

the

affiliated

fund's

outstanding

shares

or

has

the

power

to

exercise

control

over

management

or

policies

of

such

fund.

The

Fund

does

not

invest

for

purposes

of

exercising

a

controlling

influence

over

the

management

or

policies.

Management

fees

paid

by

the

Fund

are

waived

on

assets

invested

in

the

affiliated

management

investment

companies,

as

noted

in

the

Statement

of

Operations,

in

an

amount

not

to

exceed

the

management

and

administrative

fees,

if

applicable, paid

directly

or

indirectly

by

each

affiliate.

During

the

year

ended

December

31,

2025,

the

Fund

held

investments

in

affiliated

management

investment

companies

as

follows:

#### Subadvisors
Brandywine

ClearBridge

FT

Institutional

Global

Advisors

Western

Western

London

3. #### Transactions

#### with

#### Affiliates
(continued)

a. #### Management

#### Fees
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

f. #### Waiver

#### and

#### Expense

#### Reimbursements
Advisers

has contractually

agreed

in

advance

to

waive

or

limit

its fees

and

to

assume

as

its

own

expense

certain

expenses

otherwise

payable

by

the

Fund

so

that

the

operating expenses

(excluding

interest

expense,

distribution

fees,

and

certain

non-

routine

expenses

or

costs,

including

those

relating

to

litigation,

indemnification,

reorganizations,

and

liquidations)

and acquired

fund

fees

and

expenses

for

each

class

of

the

Fund

do

not

exceed 0.57%

based

on

the

average

net

assets

of

each

class

until April

30,

2026. Total

expenses

waived

or

paid

are

not

subject

to

recapture

subsequent

to

the

Fund's

fiscal

year

end.

g. #### Interfund

#### Transactions
The

Fund

engaged

in

purchases

and

sales

of

investments

with

funds

or

other

accounts

that

have

common

investment

managers

(or

affiliated

investment

managers),

directors,

trustees

or

officers.

During

the

year

ended

December

31,

2025,

these

purchase

and

sale

transactions

aggregated

$–

and

$5,315,

respectively,

with

net

realized

losses

of

$4,310.

4. #### Income

#### Taxes
The

tax

character

of

distributions

paid

during

the

years

ended

December

31,

2025

and

2024,

was

as

follows:

#### &nbsp;&nbsp;&nbsp;&nbsp;aa

#### Value

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### Sales

#### Realized

#### Gain
(Loss)

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### Value

#### at

#### End

#### of

#### Year

#### Number

#### of

#### Shares

#### Held

#### at

#### End

#### of

#### Year

#### Investment

#### Income

#### a&nbsp;&nbsp;&nbsp;&nbsp;

#### a

#### Franklin

#### Allocation

#### VIP

#### Fund

#### Non-Controlled

#### Affiliates
Dividends

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$11,584,327

$84,432,518

$(85,103,703)

$—

$—

$10,913,142

10,913,142

$515,588

#### Total

#### Affiliated

#### Securities

#### ...
$11,584,327

$84,432,518

$(85,103,703)

$—

$—

$10,913,142

$515,588

#### 2025

#### 2024
Distributions

paid

from:

Ordinary

income

..........................................................

$13,787,938

$11,120,705

Long

term

capital

gain

......................................................

18,331,482

—

$32,119,420

$11,120,705

3. #### Transactions

#### with

#### Affiliates
(continued)

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

At

December

31,

2025,

the

cost

of

investments,

net

unrealized

appreciation

(depreciation),

undistributed

ordinary

income

and

undistributed

long

term

capital

gains for

income

tax

purposes

were

as

follows:

Differences

between

income

and/or

capital

gains

as

determined

on

a

book

basis

and

a

tax

basis

are

primarily

due

to

differing

treatments

of

wash

sales,

passive

foreign

investment

company

shares,

pass-through

entity

income

and

bond

discounts

and

premiums.

5. #### Investment

#### Transactions
Purchases

and

sales

of

investments (excluding

short

term

securities) for

the

year

ended

December

31,

2025,

aggregated

$222,924,111 and

$284,283,128,

respectively.

6. #### Concentration

#### of

#### Risk
Certain

investments

in

Chinese

companies

are

made

through

a

special

structure

known

as

a

VIE.

In

a

VIE

structure,

foreign

investors,

such

as

the

Fund,

will

only

own

stock

in

a

shell

company

rather

than

directly

in

the

VIE,

which

must

be

owned

by

Chinese

nationals

(and/or

Chinese

companies)

to

obtain

the

licenses

and/or

assets

required

to

operate

in

a

restricted

or

prohibited

sector

in

China.

The

value

of

the

shell

company

is

derived

from

its

ability

to

consolidate

the

VIE

into

its

financials

pursuant

to

contractual

arrangements

that

allow

the

shell

company

to

exert

a

degree

of

control

over,

and

obtain

economic

benefits

arising

from,

the

VIE

without

formal

legal

ownership.

While

VIEs

are

a

longstanding

industry

practice

and

are

well

known

by

Chinese

officials

and

regulators,

the

structure

historically

has

not

been

formally

recognized

under

Chinese

law

and

it

is

uncertain

whether

Chinese

officials

or

regulators

will

withdraw

their

implicit

acceptance

of

the

structure.

It

is

also

uncertain

whether

the

contractual

arrangements,

which

may

be

subject

to

conflicts

of

interest

between

the

legal

owners

of

the

VIE

and

foreign

investors,

would

be

enforced

by

Chinese

courts

or

arbitration

bodies.

Prohibitions

of

these

structures

by

the

Chinese

government,

or

the

inability

to

enforce

such

contracts,

from

which

the

shell

company

derives

its

value,

would

likely

cause

the

VIE-structured

holding(s)

to

suffer

significant,

detrimental,

and

possibly

permanent

losses,

and

in

turn,

adversely

affect

the

Fund's

returns

and

net

asset

value.

Cost

of

investments

..........................................................................

$434,025,006

Unrealized

appreciation

........................................................................

$132,409,106

Unrealized

depreciation

........................................................................

(20,255,211)

Net

unrealized

appreciation

(depreciation)

..........................................................

$112,153,895

Distributable

earnings:

Undistributed

ordinary

income

...................................................................

$11,099,839

Undistributed

long

term

capital

gains

..............................................................

20,795,732

Total

distributable

earnings

.....................................................................

$31,895,571

4. #### Income

#### Taxes
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

7. #### Other

#### Derivative

#### Information
At

December

31,

2025,

investments

in

derivative

contracts

are

reflected

in

the Statement of

Assets

and

Liabilities

as

follows:

For

the

year

ended

December

31,

2025,

the

effect

of

derivative

contracts

in

the Statement

of

Operations

was

as

follows:

For

the

year

ended

December

31,

2025,

the

average

month

end

notional

amount

of

futures

contracts

and

swap

contracts

represented

$32,468,036

and

$68,462,

respectively.

The

average

month

end

contract

value

of

forward

exchange

contracts

was

$17,821,975.

See

Note

1(d) regarding

derivative

financial

instruments.

#### Asset

#### Derivatives

#### Liability

#### Derivatives

#### Derivative

#### Contracts

#### Not

#### Accounted

#### for

#### as

#### Hedging

#### Instruments

#### Statement

#### of

#### Assets

#### and

#### Liabilities

#### Location

#### Fair

#### Value

#### Statement

#### of

#### Assets

#### and

#### Liabilities

#### Location

#### Fair

#### Value

#### Franklin

#### Allocation

#### VIP

#### Fund
Interest

rate

contracts

.......

Variation

margin

on

futures

contracts

$

89,197

a

Variation

margin

on

futures

contracts

$

45,844

a

Foreign

exchange

contracts

..

Unrealized

appreciation

on

OTC

forward

exchange

contracts

145,982

Unrealized

depreciation

on

OTC

forward

exchange

contracts

282,199

Equity

contracts

...........

Variation

margin

on

futures

contracts

—

Variation

margin

on

futures

contracts

1,419

a

Total

....................

$235,179

$329,462

a

This

amount

reflects

the

cumulative

appreciation

(depreciation)

of

futures

contracts

as

reported

in

the

Schedule

of

Investments.

Only

the

variation

margin

receivable/payable

at

year

end

is

separately

reported

within

the

Statement

of

Assets

and

Liabilities.

Prior

variation

margin

movements

were

recorded

to

cash

upon

receipt

or

payment.

#### Derivative

#### Contracts

#### Not

#### Accounted

#### for

#### as

#### Hedging

#### Instruments

#### Statement

#### of

#### Operations

#### Location

#### Net

#### Realized

#### Gain
(Loss)

#### for

#### the

#### Year

#### Statement

#### of

#### Operations

#### Location

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### for

#### the

#### Year

#### Franklin

#### Allocation

#### VIP

#### Fund
Net

realized

gain

(loss)

from:

Net

change

in

unrealized

&nbsp;&nbsp;&nbsp;&nbsp;appreciation

(depreciation)

on:

Interest

rate

contracts

..........

Futures

contracts

$(144,007)

Futures

contracts

$(139,928)

Foreign

exchange

contracts

.....

Forward

exchange

contracts

(59,489)

Forward

exchange

contracts

190,517

Credit

contracts

...............

Swap

contracts

(4,015)

Swap

contracts

—

Equity

contracts

..............

Futures

contracts

(1,186,285)

Futures

contracts

496,134

Total

.......................

$(1,393,796)

$546,723

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

8. #### Credit

#### Facility
The

Fund,

together

with

other

U.S.

registered

and

foreign

investment

funds

(collectively,

Borrowers),

managed

by

Franklin

Templeton,

are

borrowers

in

a

joint

syndicated

senior

unsecured

credit

facility

totaling

$2.995

billion

(Global

Credit

Facility)

which

matured

on

January

30,

2026. This

Global

Credit

Facility

provides

a

source

of

funds

to

the

Borrowers

for

temporary

and

emergency

purposes,

including

the

ability

to

meet

future

unanticipated

or

unusually

large

redemption

requests.

Effective

January

30,

2026,

the

Borrowers

renewed

the

Global

Credit

Facility

for

a

one-year

term,

maturing

January

29,

2027,

for

a

total

of

$2.995

billion.

Under

the

terms

of

the

Global

Credit

Facility,

the

Fund

may,

in

addition

to

interest

charged

on

any

borrowings

made

by

the

Fund

and

other

costs

incurred

by

the

Fund,

pay

its

share

of

fees

and

expenses

incurred

in

connection

with

the

implementation

and

maintenance

of

the

Global

Credit

Facility,

based

upon

its

relative

share

of

the

aggregate

net

assets

of

all

of

the

Borrowers,

including

an

annual

commitment

fee

of

0.15%

based

upon

the

unused

portion

of

the

Global

Credit

Facility.

These

fees

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

During

the

year

ended

December

31,

2025,

the Fund

did

not

use

the

Global

Credit

Facility.

9. #### Fair

#### Value

#### Measurements
The

Fund

follows

a

fair

value

hierarchy

that

distinguishes

between

market

data

obtained

from

independent

sources

(observable

inputs)

and

the Fund's

own

market

assumptions

(unobservable

inputs).

These

inputs

are

used

in

determining

the

value

of

the

Fund's financial

instruments

and

are

summarized

in

the

following

fair

value

hierarchy:

Level

–

quoted

prices

in

active

markets

for

identical

financial

instruments

Level

–

other

significant

observable

inputs

(including

quoted

prices

for

similar

financial

instruments,

interest

rates,

prepayment

speed,

credit

risk,

etc.)

Level

–

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

financial

instruments)

The

input

levels

are

not

necessarily

an

indication

of

the

risk

or

liquidity

associated

with

financial

instruments

at

that

level.

A

summary

of

inputs

used

as

of

December

31,

2025,

in

valuing

the

Fund's assets

and

liabilities carried

at

fair

value,

is

as

follows:

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Allocation

#### VIP

#### Fund

#### Assets:
Investments

in

Securities:

a

Common

Stocks

:

Aerospace

&

Defense

...................

$

8,394,233

$

3,177,269

$

—

$

11,571,502

Air

Freight

&

Logistics

...................

—

1,642,447

—

1,642,447

Automobile

Components

.................

15,366

237,973

—

253,339

Automobiles

..........................

3,827,335

2,314,240

—

6,141,575

Banks

...............................

9,376,727

10,336,042

—

19,712,769

Beverages

...........................

1,981,946

1,039,549

—

3,021,495

Biotechnology

.........................

5,477,813

425,608

—

5,903,421

Broadline

Retail

.......................

9,544,545

2,010,874

—

11,555,419

Building

Products

......................

1,150,706

549,011

—

1,699,717

Capital

Markets

........................

6,199,043

4,850,849

—

11,049,892

Chemicals

...........................

6,299,190

1,734,216

—

8,033,406

Commercial

Services

&

Supplies

...........

1,510,783

682,246

—

2,193,029

Communications

Equipment

..............

1,816,624

171,274

—

1,987,898

Construction

&

Engineering

...............

—

552,089

—

552,089

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

#### Assets:
(continued)

Investments

in

Securities:

a

(continued)

Common

Stocks:

(continued)

Construction

Materials

..................

$

1,973,210

$

619,537

$

—

$

2,592,747

Consumer

Finance

.....................

2,670,596

—

—

2,670,596

Consumer

Staples

Distribution

&

Retail

......

1,629,351

1,792,997

—

3,422,348

Containers

&

Packaging

.................

310,865

646,126

—

956,991

Diversified

Consumer

Services

............

5,003

—

—

5,003

Diversified

Telecommunication

Services

.....

668,618

938,881

—

1,607,499

Electric

Utilities

........................

1,469,651

2,167,414

—

3,637,065

Electrical

Equipment

....................

1,347,326

1,206,403

—

2,553,729

Electronic

Equipment,

Instruments

&

Components

........................

2,008,495

766,478

—

2,774,973

Entertainment

.........................

3,540,295

1,067,848

—

4,608,143

Financial

Services

......................

9,803,710

820,058

—

10,623,768

Food

Products

........................

402,579

1,976,481

—

2,379,060

Gas

Utilities

..........................

33,649

281,476

—

315,125

Ground

Transportation

..................

3,772,139

199,060

—

3,971,199

Health

Care

Equipment

&

Supplies

.........

5,433,499

2,465,390

—

7,898,889

Health

Care

Providers

&

Services

..........

5,522,625

72,078

—

5,594,703

Health

Care

Technology

.................

—

76,663

—

76,663

Hotels,

Restaurants

&

Leisure

.............

3,260,668

1,217,347

—

4,478,015

Household

Durables

....................

57,180

2,594,326

—

2,651,506

Household

Products

....................

1,267,540

52,921

—

1,320,461

Independent

Power

and

Renewable

Electricity

Producers

..........................

177,947

264,245

—

442,192

Industrial

Conglomerates

................

63,404

886,907

—

950,311

Industrial

REITs

.......................

224,682

—

—

224,682

Insurance

............................

4,734,794

3,665,753

—

8,400,547

Interactive

Media

&

Services

..............

14,580,718

1,381,315

—

15,962,033

IT

Services

...........................

636,236

355,273

—

991,509

Leisure

Products

.......................

—

93,156

—

93,156

Life

Sciences

Tools

&

Services

............

5,355,413

935,283

—

6,290,696

Machinery

............................

7,257,946

3,314,919

—

10,572,865

Marine

Transportation

...................

—

177,745

—

177,745

Media

...............................

1,321,539

51,197

—

1,372,736

Metals

&

Mining

.......................

758,361

1,404,713

—

2,163,074

Multi-Utilities

..........................

2,928,304

401,164

—

3,329,468

Oil,

Gas

&

Consumable

Fuels

.............

5,360,893

3,406,250

—

8,767,143

Passenger

Airlines

.....................

77,156

122,277

—

199,433

Personal

Care

Products

.................

—

1,602,763

—

1,602,763

Pharmaceuticals

.......................

7,859,769

7,966,812

—

15,826,581

Professional

Services

...................

469,606

2,067,235

—

2,536,841

Real

Estate

Management

&

Development

....

92,089

413,648

—

505,737

Residential

REITs

......................

187,753

—

—

187,753

Retail

REITs

..........................

152,901

186,906

—

339,807

Semiconductors

&

Semiconductor

Equipment

.

31,325,158

5,501,173

—

36,826,331

Software

.............................

24,774,307

1,704,077

—

26,478,384

Specialized

REITs

......................

1,330,839

—

—

1,330,839

Specialty

Retail

........................

3,463,594

1,820,782

—

5,284,376

Technology

Hardware,

Storage

&

Peripherals

.

9,140,849

1,125,746

—

10,266,595

Textiles,

Apparel

&

Luxury

Goods

..........

252,601

1,456,247

—

1,708,848

Tobacco

.............................

743,122

328,993

—

1,072,115

Trading

Companies

&

Distributors

..........

1,770,734

1,037,179

—

2,807,913

Transportation

Infrastructure

..............

—

335,654

—

335,654

Wireless

Telecommunication

Services

.......

26,334

320,313

—

346,647

9. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

10. #### Operating

#### Segments
The Fund operates

as

a

single

operating

segment,

which

is

an

investment

portfolio.

The

portfolio

managers

assigned

to

the

Fund

within

the

Fund's

Investment

manager serve

as

the

Chief

Operating

Decision

Maker

("CODM")

and

are

responsible

for

evaluating

the

Fund's

operating

results

and

allocating

resources

in

accordance

with

the

Fund's

investment

strategy.

Internal

reporting

provided

to

the

CODM

aligns

with

the

accounting

policies

and

measurement

principles

used

in

the financial

statements.

For

information

regarding

segment

assets,

segment

profit

or

loss,

and

significant

expenses,

refer

to

the Statement

of

Assets

and

Liabilities

and

the Statement

of

Operations,

along

with

the

related

notes

to

the financial

statements.

The Schedule

of

Investments

provides

details

of

the Fund's investments

that

generate

returns

such

as

interest,

dividends,

and

realized

and

unrealized

gains

or

losses.

Performance

metrics,

including

portfolio

turnover

and

expense

ratios,

are

disclosed

in

the Financial

Highlights.

11. #### Subsequent

#### Events
The Fund

has

evaluated

subsequent

events

through

the

issuance

of

the

financial

statements

and

determined

that

no

events

have

occurred

that

require

disclosure

other

than

those

already

disclosed

in

the

financial

statements.

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

#### Assets:
(continued)

Investments

in

Securities:

a

(continued)

Preferred

Stocks

.........................

$

—

$

480,393

$

—

$

480,393

Limited

Partnerships

......................

1,252,712

—

—

1,252,712

Corporate

Bonds

........................

—

70,731,639

—

70,731,639

Foreign

Government

and

Agency

Securities

....

—

4,898,075

—

4,898,075

U.S.

Government

and

Agency

Securities

.......

—

109,070,961

—

109,070,961

Asset-Backed

Securities

...................

—

1,245,707

—

1,245,707

Commercial

Mortgage-Backed

Securities

......

—

3,131,297

—

3,131,297

Mortgage-Backed

Securities

................

—

22,412,391

—

22,412,391

Municipal

Bonds

.........................

—

596,593

—

596,593

Short

Term

Investments

...................

15,244,131

358,030

—

15,602,161

Total

Investments

in

Securities

...........

$242,335,202

$303,937,982

b

$—

$546,273,184

Other

Financial

Instruments:

Forward

Exchange

Contracts

...............

$—

$145,982

$—

$145,982

Futures

Contracts

.......................

89,197

—

—

89,197

Total

Other

Financial

Instruments

.........

$89,197

$145,982

$—

$235,179

#### Liabilities:
Other

Financial

Instruments:

Forward

Exchange

Contracts

...............

$—

$282,199

$—

$282,199

Futures

Contracts

........................

47,263

—

—

47,263

Total

Other

Financial

Instruments

.........

$47,263

$282,199

$—

$329,462

a

For

detailed

categories,

see

the

accompanying

Schedule

of

Investments.

b

Includes

foreign

securities

valued

at

$91,493,289,

which

were

categorized

as

Level

as

a

result

of

the

application

of

market

level

fair

value

procedures.

See

the

Financial

Instrument

Valuation

note

for

more

information.

9. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Allocation

#### VIP

#### Fund
(continued)

#### Abbreviations

#### Counterparty

#### BZWS
Barclays

Bank

plc

#### CITI
Citibank

NA

#### GSCO
Goldman

Sachs

Group,

Inc.

#### HSBK
HSBC

Bank

plc

#### JPHQ
JPMorgan

Chase

Bank

NA

#### MSCO
Morgan

Stanley

#### UBSW
UBS

AG

#### WFLA
Wells

Fargo

Bank

NA

#### Cu

#### r

#### rency

#### AUD
Australian

Dollar

#### BRL
Brazilian

Real

#### COP
Colombian

Peso

#### EGP
Egyptian

Pound

#### EUR
Euro

#### GBP
British

Pound

#### HUF
Hungarian

Forint

#### JPY
Japanese

Yen

#### MXN
Mexican

Peso

#### NOK
Norwegian

Krone

#### USD
United

States

Dollar

#### Selected

#### Portfolio

#### ADR
American

Depositary

Receipt

#### FFCB
Federal

Farm

Credit

Banks

Funding

Corp.

#### FHLMC
Federal

Home

Loan

Mortgage

Corp.

#### FNMA
Federal

National

Mortgage

Association

#### FRN
Floating

Rate

Note

#### GNMA
Government

National

Mortgage

Association

#### GO
General

Obligation

#### IO
Interest

Only

#### REIT
Real

Estate

Investment

Trust

#### SOFR
Secured

Overnight

Financing

Rate

Franklin

Templeton

Variable

Insurance

Products

Trust

Report

of

Independent

Registered

Public

Accounting

Firm

franklintempleton.com

Annual

Report

To

the

Board

of

Trustees

of

Franklin

Templeton

Variable

Insurance

Products

Trust

and

Shareholders

of

Franklin

Allocation

VIP

Fund

#### Opinion

#### on

#### the

#### Financial

#### Statements
We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

investments,

of

Franklin

Allocation

VIP

Fund

(one

of

the

funds

constituting

Franklin

Templeton

Variable

Insurance

Products

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2025,

the

related

statement

of

operations

for

the

year

ended

December

31,

2025,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

(collectively

referred

to

as

the

"financial

statements").

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2025,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

#### Basis

#### for

#### Opinion
These

financial

statements

are

the

responsibility

of

the

Fund's

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund's

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2025

by

correspondence

with

the

custodian,

transfer

agent

and

brokers;

when

replies

were

not

received

from

brokers,

we

performed

other

auditing

procedures.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/PricewaterhouseCoopers

LLP

San

Francisco,

California

February

19,

2026

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Franklin

Templeton

Group

of

Funds

since

1948. Franklin

Templeton

Variable

Insurance

Products

Trust

Tax

Information

(unaudited)

franklintempleton.com

Annual

Report

#### Franklin

#### Allocation

#### VIP

#### Fund
By

mid-February,

tax

information

related

to

a

shareholder's

proportionate

share

of

distributions

paid

during

the

preceding

calendar

year

will

be

received,

if

applicable.

Please

also

refer

to

www.franklintempleton.com

for

per

share

tax

information

related

to

any

distributions

paid

during

the

preceding

calendar

year.

Shareholders

are

advised

to

consult

with

their

tax

advisors

for

further

information

on

the

treatment

of

these

amounts

on

their

tax

returns.

The

following

tax

information

for

the

Fund

is

required

to

be

furnished

to

shareholders

with

respect

to

income

earned

and

distributions

paid

during

its

fiscal

year.

The

Fund

hereby

reports

the

following

amounts,

or

if

subsequently

determined

to

be

different,

the

maximum

allowable

amounts,

for

the

fiscal

year

ended

December

31,

2025:

Note

(1) -

The

Law

varies

in

each

state

as

to

whether

and

what

percentage

of

dividend

income

attributable

to

Federal

obligations

is

exempt

from

state

income

tax.

Shareholders

are

advised

to

consult

with

their

tax

advisors

to

determine

if

any

portion

of

the

dividends

received

is

exempt

from

state

income

taxes.

#### Pursuant

#### to:

#### Amount

#### Reported
Long-Term

Capital

Gain

Dividends

Distributed

§852(b)(3)(C)

$18,331,482

Income

Eligible

for

Dividends

Received

Deduction

(DRD)

§854(b)(1)(A)

$2,430,932

Interest

Earned

from

Federal

Obligations

Note

(1) $3,947,224

FFA

P2

01/26

Franklin

Allocation

VIP

Fund

franklintempleton.com

Annual

Report

#### FRANKLIN

#### TEMPLETON

#### VARIABLE

#### INSURANCE

#### PRODUCTS

#### TRUST

#### SUPPLEMENT

#### DATED

#### JANUARY

#### 28,

#### 2025

#### TO

#### THE

#### SUMMARY

#### PROSPECTUS,

#### PROSPECTUS

#### AND

#### STATEMENT

#### OF

#### ADDITIONAL

#### INFORMATION

#### ("SAI")

#### EACH

#### DATED

#### MAY

#### 1,

#### 2024,

#### OF

#### FRANKLIN

#### ALLOCATION

#### VIP

#### FUND

#### (THE

#### "FUND")
1. #### Effective

#### March

#### 31,

#### 2025,

#### Wylie

#### Tollette

#### is

#### anticipated

#### to

#### retire

#### and

#### step

#### down

#### as

#### a

#### member

#### of

#### the

#### Fund's

#### portfolio

#### management

#### team.
2. #### Effective

#### January

#### 31,

#### 2025,

#### the

#### following

#### changes

#### are

#### made

#### to

#### the

#### Fund's

#### Summary

#### Prospectus,

#### Prospectus

#### and

#### SAI:
a. #### The

#### following

#### is

#### added

#### to

#### the

#### section

#### titled

#### "Fund

#### Summaries

#### –

#### Portfolio

#### Managers"

#### in

#### the

#### Fund's

#### Summary

#### Prospectus

#### and

#### Prospectus:

#### Berkeley

#### Belknap
Portfolio

Manager

of

Advisers

and

portfolio

manager

of

the

Fund

since

January

2025. b. #### The

#### following

#### is

#### added

#### to

#### the

#### section

#### titled

#### "Fund

#### Details

#### –

#### Management"

#### in

#### the

#### Fund's

#### Prospectus:

#### Berkeley

#### Belknap

#### Portfolio

#### Manager

#### of

#### Advisers
Ms.

Belknap

has

been

a

co-lead

portfolio

manager

of

the

Fund

since

January

2025. She

joined

Franklin

Templeton

in

2019. c. #### The

#### following

#### replaces

#### the

#### seventh

#### and

#### eighth

#### paragraphs

#### in

#### the

#### section

#### titled

#### "Fund

#### Details

#### –

#### Management"

#### in

#### the

#### Fund's

#### Prospectus:

#### Jacqueline

#### Kenney,

#### CFA

#### Portfolio

#### Manager

#### of

#### Advisers
Ms.

Kenney

has

been

a

co-lead

portfolio

manager

of

the

Fund

since

January

2025

and

portfolio

manager

of

the

Fund

since

2022. She

joined

Franklin

Templeton

in

2010. As

co-lead

portfolio

managers

of

the

Fund,

Messrs.

Nelson

and

Tollette

and

Mses.

Belknap

and

Kenney

are

jointly

and

primarily

responsible

for

the

day-to-day

management

of

the

Fund's

portfolio.

They

have

equal

authority

over

all

aspects

of

the

Fund's

investment

portfolio,

including,

but

not

limited

to,

the

implementation

of

the

Fund's

asset

allocation

strategy,

purchases

and

sales

of

individual

securities,

portfolio

risk

assessment,

and

the

management

of

daily

cash

balances

in

accordance

with

anticipated

investment

management

requirements.

The

degree

to

which

each

portfolio

manager

may

perform

these

functions,

and

the

nature

of

these

functions,

may

change

from

time

to

time.

Franklin

Allocation

VIP

Fund

franklintempleton.com

Annual

Report

d. #### The

#### following

#### is

#### added

#### to

#### the

#### section

#### titled

#### "Management

#### and

#### Other

#### Services

#### –

#### Portfolio

#### managers"

#### in

#### the

#### Fund's

#### SAI:
\*Information

is

provided

as

of

December

31,

2024. e. #### The

#### following

#### is

#### added

#### to

#### the

#### section

#### titled

#### "Management

#### and

#### Other

#### Services

#### –

#### Portfolio

#### managers

#### –

#### Ownership

#### of

#### Fund

#### shares"

#### in

#### the

#### Fund's

#### SAI:
As

of

December

31,

2024,

Berkeley

Belknap

did

not

own

any

shares

of

the

Fund.

*Please* 

*retain* 

*this* 

*supplement* 

*for* 

*future* 

*reference.*

#### Name

#### Type

#### of

#### Account

#### Number

#### of

#### Accounts

#### Managed

#### Total

#### Assets

#### Managed

#### (x

#### $1

#### million)

#### Number

#### of

#### Accounts

#### Managed

#### for

#### which

#### Advisory

#### Fee

#### is

#### Performance

#### Based

#### Assets

#### Managed

#### for

#### which

#### Advisory

#### Fee

#### is

#### Performance

#### Based

#### (x

#### $1

#### million)
Berkeley

Belknap\*

Registered

Investment

Companies

Other

Pooled

Investment

Vehicles

Other

Accounts

5,513.8

7,215.2

2,839.1

None

None

None

None

None

None

FRANKLIN

TEMPLETON

VARIABLE

INSURANCE

PRODUCTS

TRUST

franklintempleton.com

Annual

Report

#### Changes

#### In

#### and

#### Disagreements

#### with

#### Accountants
For

the

period

covered

by

this

report

Not

applicable.

#### Results

#### of

#### Meeting(s)

#### of

#### Shareholders
For

the

period

covered

by

this

report

Not

applicable.

#### Remuneration

#### Paid

#### to

#### Directors,

#### Officers

#### and

#### Others
For

the

period

covered

by

this

report

Refer

to

the

financial

statements

included

herein.

Remuneration

to

officers

is

paid

by

the

Fund's

investment

manager

according

to

the

terms

of

the

agreement.

#### Board

#### Approval

#### of

#### Investment

#### Management

#### Agreements
For

the

period

covered

by

this

report

Not

applicable.

11536-AFSOI

02/26©

2026

Franklin

Templeton.

All

rights

reserved.

#### Franklin

#### DynaTech

#### VIP

#### Fund

#### Financial

#### Statements

#### and

#### Other

#### Important

#### Information

#### Annual
\|

December

31,

2025

#### Table

#### of

#### Contents
franklintempleton.com

Financial

Statements

and

Other

Important

Information—Annual

Financial

Highlights

and

Schedule

of

Investments

#### 2
Financial

Statements

#### 9
Notes

to

Financial

Statements

#### 12
Report

of

Independent

Registered

Public

Accounting

Firm

#### 20
Tax

Information

#### 21
Changes

In

and

Disagreements

with

Accountants

#### 22
Results

of

Meeting(s)

of

Shareholders

Remuneration

Paid

to

Directors,

Officers

and

Others

Board

Approval

of

Management

and

Subadvisory

Agreements

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### DynaTech

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 2

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$5.57

$4.27

$2.96

$11.85

$10.92

Income

from

investment

operations

a

:

Net

investment

(loss)

b

..........................

(0.03)

(0.02)

(0.01)

(0.02)

(0.08)

Net

realized

and

unrealized

gains

(losses)

...........

1.04 1.32 1.32 (4.52)

1.79 Total

from

investment

operations

....................

1.01 1.30 1.31 (4.54)

1.71 Less

distributions

from:

Net

realized

gains

.............................

—

—

—

(4.35)

(0.78)

Net

asset

value,

end

of

year

.......................

$6.58

$5.57

$4.27

$2.96

$11.85

Total

return

c

...................................

18.13%

30.44%

43.77%

(39.96)%

16.14%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.88%

0.87%

0.90%

0.91%

1.03%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.88%

d

0.87%

d

0.89%

e

0.90%

e

0.96%

Net

investment

(loss)

............................

(0.56)%

(0.48)%

(0.41)%

(0.49)%

(0.71)%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$163,622

$151,113

$125,878

$74,486

$139,784

Portfolio

turnover

rate

............................

36.55%

21.64%

22.25%

34.99%

74.97%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### DynaTech

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 4

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$4.86

$3.73

$2.59

$11.23

$10.40

Income

from

investment

operations

a

:

Net

investment

(loss)

b

..........................

(0.03)

(0.03)

(0.02)

(0.03)

(0.09)

Net

realized

and

unrealized

gains

(losses)

...........

0.90 1.16 1.16 (4.26)

1.70 Total

from

investment

operations

....................

0.87 1.13 1.14 (4.29)

1.61 Less

distributions

from:

Net

realized

gains

.............................

—

—

—

(4.35)

(0.78)

Net

asset

value,

end

of

year

.......................

$5.73

$4.86

$3.73

$2.59

$11.23

Total

return

c

...................................

17.90%

30.29%

44.02%

(40.20)%

16.09%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.98%

0.97%

1.00%

1.01%

1.13%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.98%

d

0.97%

d

1.00%

d,e

1.00%

e

1.06%

Net

investment

(loss)

............................

(0.66)%

(0.58)%

(0.50)%

(0.59)%

(0.81)%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$26,927

$27,913

$25,919

$20,496

$36,515

Portfolio

turnover

rate

............................

36.55%

21.64%

22.25%

34.99%

74.97%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments,

December

31,

2025

#### Franklin

#### DynaTech

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks

#### 98.2%

#### Aerospace

#### &

#### Defense

#### 2.8%
a

Axon

Enterprise,

Inc.

.................................

United

States

4,644

$

2,637,467

Elbit

Systems

Ltd.

...................................

Israel

507

292,899

a

Karman

Holdings,

Inc.

................................

United

States

7,678

561,799

a

Kratos

Defense

&

Security

Solutions,

Inc.

.................

United

States

16,177

1,227,996

a

Rocket

Lab

Corp.

...................................

United

States

8,661

604,192

5,324,353

#### Automobiles

#### 2.7%
a

Tesla,

Inc.

.........................................

United

States

11,650

5,239,238

#### Biotechnology

#### 4.3%
a

Alnylam

Pharmaceuticals,

Inc.

..........................

United

States

1,485

590,510

a

Arcutis

Biotherapeutics,

Inc.

...........................

United

States

2,455

71,293

a

Argenx

SE

........................................

Netherlands

1,503

1,267,846

a

Ascendis

Pharma

A/S

,

ADR

...........................

Denmark

6,701

1,428,921

a

BeOne

Medicines

Ltd.

,

ADR

...........................

United

States

92,358

a

Bridgebio

Pharma,

Inc.

...............................

United

States

2,770

211,877

a,b

Caris

Life

Sciences,

Inc.

..............................

United

States

1,931

52,098

a

Insmed,

Inc.

.......................................

United

States

6,210

1,080,789

a

Ionis

Pharmaceuticals,

Inc.

............................

United

States

4,683

370,472

a

Krystal

Biotech,

Inc.

.................................

United

States

660

162,716

a

Natera,

Inc.

........................................

United

States

10,119

2,318,162

a

PTC

Therapeutics,

Inc.

...............................

United

States

985

74,821

a

Revolution

Medicines,

Inc.

.............................

United

States

1,324

105,457

a

Rhythm

Pharmaceuticals,

Inc.

..........................

United

States

749

80,173

a

Samsung

Episholdings

Co.

Ltd.

.........................

South

Korea

23,726

a

United

Therapeutics

Corp.

.............................

United

States

682

332,305

8,263,524

#### Broadline

#### Retail

#### 9.4%
a

Amazon.com,

Inc.

...................................

United

States

60,564

13,979,383

a

MercadoLibre,

Inc.

..................................

Brazil

1,362

2,743,422

a

Sea

Ltd.

,

ADR

......................................

Singapore

9,646

1,230,540

17,953,345

#### Capital

#### Markets

#### 1.0%
a,b

Bullish,

Inc.

........................................

United

States

11,361

a

Robinhood

Markets,

Inc.

,

A

............................

United

States

11,966

1,353,355

Tradeweb

Markets,

Inc.

,

A

.............................

United

States

5,075

545,765

1,910,481

#### Communications

#### Equipment

#### 0.8%
a

Arista

Networks,

Inc.

.................................

United

States

11,015

1,443,295

#### Construction

#### &

#### Engineering

#### 0.4%
a

Legence

Corp.

,

A

...................................

United

States

4,300

185,072

Quanta

Services,

Inc.

................................

United

States

1,475

622,539

807,611

#### Consumer

#### Finance

#### 0.0%

#### †
a,b

Figure

Technology

Solutions,

Inc.

,

A

.....................

United

States

1,428

58,320

#### Electrical

#### Equipment

#### 0.8%
a

Bloom

Energy

Corp.

,

A

...............................

United

States

6,075

527,857

GE

Vernova,

Inc.

....................................

United

States

1,392

909,769

a

Nextpower,

Inc.

,

A

...................................

United

States

656

57,144

1,494,770

#### Electronic

#### Equipment,

#### Instruments

#### &

#### Components

#### 3.1%
Amphenol

Corp.

,

A

..................................

United

States

15,095

2,039,938

Franklin

Templeton

Variable

Insurance

Products

Trust

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Investments

#### Franklin

#### DynaTech

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Electronic

#### Equipment,

#### Instruments

#### &

#### Components
(continued)

a

Celestica,

Inc.

......................................

Canada

12,853

$

3,799,476

5,839,414

#### Energy

#### Equipment

#### &

#### Services

#### 0.2%
Baker

Hughes

Co.

,

A

.................................

United

States

845

38,481

a

Oceaneering

International,

Inc.

.........................

United

States

1,724

41,428

TechnipFMC

plc

....................................

United

Kingdom

8,114

361,560

441,469

#### Entertainment

#### 2.4%
a

Netflix,

Inc.

........................................

United

States

29,760

2,790,298

a

ROBLOX

Corp.

,

A

...................................

United

States

13,412

1,086,774

a

Roku,

Inc.

,

A

.......................................

United

States

1,711

185,626

a

Spotify

Technology

SA

................................

United

States

1,005

583,614

4,646,312

#### Financial

#### Services

#### 3.5%
a

Affirm

Holdings,

Inc.

,

A

...............................

United

States

6,690

497,937

Mastercard,

Inc.

,

A

..................................

United

States

6,672

3,808,911

a

Toast,

Inc.

,

A

.......................................

United

States

554

19,673

Visa,

Inc.

,

A

........................................

United

States

6,878

2,412,183

6,738,704

#### Ground

#### Transportation

#### 0.4%
a

Uber

Technologies,

Inc.

...............................

United

States

8,326

680,317

#### Health

#### Care

#### Equipment

#### &

#### Supplies

#### 1.5%
a

IDEXX

Laboratories,

Inc.

..............................

United

States

654

442,450

a

Intuitive

Surgical,

Inc.

................................

United

States

4,330

2,452,339

a

Kestra

Medical

Technologies

Ltd.

.......................

United

States

2,288

60,678

2,955,467

#### Health

#### Care

#### Providers

#### &

#### Services

#### 1.0%
a

GeneDx

Holdings

Corp.

,

A

.............................

United

States

3,368

438,042

a

Guardant

Health,

Inc.

................................

United

States

11,705

1,195,549

a

Hinge

Health,

Inc.

,

A

.................................

United

States

3,923

182,223

1,815,814

#### Health

#### Care

#### Technology

#### 0.4%
a

Doximity,

Inc.

,

A

....................................

United

States

878

38,878

a

HeartFlow,

Inc.

.....................................

United

States

4,157

121,176

Pro

Medicus

Ltd.

....................................

Australia

3,350

491,992

a

Veeva

Systems,

Inc.

,

A

...............................

United

States

690

154,029

806,075

#### Hotels,

#### Restaurants

#### &

#### Leisure

#### 2.0%
Booking

Holdings,

Inc.

...............................

United

States

1,836,878

a

DoorDash,

Inc.

,

A

...................................

United

States

8,305

1,880,917

3,717,795

#### Interactive

#### Media

#### &

#### Services

#### 11.9%
Alphabet,

Inc.

,

A

....................................

United

States

39,872

12,479,936

Meta

Platforms,

Inc.

,

A

...............................

United

States

14,335

9,462,390

a

Reddit,

Inc.

,

A

......................................

United

States

3,007

691,219

c

Tencent

Holdings

Ltd.

................................

China

694

53,260

22,686,805

#### IT

#### Services

#### 5.0%
a

Cloudflare,

Inc.

,

A

...................................

United

States

16,655

3,283,533

Franklin

Templeton

Variable

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Trust

Schedule

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Investments

#### Franklin

#### DynaTech

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#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### IT

#### Services
(continued)

a

MongoDB,

Inc.

,

A

...................................

United

States

688

$

288,747

a

Shopify,

Inc.

,

A

.....................................

Canada

34,230

5,511,515

a

Snowflake,

Inc.

,

A

...................................

United

States

1,992

436,965

9,520,760

#### Life

#### Sciences

#### Tools

#### &

#### Services

#### 0.4%
a

Adaptive

Biotechnologies

Corp.

.........................

United

States

1,178

19,131

a

Medpace

Holdings,

Inc.

...............................

United

States

653

366,757

a,d

Samsung

Biologics

Co.

Ltd.

,

144A

,

Reg

S

.................

South

Korea

124,463

a

Tempus

AI,

Inc.

,

A

...................................

United

States

4,933

291,294

801,645

#### Machinery

#### 0.1%
a

Symbotic,

Inc.

,

A

....................................

United

States

2,604

154,938

#### Pharmaceuticals

#### 1.8%
a

Axsome

Therapeutics,

Inc.

............................

United

States

67,212

a

Corcept

Therapeutics,

Inc.

............................

United

States

1,164

40,507

Eli

Lilly

&

Co.

......................................

United

States

1,997

2,146,136

a

Jazz

Pharmaceuticals

plc

.............................

United

States

2,355

400,350

a

Ligand

Pharmaceuticals,

Inc.

...........................

United

States

2,991

565,508

a

Tarsus

Pharmaceuticals,

Inc.

...........................

United

States

1,447

118,480

3,338,193

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 24.2%
Analog

Devices,

Inc.

.................................

United

States

1,680

455,616

a

ARM

Holdings

plc

,

ADR

..............................

United

States

1,625

177,629

ASML

Holding

NV

,

ADR

..............................

Netherlands

657

702,898

Broadcom,

Inc.

.....................................

United

States

32,111

11,113,617

a

First

Solar,

Inc.

.....................................

United

States

78,630

KLA

Corp.

.........................................

United

States

1,670

2,029,184

Lam

Research

Corp.

.................................

United

States

14,050

2,405,079

Monolithic

Power

Systems,

Inc.

.........................

United

States

1,676

1,519,059

NVIDIA

Corp.

......................................

United

States

115,332

21,509,418

a

SiTime

Corp.

.......................................

United

States

50,153

Taiwan

Semiconductor

Manufacturing

Co.

Ltd.

,

ADR

.........

Taiwan

20,000

6,077,800

46,119,083

#### Software

#### 13.8%
a

AppLovin

Corp.

,

A

...................................

United

States

7,300

4,918,886

a

Cadence

Design

Systems,

Inc.

.........................

United

States

3,997

1,249,382

a

Circle

Internet

Group,

Inc.

,

A

...........................

United

States

1,081

85,723

Constellation

Software,

Inc.

............................

Canada

165,966

a

Crowdstrike

Holdings,

Inc.

,

A

...........................

United

States

1,402

657,202

a

Figma,

Inc.

,

A

......................................

United

States

539

20,142

a

Guidewire

Software,

Inc.

..............................

United

States

1,970

395,990

Intuit,

Inc.

.........................................

United

States

1,011

669,707

a

Life360,

Inc.

.......................................

United

States

2,677

171,703

Microsoft

Corp.

.....................................

United

States

27,264

13,185,416

a

Palantir

Technologies,

Inc.

,

A

...........................

United

States

10,675

1,897,481

a

Palo

Alto

Networks,

Inc.

..............................

United

States

6,645

1,224,009

a

ServiceTitan,

Inc.

,

A

.................................

United

States

5,568

592,992

a

Synopsys,

Inc.

.....................................

United

States

1,988

933,803

a

Unity

Software,

Inc.

..................................

United

States

1,375

60,734

26,229,136

#### Specialty

#### Retail

#### 0.5%
a

Carvana

Co.

,

A

.....................................

United

States

2,314

976,554

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

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#### DynaTech

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(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

See

Abbreviations

on

.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Technology

#### Hardware,

#### Storage

#### &

#### Peripherals

#### 3.8%
Apple,

Inc.

........................................

United

States

26,638

$

7,241,807

#### Total

#### Common

#### Stocks

#### (Cost

#### $

#### 77,437,764

####)
....................................

#### 187,205,225

#### Warrants

#### 0.0%

#### Software

#### 0.0%
a,e

Constellation

Software,

Inc.

,

3/31/40

.....................

Canada

—

#### Total

#### Warrants

#### (Cost

#### $

#### –

####)
....................................................

#### —

#### Total

#### Long

#### Term

#### Investments

#### (Cost

#### $

#### 77,437,764

####)
..............................

#### 187,205,225

#### a

#### Short

#### Term

#### Investments

#### 1.9%
a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Money

#### Market

#### Funds

#### 1.8%
f,g

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

.........................................

United

States

3,510,309

3,510,309

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $

#### 3,510,309

####)
.................................

#### 3,510,309
h

#### Investments

#### from

#### Cash

#### Collateral

#### Received

#### for

#### Loaned

#### Securities

#### 0.1%

#### Money

#### Market

#### Funds

#### 0.1%
f,g

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

.........................................

United

States

114,025

114,025

#### Total

#### Investments

#### from

#### Cash

#### Collateral

#### Received

#### for

#### Loaned

#### Securities

#### (Cost

#### $

#### 114,025

####)
............................................................

#### 114,025

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $

#### 3,624,334

####)
...............................

#### 3,624,334

#### a

#### Total

#### Investments

#### (Cost

#### $

#### 81,062,098

####)
100.1 #### %
.................................

#### $190,829,559

#### Other

#### Assets,

#### less

#### Liabilities

#### (0.1 ####)

#### %
.........................................

#### (280,807)

#### Net

#### Assets

#### 100.0%

#### .........................................................

#### $190,548,752

#### a
†

Rounds

to

less

than

0.1%

of

net

assets.

a

Non-income

producing.

b

A

portion

or

all

of

the

security

is

on

loan

at

December

31,

2025. See

Note

1(c).

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### DynaTech

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

c

Variable

interest

entity

(VIE).

See

Note

regarding

investments

made

through

a

VIE

structure.

At

December

31,

2025,

the

value

of

this

security

was

$53,260,

representing

0.0%

of

net

assets.

d

Security

was

purchased

pursuant

to

Rule

144A

or

Regulation

S

under

the

Securities

Act

of

1933. 144A

securities

may

be

sold

in

transactions

exempt

from

registration

only

to

qualified

institutional

buyers

or

in

a

public

offering

registered

under

the

Securities

Act

of

1933. Regulation

S

securities

cannot

be

sold

in

the

United

States

without

either

an

effective

registration

statement

filed

pursuant

to

the

Securities

Act

of

1933,

or

pursuant

to

an

exemption

from

registration.

At

December

31,

2025,

the

value

of

this

security

was

$124,463,

representing

0.1%

of

net

assets.

e

Fair

valued

using

significant

unobservable

inputs.

See

Note

regarding

fair

value

measurements.

f

See

Note

3(e)

regarding

investments

in

affiliated

management

investment

companies.

g

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

h

See

Note

1(c)

regarding

securities

on

loan.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Assets

and

Liabilities

December

31,

2025

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### DynaTech

#### VIP

#### Fund
Assets:

Investments

in

securities:

Cost

-

Unaffiliated

issuers

...................................................................

$77,437,764

Cost

-

Non-controlled

affiliates

(Note

e)

........................................................

3,624,334

Value

-

Unaffiliated

issuers

(Includes

securities

loaned

of

$

109,230)

...................................

$187,205,225

Value

-

Non-controlled

affiliates

(Note

e)

.......................................................

3,624,334

Cash

....................................................................................

13,650

Foreign

currency,

at

value

(cost

$

2,829)

..........................................................

2,799

Receivables:

Capital

shares

sold

........................................................................

18,537

Dividends

...............................................................................

30,871

Total

assets

..........................................................................

190,895,416

Liabilities:

Payables:

Capital

shares

redeemed

...................................................................

40,935

Management

fees

.........................................................................

92,775

Distribution

fees

..........................................................................

43,321

Professional

fees

.........................................................................

48,527

Trustees'

fees

and

expenses

.................................................................

Payable

upon

return

of

securities

loaned

(Note

c)

..................................................

114,025

Accrued

expenses

and

other

liabilities

...........................................................

7,060

Total

liabilities

.........................................................................

346,664

Net

assets,

at

value

.................................................................

$190,548,752

Net

assets

consist

of:

Paid-in

capital

.............................................................................

$67,035,633

Total

distributable

earnings

(losses)

.............................................................

123,513,119

Net

assets,

at

value

.................................................................

$190,548,752

#### Franklin

#### DynaTech

#### VIP

#### Fund

#### Class

#### 2:
Net

assets,

at

value

.......................................................................

$163,621,894

Shares

outstanding

........................................................................

24,885,093

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$6.58

#### Class

#### 4:
Net

assets,

at

value

.......................................................................

$26,926,858

Shares

outstanding

........................................................................

4,698,729

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$5.73

a

Net

asset

value

per

share

may

not

recalculate

due

to

rounding.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Operations

for

the

year

ended

December

31,

2025

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Franklin

#### DynaTech

#### VIP

#### Fund
Investment

income:

Dividends:

(net

of

foreign

taxes

of

$10,663)

Unaffiliated

issuers

........................................................................

$484,745

Non-controlled

affiliates

(Note

e)

.............................................................

70,823

Income

from

securities

loaned:

Unaffiliated

entities

(net

of

fees

and

rebates)

.....................................................

(9,058)

Non-controlled

affiliates

(Note

e)

.............................................................

18,525

Total

investment

income

...................................................................

565,035

Expenses:

Management

fees

(Note

a)

...................................................................

1,019,165

Distribution

fees:

(Note

3c)

Class

................................................................................

377,639

Class

................................................................................

93,721

Custodian

fees

............................................................................

2,499

Reports

to

shareholders

fees

..................................................................

8,049

Professional

fees

...........................................................................

78,202

Trustees'

fees

and

expenses

..................................................................

2,145

Other

....................................................................................

15,788

Total

expenses

.........................................................................

1,597,208

Expenses

waived/paid

by

affiliates

(Note

e

and

f)

..............................................

(5,579)

Net

expenses

.........................................................................

1,591,629

Net

investment

income

(loss)

............................................................

(1,026,594)

Realized

and

unrealized

gains

(losses):

Net

realized

gain

(loss)

from:

Investments:

Unaffiliated

issuers

......................................................................

18,907,863

Foreign

currency

transactions

................................................................

(1,678)

Net

realized

gain

(loss)

..................................................................

18,906,185

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments:

Unaffiliated

issuers

......................................................................

10,492,473

Translation

of

other

assets

and

liabilities

denominated

in

foreign

currencies

..............................

Net

change

in

unrealized

appreciation

(depreciation)

............................................

10,492,535

Net

realized

and

unrealized

gain

(loss)

............................................................

29,398,720

Net

increase

(decrease)

in

net

assets

resulting

from

operations

..........................................

$28,372,126

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statements

of

Changes

in

Net

Assets

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### DynaTech

#### VIP

#### Fund

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024
Increase

(decrease)

in

net

assets:

Operations:

Net

investment

income

(loss)

............................................

$(1,026,594)

$(847,558)

Net

realized

gain

(loss)

.................................................

18,906,185

14,620,212

Net

change

in

unrealized

appreciation

(depreciation)

...........................

10,492,535

30,637,724

Net

increase

(decrease)

in

net

assets

resulting

from

operations

................

28,372,126

44,410,378

Capital

share

transactions:

(Note

2)

Class

.............................................................

(11,396,177)

(11,898,394)

Class

.............................................................

(5,453,137)

(5,283,171)

Total

capital

share

transactions

............................................

(16,849,314)

(17,181,565)

Net

increase

(decrease)

in

net

assets

...................................

11,522,812

27,228,813

Net

assets:

Beginning

of

year

.......................................................

179,025,940

151,797,127

End

of

year

...........................................................

$190,548,752

$179,025,940

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

#### Franklin

#### DynaTech

#### VIP

#### Fund

franklintempleton.com

Annual

Report

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
Franklin

Templeton

Variable

Insurance

Products

Trust

(Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-end

management

investment

company,

consisting

of seventeen separate

funds.

The Trust

follows the

accounting

and

reporting

guidance

in

Financial

Accounting

Standards

Board

(FASB)

Accounting

Standards

Codification

Topic

946,

Financial

Services

–

Investment

Companies

(ASC

946)

and

applies

the

specialized

accounting

and

reporting

guidance

in

U.S.

Generally

Accepted

Accounting

Principles

(U.S.

GAAP),

including,

but

not

limited

to,

ASC

946. Franklin

DynaTech

VIP

Fund

(Fund)

is

included

in

this

report.

Shares

of

the

Fund

are

generally

sold

only

to

insurance

company

separate

accounts

to

fund

the

benefits

of

variable

life

insurance

policies

or

variable

annuity

contracts. The

Fund

offers two classes

of

shares:

Class

and

Class

4. Each

class

of

shares

may

differ

by

its

distribution

fees,

voting

rights

on

matters

affecting

a

single

class

and

its

exchange

privilege.

The

following

summarizes

the Fund's

significant

accounting

policies.

a. #### Financial

#### Instrument

#### Valuation
The

Fund's

investments

in

financial

instruments

are

carried

at

fair

value

daily.

Fair

value

is

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

market

participants

on

the

measurement

date.

The

Fund

calculates

the

net

asset

value

(NAV)

per

share

each business

day as

of

p.m.

Eastern

time

or

the

regularly

scheduled

close

of

the

New

York

Stock

Exchange

(NYSE),

whichever

is

earlier.

Under

compliance

policies

and

procedures

approved

by

the Trust's

Board

of

Trustees

(the

Board),

the

Board

has

designated

the

Fund's

investment

manager

as

the

valuation

designee

and

has

responsibility

for

oversight

of

valuation.

The

investment

manager

is

assisted

by

the

Fund's

administrator

in

performing

this

responsibility,

including

leading

the

cross-

functional

Valuation

Committee

(VC).

The

Fund

may

utilize

independent

pricing

services,

quotations

from

securities

and

financial

instrument

dealers,

and

other

market

sources

to

determine

fair

value.

Equity

securities

listed

on

an

exchange

or

on

the

NASDAQ

National

Market

System

are

valued

at

the

last

quoted

sale

price

or

the

official

closing

price of

the

day,

respectively.

Foreign

equity

securities

are

valued

as

of

the

close

of

trading

on

the

foreign

stock

exchange

on

which

the

security

is

primarily

traded,

or

as

of

p.m.

Eastern

time.

The

value

is

then

converted

into

its

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

p.m.

Eastern

time

on

the

day

that

the

value

of

the

security

is

determined.

Over-the-counter

(OTC)

securities

are

valued

within

the

range

of

the

most

recent

quoted

bid

and

ask

prices.

Securities

that

trade

in

multiple

markets

or

on

multiple

exchanges

are

valued

according

to

the

broadest

and

most

representative

market.

Certain

equity

securities

are

valued

based

upon

fundamental

characteristics

or

relationships

to

similar

securities.

Investments

in open-end mutual

funds

are

valued

at

the

closing

NAV.

The

Fund

has

procedures

to

determine

the

fair

value

of

financial

instruments

for

which

market

prices

are

not

reliable

or

readily

available.

Under

these

procedures,

the Fund

primarily

employs

a

market-based

approach

which

may

use

related

or

comparable

assets

or

liabilities,

recent

transactions,

market

multiples,

and

other

relevant

information

for

the

investment

to

determine

the

fair

value

of

the

investment.

An

income-based

valuation

approach

may

also

be

used

in

which

the

anticipated

future

cash

flows

of

the

investment

are

discounted

to

calculate

fair

value.

Discounts

may

also

be

applied

due

to

the

nature

or

duration

of

any

restrictions

on

the

disposition

of

the

investments.

Due

to

the

inherent

uncertainty

of

valuations

of

such

investments,

the

fair

values

may

differ

significantly

from

the

values

that

would

have

been

used

had

an

active

market

existed.

Trading

in

securities

on

foreign

securities

stock

exchanges

and

OTC

markets

may

be

completed

before

p.m.

Eastern

time.

In

addition,

trading

in

certain

foreign

markets

may

not

take

place

on

every

Fund's

business

day. Events

can occur

between

the

time

at

which

trading

in

a

foreign

security

is

completed

and

p.m.

Eastern

time

that

might

call

into

question

the

reliability

of

the

value

of

a

portfolio

security

held

by

the

Fund.

As

a

result,

differences

may

arise

between

the

value

of

the

Fund's

portfolio

securities

as

determined

at

the

foreign

market

close

and

the

latest

indications

of

value

at

p.m.

Eastern

time. In

order

to

minimize

the

potential

for

these

differences,

an

independent

pricing

service

may

be

used

to

adjust

the

value

of

the

Fund's

portfolio

securities

to

the

latest

indications

of

fair

value

at

p.m.

Eastern

time.

At

December

31,

2025,

certain

securities

may

have

been

fair

valued

using

these

procedures,

in

which

case

the

securities

were

categorized

as

Level

within

the

fair

value

hierarchy

(referred

to

as

"market

level

fair

value").

See

the

Fair

Value

Measurements

note

for

more

information.

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### DynaTech

#### VIP

#### Fund
(continued)

When

the

last

day

of

the

reporting

period

is

a

non-business

day,

certain

foreign

markets

may

be

open

on

those

days

that

the

Fund's

NAV

is

not

calculated,

which

could

result

in

differences

between

the

value

of

the

Fund's

portfolio

securities

on

the

last

business

day

and

the

last

calendar

day

of

the

reporting

period.

Any

security

valuation

changes

due

to

an

open

foreign

market

are

adjusted

and

reflected

by

the

Fund

for

financial

reporting

purposes.

b. #### Foreign

#### Currency

#### Translation
Portfolio

securities

and

other

assets

and

liabilities

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

based

on

the

exchange

rate

of

such

currencies

against

U.S.

dollars

on

the

date

of

valuation.

The

Fund

may

enter

into

foreign

currency

exchange

contracts

to

facilitate

transactions

denominated

in

a

foreign

currency.

Purchases

and

sales

of

securities,

income

and

expense

items

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

at

the

exchange

rate

in

effect

on

the

transaction

date.

Portfolio

securities

and

assets

and

liabilities

denominated

in

foreign

currencies

contain

risks

that

those

currencies

will

decline

in

value

relative

to

the

U.S.

dollar.

Occasionally,

events

may

impact

the

availability

or

reliability

of

foreign

exchange

rates

used

to

convert

the

U.S.

dollar

equivalent

value.

If

such

an

event

occurs,

the

foreign

exchange

rate

will

be

valued

at

fair

value

using

procedures

established

and

approved

by

the

Board.

The

Fund

does

not

separately

report

the

effect

of

changes

in

foreign

exchange

rates

from

changes

in

market

prices

on

securities

held.

Such

changes

are

included

in

net

realized

and

unrealized

gain

or

loss

from

investments

in

the

Statement of

Operations.

Realized

foreign

exchange

gains

or

losses

arise

from

sales

of

foreign

currencies,

currency

gains

or

losses

realized

between

the

trade

and

settlement

dates

on

securities

transactions

and

the

difference

between

the

recorded

amounts

of

dividends,

interest,

and

foreign

withholding

taxes

and

the

U.S.

dollar

equivalent

of

the

amounts

actually

received

or

paid.

Net

unrealized

foreign

exchange

gains

and

losses

arise

from

changes

in

foreign

exchange

rates

on

foreign

denominated

assets

and

liabilities

other

than

investments

in

securities

held

at

the

end

of

the

reporting

period.

c. #### Securities

#### Lending
The

Fund

participates

in

an

agency

based

securities

lending

program

to

earn

additional

income.

The

Fund

receives

collateral

in

the

form

of

cash

and/or

U.S.

Government

and

Agency

securities

against

the

loaned

securities

in

an

amount

equal

to

at

least

102%

of

the

fair

value

of

the

loaned

securities.

Collateral

is

maintained

over

the

life

of

the

loan

in

an

amount

not

less

than

100%

of

the

fair

value

of

loaned

securities,

as

determined

at

the

close

of

Fund

business

each

day;

any

additional

collateral

required

due

to

changes

in

security

values

is

delivered

to

the

Fund

on

the

next

business

day.

Any

cash

collateral

received

is

deposited

into

a

joint

cash

account

with

other

funds

and

is

used

to

invest

in

a

money

market

fund

managed

by

Franklin

Advisers,

Inc.,

an

affiliate

of

the

Fund. The

Fund

may

receive

income

from

the

investment

of

cash

collateral,

in

addition

to

lending

fees paid

by

the

borrower.

Income

from

securities

loaned,

net

of

fees

paid

to

the

securities

lending

agent

and/or

third-party

vendor,

is

reported

separately

in

the Statement of

Operations.

The

Fund

bears

the

market

risk

with

respect

to

any

cash

collateral

investment,

securities

loaned,

and

the

risk

that

the

agent

may

default

on

its

obligations

to

the

Fund.

If

the

borrower

defaults

on

its

obligation

to

return

the

securities

loaned,

the

Fund

has

the

right

to

repurchase

the

securities

in

the

open

market

using

the

collateral

received.

The

securities

lending

agent

has

agreed

to

indemnify

the

Fund

in

the

event

of

default

by

a

third

party

borrower.

Securities

on

loan

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

d. #### Income

#### and

#### Deferred

#### Taxes
It

is the Fund's

policy

to

qualify

as

a

regulated

investment

company

under

the

Internal

Revenue

Code. The Fund

intends

to

distribute

to

shareholders

substantially

all

of

its

taxable

income

and

net

realized

gains

to

relieve

it

from

federal

income

and if

applicable,

excise

taxes.

As

a

result,

no

provision

for

U.S.

federal

income

taxes

is

required.

The Fund

may

be

subject

to

foreign

taxation

related

to

income

received,

capital

gains

on

the

sale

of

securities

and

certain

foreign

currency

transactions

in

the

foreign

jurisdictions

in

which

it

invests.

Foreign

taxes,

if

any,

are

recorded

based

on

the

tax

regulations

and

rates

that

exist

in

the

foreign

markets

in

which

the

Fund

invests.

When

a

capital

gain

tax

is

determined

to

apply,

the

Fund

records

an

estimated

deferred

tax

liability

in

an

amount

that

would

be

payable

if

the

securities

were

disposed

of

on

the

valuation

date.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

a. #### Financial

#### Instrument

#### Valuation
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### DynaTech

#### VIP

#### Fund
(continued)

The Fund

may

recognize

an

income

tax

liability

related

to

its

uncertain

tax

positions

under

U.S.

GAAP

when

the

uncertain

tax

position

has

a

less

than

50%

probability

that

it

will

be

sustained

upon

examination

by

the

tax

authorities

based

on

its

technical

merits.

As

of

December

31,

2025, the Fund

has

determined

that

no

tax

liability

is

required

in

its

financial

statements

related

to

uncertain

tax

positions

for

any

open

tax

years

(or

expected

to

be

taken

in

future

tax

years).

The

Fund's

federal

and

state

income

and

federal

excise

tax

returns

for

the

prior

three

fiscal

years

are

subject

to

examination

by

the

Internal

Revenue

Service

and

state

departments

of

revenue.

e. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
Security

transactions

are

accounted

for

on

trade

date.

Realized

gains

and

losses

on

security

transactions

are

determined

on

a

specific

identification

basis. Estimated

expenses

are

accrued

daily.

Dividend

income

is

recorded

on

the

ex-dividend

date

except

for

certain

dividends

from

securities

where

the

dividend

rate

is

not

available.

In

such cases,

the

dividend

is

recorded

as

soon

as

the

information

is

received

by

the

Fund. Distributions

to

shareholders

are recorded

on

the

ex-dividend

date.

Distributable

earnings

are

determined

according

to

income

tax

regulations

(tax

basis)

and

may

differ

from

earnings

recorded

in

accordance

with

U.S.

GAAP.

These

differences

may

be

permanent

or

temporary.

Permanent

differences

are

reclassified

among

capital

accounts

to

reflect

their

tax

character.

These

reclassifications

have

no

impact

on

net

assets

or

the

results

of

operations.

Temporary

differences

are

not

reclassified,

as

they

may

reverse

in

subsequent

periods.

Common

expenses

incurred

by

the

Trust

are

allocated

among

the

Funds

based

on

the

ratio

of

net

assets

of

each

Fund

to

the

combined

net

assets

of

the

Trust

or

based

on

the

ratio

of

number

of

shareholders

of

each

Fund

to

the

combined

number

of

shareholders

of

the

Trust.

Fund

specific

expenses

are

charged

directly

to

the

Fund

that

incurred

the

expense.

Realized

and

unrealized

gains

and

losses

and

net

investment

income,

excluding

class

specific

expenses,

are

allocated

daily

to

each

class

of

shares

based

upon

the

relative

proportion

of

net

assets

of

each

class.

Differences

in

per

share

distributions

by

class

are

generally

due

to

differences

in

class

specific

expenses.

f. #### Accounting

#### Estimates
The

preparation

of

financial

statements

in

accordance

with

U.S.

GAAP

requires

management

to

make

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

amounts

of

income

and

expenses

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

g. #### Guarantees

#### and

#### Indemnifications
Under

the Trust's

organizational

documents,

its

officers

and trustees

are

indemnified

by

the Trust against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Trust.

Additionally,

in

the

normal

course

of

business,

the Trust,

on

behalf

of

the

Fund, enters

into

contracts

with

service

providers

that

contain

general

indemnification

clauses.

The Trust's

maximum

exposure

under

these

arrangements

is

unknown

as

this

would

involve

future

claims

that

may

be

made

against

the Trust

that

have

not

yet

occurred.

Currently,

the Trust

expects

the

risk

of

loss

to

be

remote.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

d. #### Income

#### and

#### Deferred

#### Taxes
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### DynaTech

#### VIP

#### Fund
(continued)

2. #### Shares

#### of

#### Beneficial

#### Interest
At

December

31,

2025,

there

were

an

unlimited

number

of

shares

authorized

(without

par

value).

Transactions

in

the

Fund's

shares

were

as

follows:

#### 3

#### .

#### Transactions

#### with

#### Affiliates
Franklin

Resources,

Inc.

is

the

holding

company

for

various

subsidiaries

that

together

are

referred

to

as

Franklin

Templeton.

Certain

officers

and trustees

of

the Fund are

also

officers

and/or directors

of

the

following

subsidiaries:

a. #### Management

#### Fees
The

Fund

pays

an

investment

management fee,

calculated daily and

paid

monthly,

to

Advisers based

on the

average

daily net

assets

of

the

Fund

as

follows:

For

the

year

ended

December

31,

2025,

the

gross

effective

investment

management

fee

rate

was 0.573%

of

the

Fund's

average daily

net

assets.

b. #### Administrative

#### Fees
Under

an

agreement

with

Advisers,

FT

Services

provides

administrative

services

to

the

Fund.

The

fee

is

paid

by Advisers

based

on

the Fund's

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Fund.

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### 2

#### Shares:
Shares

sold

...................................

6,242,885

$36,016,399

3,531,381

$17,710,587

Shares

redeemed

...............................

(8,493,589)

(47,412,576)

(5,870,267)

(29,608,981)

Net

increase

(decrease)

..........................

(2,250,704)

$(11,396,177)

(2,338,886)

$(11,898,394)

#### Class

#### 4

#### Shares:
Shares

sold

...................................

392,139

$1,901,451

457,236

$2,010,540

Shares

redeemed

...............................

(1,438,632)

(7,354,588)

(1,661,255)

(7,293,711)

Net

increase

(decrease)

..........................

(1,046,493)

$(5,453,137)

(1,204,019)

$(5,283,171)

#### Subsidiary

#### Affiliation
Franklin

Advisers,

Inc.

(Advisers)

Investment

manager

Franklin

Templeton

Services,

LLC

(FT

Services)

Administrative

manager

Franklin

Distributors,

LLC

(Distributors)

Principal

underwriter

Franklin

Templeton

Investor

Services,

LLC

(Investor

Services)

Transfer

agent

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
0.630%

Up

to

and

including

$100

million

0.500%

Over

$100

million,

up

to

and

including

$250

million

0.450%

Over

$250

million,

up

to

and

including

$7.5

billion

0.440%

Over

$7.5

billion,

up

to

and

including

$10

billion

0.430%

Over

$10

billion,

up

to

and

including

$12.5

billion

0.420%

Over

$12.5

billion,

up

to

and

including

$15

billion

0.400%

In

excess

of

$15

billion

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### DynaTech

#### VIP

#### Fund
(continued)

c. #### Distribution

#### Fees
The

Board

has

adopted distribution

plans

for

Class

2 and

Class

shares

pursuant

to

Rule

12b-1

under

the

1940

Act.

Under

the

Fund's

compensation

distribution

plans,

the

Fund

pays

Distributors

for

costs

incurred

in

connection

with

the

servicing,

sale

and

distribution

of

the

Fund's

shares

up

to

0.35%

per

year

of

its

average

daily

net

assets

of

each

class.

The

Board

has

agreed

to

limit

the

current

rate

to

0.25%

per

year

for

Class

2. The

plan

year,

for

purposes

of

monitoring

compliance

with

the

maximum

annual

plan

rates,

is

February

through

January

31. d. #### Transfer

#### Agent

#### Fees
Investor

Services,

under

terms

of

an

agreement,

performs

shareholder

servicing

for

the

Fund and

is

not

paid

by

the Fund

for

the

services.

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
The

Fund

invests

in

one

or

more

affiliated

management

investment

companies.

As

defined

in

the

1940

Act,

an

investment

is

deemed

to

be

a

"Controlled

Affiliate"

of

a

fund

when

a

fund

owns,

either

directly

or

indirectly,

25%

or

more

of

the

affiliated

fund's

outstanding

shares

or

has

the

power

to

exercise

control

over

management

or

policies

of

such

fund.

The

Fund

does

not

invest

for

purposes

of

exercising

a

controlling

influence

over

the

management

or

policies.

Management

fees

paid

by

the

Fund

are

waived

on

assets

invested

in

the

affiliated

management

investment

companies,

as

noted

in

the

Statement

of

Operations,

in

an

amount

not

to

exceed

the

management

and

administrative

fees,

if

applicable, paid

directly

or

indirectly

by

each

affiliate.

During

the

year

ended

December

31,

2025,

the

Fund

held

investments

in

affiliated

management

investment

companies

as

follows:

f. #### Waiver

#### and

#### Expense

#### Reimbursements
Advisers

has contractually

agreed

in

advance

to

waive

or

limit

its fees

and

to

assume

as

its

own

expense

certain

expenses

otherwise

payable

by

the

Fund

so

that

the

operating expenses

(excluding

distribution

fees,

acquired

fund

fees

and

expenses

and

certain

non-routine

expenses

or

costs,

including

those

relating

to

litigation,

indemnification,

reorganizations,

and

liquidations)

for

each

class

of

the

Fund

do

not

exceed 0.71%,

based

on

the

average

net

assets

of

each

class

until April

30,

2026. Total

expenses

waived

or

paid

are

not

subject

to

recapture

subsequent

to

the

Fund's

fiscal

year

end.

#### &nbsp;&nbsp;&nbsp;&nbsp;aa

#### Value

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### Sales

#### Realized

#### Gain
(Loss)

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### Value

#### at

#### End

#### of

#### Year

#### Number

#### of

#### Shares

#### Held

#### at

#### End

#### of

#### Year

#### Investment

#### Income

#### a&nbsp;&nbsp;&nbsp;&nbsp;

#### a

#### Franklin

#### DynaTech

#### VIP

#### Fund

#### Non-Controlled

#### Affiliates
Dividends

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$114,911

$40,341,999

$(36,946,601)

$—

$—

$3,510,309

3,510,309

$70,823

#### Non-Controlled

#### Affiliates
Income

from

securities

loaned

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$436,190

$14,492,613

$(14,814,778)

$—

$—

$114,025

114,025

$18,525

#### Total

#### Affiliated

#### Securities

#### ...
$551,101

$54,834,612

$(51,761,379)

$—

$—

$3,624,334

$89,348

#### 3

#### .

#### Transactions

#### with

#### Affiliates
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### DynaTech

#### VIP

#### Fund
(continued)

4. #### Income

#### Taxes
For

tax

purposes,

capital

losses

may

be

carried

over

to

offset

future

capital

gains.

During

the

year

ended

December

31,

2025,

the

Fund

utilized

$4,172,717

of

capital

loss

carryforwards.

At

December

31,

2025,

the

cost

of

investments,

net

unrealized

appreciation

(depreciation)

and

undistributed

long

term

capital

gains for

income

tax

purposes

were

as

follows:

Differences

between

income

and/or

capital

gains

as

determined

on

a

book

basis

and

a

tax

basis

are

primarily

due

to

differing

treatments

of

wash

sales

and

net

operating

losses.

5. #### Investment

#### Transactions
Purchases

and

sales

of

investments (excluding

short

term

securities) for

the

year

ended

December

31,

2025,

aggregated

$64,936,467 and

$86,138,462,

respectively.

At

December

31,

2025,

in

connection

with

securities

lending

transactions,

the

Fund

loaned

equity

investments

and

received

$114,025

of

cash

collateral.

The

gross

amount

of

recognized

liability

for

such

transactions

is

included

in

payable

upon

return

of

securities

loaned

in

the

Statement

of

Assets

and

Liabilities.

The

agreements

can

be

terminated

at

any

time.

6. #### Concentration

#### of

#### Risk
Certain

investments

in

Chinese

companies

are

made

through

a

special

structure

known

as

a

VIE.

In

a

VIE

structure,

foreign

investors,

such

as

the

Fund,

will

only

own

stock

in

a

shell

company

rather

than

directly

in

the

VIE,

which

must

be

owned

by

Chinese

nationals

(and/or

Chinese

companies)

to

obtain

the

licenses

and/or

assets

required

to

operate

in

a

restricted

or

prohibited

sector

in

China.

The

value

of

the

shell

company

is

derived

from

its

ability

to

consolidate

the

VIE

into

its

financials

pursuant

to

contractual

arrangements

that

allow

the

shell

company

to

exert

a

degree

of

control

over,

and

obtain

economic

benefits

arising

from,

the

VIE

without

formal

legal

ownership.

While

VIEs

are

a

longstanding

industry

practice

and

are

well

known

by

Chinese

officials

and

regulators,

the

structure

historically

has

not

been

formally

recognized

under

Chinese

law

and

it

is

uncertain

whether

Chinese

officials

or

regulators

will

withdraw

their

implicit

acceptance

of

the

structure.

It

is

also

uncertain

whether

the

contractual

arrangements,

which

may

be

subject

to

conflicts

of

interest

between

the

legal

owners

of

the

VIE

and

foreign

investors,

would

be

enforced

by

Chinese

courts

or

arbitration

bodies.

Prohibitions

of

these

structures

by

the

Chinese

government,

or

the

inability

to

enforce

such

contracts,

from

which

the

shell

company

derives

its

value,

would

likely

cause

the

VIE-structured

holding(s)

to

suffer

significant,

detrimental,

and

possibly

permanent

losses,

and

in

turn,

adversely

affect

the

Fund's

returns

and

net

asset

value.

7. #### Credit

#### Facility
The

Fund,

together

with

other

U.S.

registered

and

foreign

investment

funds

(collectively,

Borrowers),

managed

by

Franklin

Templeton,

are

borrowers

in

a

joint

syndicated

senior

unsecured

credit

facility

totaling

$2.995

billion

(Global

Credit

Facility)

which

matured

on

January

30,

2026. This

Global

Credit

Facility

provides

a

source

of

funds

to

the

Borrowers

for

temporary

Cost

of

investments

..........................................................................

$82,027,343

Unrealized

appreciation

........................................................................

$110,048,873

Unrealized

depreciation

........................................................................

(1,246,657)

Net

unrealized

appreciation

(depreciation)

..........................................................

$108,802,216

Distributable

earnings:

Undistributed

long

term

capital

gains

..............................................................

14,710,865

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### DynaTech

#### VIP

#### Fund
(continued)

and

emergency

purposes,

including

the

ability

to

meet

future

unanticipated

or

unusually

large

redemption

requests.

Effective

January

30,

2026,

the

Borrowers

renewed

the

Global

Credit

Facility

for

a

one-year

term,

maturing

January

29,

2027,

for

a

total

of

$2.995

billion.

Under

the

terms

of

the

Global

Credit

Facility,

the

Fund

may,

in

addition

to

interest

charged

on

any

borrowings

made

by

the

Fund

and

other

costs

incurred

by

the

Fund,

pay

its

share

of

fees

and

expenses

incurred

in

connection

with

the

implementation

and

maintenance

of

the

Global

Credit

Facility,

based

upon

its

relative

share

of

the

aggregate

net

assets

of

all

of

the

Borrowers,

including

an

annual

commitment

fee

of

0.15%

based

upon

the

unused

portion

of

the

Global

Credit

Facility.

These

fees

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

During

the

year

ended

December

31,

2025,

the Fund

did

not

use

the

Global

Credit

Facility.

8. #### Fair

#### Value

#### Measurements
The

Fund

follows

a

fair

value

hierarchy

that

distinguishes

between

market

data

obtained

from

independent

sources

(observable

inputs)

and

the Fund's

own

market

assumptions

(unobservable

inputs).

These

inputs

are

used

in

determining

the

value

of

the

Fund's financial

instruments

and

are

summarized

in

the

following

fair

value

hierarchy:

Level

–

quoted

prices

in

active

markets

for

identical

financial

instruments

Level

–

other

significant

observable

inputs

(including

quoted

prices

for

similar

financial

instruments,

interest

rates,

prepayment

speed,

credit

risk,

etc.)

Level

–

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

financial

instruments)

The

input

levels

are

not

necessarily

an

indication

of

the

risk

or

liquidity

associated

with

financial

instruments

at

that

level.

A

summary

of

inputs

used

as

of

December

31,

2025,

in

valuing

the

Fund's assets carried

at

fair

value,

is

as

follows:

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### DynaTech

#### VIP

#### Fund

#### Assets:
Investments

in

Securities:

a

Common

Stocks

:

Aerospace

&

Defense

...................

$

5,324,353

$

—

$

—

$

5,324,353

Automobiles

..........................

5,239,238

—

—

5,239,238

Biotechnology

.........................

6,995,678

1,267,846

—

8,263,524

Broadline

Retail

.......................

17,953,345

—

—

17,953,345

Capital

Markets

........................

1,910,481

—

—

1,910,481

Communications

Equipment

..............

1,443,295

—

—

1,443,295

Construction

&

Engineering

...............

807,611

—

—

807,611

Consumer

Finance

.....................

58,320

—

—

58,320

Electrical

Equipment

....................

1,494,770

—

—

1,494,770

Electronic

Equipment,

Instruments

&

Components

........................

5,839,414

—

—

5,839,414

Energy

Equipment

&

Services

.............

441,469

—

—

441,469

Entertainment

.........................

4,646,312

—

—

4,646,312

Financial

Services

......................

6,738,704

—

—

6,738,704

Ground

Transportation

..................

680,317

—

—

680,317

Health

Care

Equipment

&

Supplies

.........

2,955,467

—

—

2,955,467

Health

Care

Providers

&

Services

..........

1,815,814

—

—

1,815,814

Health

Care

Technology

.................

314,083

491,992

—

806,075

Hotels,

Restaurants

&

Leisure

.............

3,717,795

—

—

3,717,795

Interactive

Media

&

Services

..............

22,633,545

53,260

—

22,686,805

7. #### Credit

#### Facility
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### DynaTech

#### VIP

#### Fund
(continued)

A

reconciliation

of

assets

in

which

Level

inputs

are

used

in

determining

fair

value

is

presented

when

there

are

significant

Level

assets

and/or

liabilities

at

the

beginning

and/or

end

of

the

year.

9. #### Operating

#### Segments
The Fund operates

as

a

single

operating

segment,

which

is

an

investment

portfolio.

The

portfolio

managers

assigned

to

the

Fund

within

the

Fund's

Investment

manager serve

as

the

Chief

Operating

Decision

Maker

("CODM")

and

are

responsible

for

evaluating

the

Fund's

operating

results

and

allocating

resources

in

accordance

with

the

Fund's

investment

strategy.

Internal

reporting

provided

to

the

CODM

aligns

with

the

accounting

policies

and

measurement

principles

used

in

the financial

statements.

For

information

regarding

segment

assets,

segment

profit

or

loss,

and

significant

expenses,

refer

to

the Statement

of

Assets

and

Liabilities

and

the Statement

of

Operations,

along

with

the

related

notes

to

the financial

statements.

The Schedule

of

Investments

provides

details

of

the Fund's investments

that

generate

returns

such

as

interest,

dividends,

and

realized

and

unrealized

gains

or

losses.

Performance

metrics,

including

portfolio

turnover

and

expense

ratios,

are

disclosed

in

the Financial

Highlights.

10. #### Subsequent

#### Events
The Fund

has

evaluated

subsequent

events

through

the

issuance

of

the

financial

statements

and

determined

that

no

events

have

occurred

that

require

disclosure

other

than

those

already

disclosed

in

the

financial

statements.

#### Abbreviations

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### DynaTech

#### VIP

#### Fund
(continued)

#### Assets:
(continued)

Investments

in

Securities:

a

(continued)

Common

Stocks:

(continued)

IT

Services

...........................

$

9,520,760

$

—

$

—

$

9,520,760

Life

Sciences

Tools

&

Services

............

677,182

124,463

—

801,645

Machinery

............................

154,938

—

—

154,938

Pharmaceuticals

.......................

3,338,193

—

—

3,338,193

Semiconductors

&

Semiconductor

Equipment

.

46,119,083

—

—

46,119,083

Software

.............................

26,229,136

—

—

26,229,136

Specialty

Retail

........................

976,554

—

—

976,554

Technology

Hardware,

Storage

&

Peripherals

.

7,241,807

—

—

7,241,807

Warrants

...............................

—

—

—

b

—

Short

Term

Investments

...................

3,624,334

—

—

3,624,334

Total

Investments

in

Securities

...........

$188,891,998

$1,937,561

c

$—

$190,829,559

a

For

detailed

categories,

see

the

accompanying

Schedule

of

Investments.

b

Includes

financial

instruments

determined

to

have

no

value.

c

Includes

foreign

securities

valued

at

$1,937,561,

which

were

categorized

as

Level

as

a

result

of

the

application

of

market

level

fair

value

procedures.

See

the

Financial

Instrument

Valuation

note

for

more

information.

#### Selected

#### Portfolio

#### ADR
American

Depositary

Receipt

8. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Report

of

Independent

Registered

Public

Accounting

Firm

franklintempleton.com

Annual

Report

To

the

Board

of

Trustees

of

Franklin

Templeton

Variable

Insurance

Products

Trust

and

Shareholders

of

Franklin

DynaTech

VIP

Fund

#### Opinion

#### on

#### the

#### Financial

#### Statements
We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

investments,

of

Franklin

DynaTech

VIP

Fund

(one

of

the

funds

constituting

Franklin

Templeton

Variable

Insurance

Products

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2025,

the

related

statement

of

operations

for

the

year

ended

December

31,

2025,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

(collectively

referred

to

as

the

"financial

statements").

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2025,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

#### Basis

#### for

#### Opinion
These

financial

statements

are

the

responsibility

of

the

Fund's

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund's

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2025

by

correspondence

with

the

custodian,

transfer

agent

and

broker.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/PricewaterhouseCoopers

LLP

San

Francisco,

California

February

19,

2026

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Franklin

Templeton

Group

of

Funds

since

1948. Franklin

Templeton

Variable

Insurance

Products

Trust

Tax

Information

(unaudited)

franklintempleton.com

Annual

Report

#### Franklin

#### DynaTech

#### VIP

#### Fund
By

mid-February,

tax

information

related

to

a

shareholder's

proportionate

share

of

distributions

paid

during

the

preceding

calendar

year

will

be

received,

if

applicable.

Please

also

refer

to

www.franklintempleton.com

for

per

share

tax

information

related

to

any

distributions

paid

during

the

preceding

calendar

year.

Shareholders

are

advised

to

consult

with

their

tax

advisors

for

further

information

on

the

treatment

of

these

amounts

on

their

tax

returns.

The

following

tax

information

for

the

Fund

is

required

to

be

furnished

to

shareholders

with

respect

to

income

earned

and

distributions

paid

during

its

fiscal

year.

The

Fund

hereby

reports

the

following

amount,

or

if

subsequently

determined

to

be

different,

the

maximum

allowable

amount,

for

the

fiscal

year

ended

December

31,

2025:

#### Pursuant

#### to:

#### Amount

#### Reported
Income

Eligible

for

Dividends

Received

Deduction

(DRD)

§854(b)(1)(A)

$435,077

Franklin

Templeton

Variable

Insurance

Products

Trust

franklintempleton.com

Annual

Report

#### Changes

#### In

#### and

#### Disagreements

#### with

#### Accountants
For

the

period

covered

by

this

report

Not

applicable.

#### Results

#### of

#### Meeting(s)

#### of

#### Shareholders
For

the

period

covered

by

this

report

Not

applicable.

#### Remuneration

#### Paid

#### to

#### Directors,

#### Officers

#### and

#### Others
For

the

period

covered

by

this

report

Refer

to

the

financial

statements

included

herein.

Remuneration

to

officers

is

paid

by

the

Fund's

investment

manager

according

to

the

terms

of

the

agreement.

#### Board

#### Approval

#### of

#### Management

#### and

#### Subadvisory

#### Agreements
For

the

period

covered

by

this

report

Not

applicable.

4410-AFSOI

02/26©

2026

Franklin

Templeton.

All

rights

reserved.

#### Franklin

#### Global

#### Real

#### Estate

#### VIP

#### Fund

#### Financial

#### Statements

#### and

#### Other

#### Important

#### Information

#### Annual
\|

December

31,

2025

#### Table

#### of

#### Contents
franklintempleton.com

Financial

Statements

and

Other

Important

Information—Annual

Financial

Highlights

and

Schedule

of

Investments

#### 2
Financial

Statements

#### 7
Notes

to

Financial

Statements

#### 10
Report

of

Independent

Registered

Public

Accounting

Firm

#### 18
Tax

Information

#### 19
Changes

In

and

Disagreements

with

Accountants

#### 20
Results

of

Meeting(s)

of

Shareholders

Remuneration

Paid

to

Directors,

Officers

and

Others

Board

Approval

of

Management

and

Subadvisory

Agreements

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Global

#### Real

#### Estate

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 1

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$12.74

$13.01

$12.01

$18.06

$14.66

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.21 0.28 0.30 0.21 0.19 Net

realized

and

unrealized

gains

(losses)

...........

0.83 (0.29)

1.07 (4.83)

3.76 Total

from

investment

operations

....................

1.04 (0.01)

1.37 (4.62)

3.95 Less

distributions

from:

Net

investment

income

..........................

(0.21)

(0.26)

(0.37)

(0.39)

(0.18)

Net

realized

gains

.............................

—

—

—

(1.04)

(0.37)

Total

distributions

...............................

(0.21)

(0.26)

(0.37)

(1.43)

(0.55)

Net

asset

value,

end

of

year

.......................

$13.57

$12.74

$13.01

$12.01

$18.06

Total

return

c

...................................

8.22%

0.03%

11.68%

(25.92)%

27.20%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.18%

1.12%

1.16%

1.14%

1.16%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.00%

1.00%

1.00%

d

1.00%

d

1.00%

d

Net

investment

income

...........................

1.61%

2.15%

2.49%

1.50%

1.14%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$731

$695

$709

$727

$1,001

Portfolio

turnover

rate

............................

33.46%

38.41%

18.27%

15.44%

26.48%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Global

#### Real

#### Estate

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 2

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$12.27

$12.55

$11.59

$17.47

$14.21

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.17 0.23 0.26 0.17 0.14 Net

realized

and

unrealized

gains

(losses)

...........

0.80 (0.28)

1.04 (4.66)

3.63 Total

from

investment

operations

....................

0.97 (0.05)

1.30 (4.49)

3.77 Less

distributions

from:

Net

investment

income

..........................

(0.18)

(0.23)

(0.34)

(0.35)

(0.14)

Net

realized

gains

.............................

—

—

—

(1.04)

(0.37)

Total

distributions

...............................

(0.18)

(0.23)

(0.34)

(1.39)

(0.51)

Net

asset

value,

end

of

year

.......................

$13.06

$12.27

$12.55

$11.59

$17.47

Total

return

c

...................................

7.93%

(0.32)%

11.43%

(26.06)%

26.79%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.43%

1.37%

1.41%

1.40%

1.41%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.25%

1.25%

1.25%

d

1.25%

d

1.25%

d

Net

investment

income

...........................

1.35%

1.88%

2.23%

1.24%

0.88%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$101,466

$101,968

$110,116

$108,583

$154,411

Portfolio

turnover

rate

............................

33.46%

38.41%

18.27%

15.44%

26.48%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments,

December

31,

2025

#### Franklin

#### Global

#### Real

#### Estate

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks

#### 99.0%

#### Diversified

#### REITs

#### 7.8%
British

Land

Co.

plc

(The)

.............................

United

Kingdom

175,904

$

954,526

Broadstone

Net

Lease,

Inc.

............................

United

States

62,910

1,092,747

CapitaLand

Integrated

Commercial

Trust

..................

Singapore

910,347

1,689,646

KDX

Realty

Investment

Corp.

..........................

Japan

900

1,010,119

Shaftesbury

Capital

plc

...............................

United

Kingdom

488,672

953,251

Star

Asia

Investment

Corp.

............................

Japan

2,140

842,313

Stockland

.........................................

Australia

359,400

1,370,289

7,912,891

#### Health

#### Care

#### Providers

#### &

#### Services

#### 1.4%
Chartwell

Retirement

Residences

.......................

Canada

99,666

1,459,536

#### Health

#### Care

#### REITs

#### 13.0%
American

Healthcare

REIT,

Inc.

.........................

United

States

24,237

1,140,593

Sabra

Health

Care

REIT,

Inc.

..........................

United

States

58,230

1,102,876

Ventas,

Inc.

........................................

United

States

36,080

2,791,871

Welltower,

Inc.

.....................................

United

States

44,478

8,255,562

13,290,902

#### Hotel

#### &

#### Resort

#### REITs

#### 2.1%
Japan

Hotel

REIT

Investment

Corp.

......................

Japan

1,346

702,482

Ryman

Hospitality

Properties,

Inc.

.......................

United

States

8,356

790,645

Sunstone

Hotel

Investors,

Inc.

..........................

United

States

71,033

635,035

2,128,162

#### Industrial

#### REITs

#### 13.8%
EastGroup

Properties,

Inc.

............................

United

States

8,688

1,547,681

First

Industrial

Realty

Trust,

Inc.

........................

United

States

24,934

1,427,970

Goodman

Group

....................................

Australia

148,903

3,064,151

Mapletree

Logistics

Trust

.............................

Singapore

952,298

975,883

Prologis,

Inc.

.......................................

United

States

39,915

5,095,549

Tritax

Big

Box

REIT

plc

...............................

United

Kingdom

527,066

1,077,029

Warehouses

De

Pauw

CVA

............................

Belgium

36,480

946,051

14,134,314

#### Office

#### REITs

#### 4.5%
BXP,

Inc.

..........................................

United

States

13,166

888,442

Cousins

Properties,

Inc.

..............................

United

States

46,618

1,201,812

Daiwa

Office

Investment

Corp.

.........................

Japan

859,789

Gecina

SA

........................................

France

11,913

1,131,409

SL

Green

Realty

Corp.

...............................

United

States

10,380

476,130

4,557,582

#### Real

#### Estate

#### Management

#### &

#### Development

#### 12.8%
Cibus

Nordic

Real

Estate

AB

publ

.......................

Sweden

36,635

584,751

City

Developments

Ltd.

...............................

Singapore

140,238

872,283

a

CTP

NV

,

144A

,

Reg

S

................................

Netherlands

46,414

972,576

b

Fastighets

AB

Balder

,

B

...............................

Sweden

141,822

1,046,832

Henderson

Land

Development

Co.

Ltd.

...................

Hong

Kong

203,191

735,813

Mitsui

Fudosan

Co.

Ltd.

..............................

Japan

269,415

3,061,706

Sumitomo

Realty

&

Development

Co.

Ltd.

.................

Japan

75,228

1,888,670

Sun

Hung

Kai

Properties

Ltd.

..........................

Hong

Kong

124,671

1,518,030

Swire

Properties

Ltd.

.................................

Hong

Kong

278,123

751,054

TAG

Immobilien

AG

..................................

Germany

67,410

1,044,034

Vonovia

SE

........................................

Germany

21,858

629,059

13,104,808

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Global

#### Real

#### Estate

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Residential

#### REITs

#### 13.0%
American

Homes

Rent

,

A

............................

United

States

73,343

$

2,354,310

AvalonBay

Communities,

Inc.

..........................

United

States

18,058

3,274,096

Boardwalk

Real

Estate

Investment

Trust

..................

Canada

22,035

1,035,166

Camden

Property

Trust

...............................

United

States

24,248

2,669,220

Comforia

Residential

REIT,

Inc.

.........................

Japan

627,318

Equity

LifeStyle

Properties,

Inc.

.........................

United

States

21,806

1,321,662

a

GO

Residential

Real

Estate

Investment

Trust

,

144A

,

Reg

S

....

United

States

33,941

397,789

Independence

Realty

Trust,

Inc.

........................

United

States

31,008

542,020

Irish

Residential

Properties

REIT

plc

.....................

Ireland

443,185

488,539

UNITE

Group

plc

(The)

...............................

United

Kingdom

80,653

607,221

13,317,341

#### Retail

#### REITs

#### 16.6%
Brixmor

Property

Group,

Inc.

...........................

United

States

62,821

1,647,167

Carmila

SA

........................................

France

34,334

684,935

First

Capital

Real

Estate

Investment

Trust

.................

Canada

66,197

911,532

InvenTrust

Properties

Corp.

............................

United

States

19,797

558,473

Macerich

Co.

(The)

..................................

United

States

37,874

699,154

NETSTREIT

Corp.

..................................

United

States

98,551

1,738,440

Realty

Income

Corp.

.................................

United

States

74,417

4,194,886

Regency

Centers

Corp.

...............................

United

States

25,391

1,752,741

Simon

Property

Group,

Inc.

............................

United

States

11,220

2,076,934

Unibail-Rodamco-Westfield

............................

France

13,113

1,425,998

Vicinity

Ltd.

........................................

Australia

730,384

1,243,481

16,933,741

#### Specialized

#### REITs

#### 14.0%
CubeSmart

........................................

United

States

26,525

956,226

Digital

Core

REIT

Management

Pte.

Ltd.

..................

Singapore

899,513

458,228

Digital

Realty

Trust,

Inc.

..............................

United

States

22,305

3,450,806

Equinix,

Inc.

.......................................

United

States

6,605

5,060,487

Extra

Space

Storage,

Inc.

.............................

United

States

16,490

2,147,328

Iron

Mountain,

Inc.

..................................

United

States

14,127

1,171,835

b

Shurgard

Self

Storage

Ltd.

............................

Belgium

19,018

653,577

Smartstop

Self

Storage

REIT,

Inc.

.......................

United

States

14,468

447,640

14,346,127

#### Total

#### Common

#### Stocks

#### (Cost

#### $

#### 72,733,870

####)
....................................

#### 101,185,404

#### Short

#### Term

#### Investments

#### 0.9%
a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Money

#### Market

#### Funds

#### 0.9%
c,d

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

.........................................

United

States

871,183

871,183

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $

#### 871,183

####)
...................................

#### 871,183

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $

#### 871,183

####)
................................

#### 871,183

#### a

#### Total

#### Investments

#### (Cost

#### $

#### 73,605,053

####)
99.9 #### %
..................................

#### $102,056,587

#### Other

#### Assets,

#### less

#### Liabilities
0.1 #### %
...........................................

#### 139,683

#### Net

#### Assets

#### 100.0%

#### .........................................................

#### $102,196,270

#### a
Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Global

#### Real

#### Estate

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

See

Abbreviations

on

.

a

Security

was

purchased

pursuant

to

Rule

144A

or

Regulation

S

under

the

Securities

Act

of

1933. 144A

securities

may

be

sold

in

transactions

exempt

from

registration

only

to

qualified

institutional

buyers

or

in

a

public

offering

registered

under

the

Securities

Act

of

1933. Regulation

S

securities

cannot

be

sold

in

the

United

States

without

either

an

effective

registration

statement

filed

pursuant

to

the

Securities

Act

of

1933,

or

pursuant

to

an

exemption

from

registration.

At

December

31,

2025,

the

aggregate

value

of

these

securities

was

$1,370,365,

representing

1.3%

of

net

assets.

b

Non-income

producing.

c

See

Note

(e)

regarding

investments

in

affiliated

management

investment

companies.

d

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Assets

and

Liabilities

December

31,

2025

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Global

#### Real

#### Estate

#### VIP

#### Fund
Assets:

Investments

in

securities:

Cost

-

Unaffiliated

issuers

...................................................................

$72,733,870

Cost

-

Non-controlled

affiliates

(Note

e)

........................................................

871,183

Value

-

Unaffiliated

issuers

..................................................................

$101,185,404

Value

-

Non-controlled

affiliates

(Note

e)

.......................................................

871,183

Cash

....................................................................................

61,189

Receivables:

Investment

securities

sold

...................................................................

Capital

shares

sold

........................................................................

Dividends

and

interest

.....................................................................

411,392

Total

assets

..........................................................................

102,529,263

Liabilities:

Payables:

Investment

securities

purchased

..............................................................

177,157

Capital

shares

redeemed

...................................................................

16,943

Management

fees

.........................................................................

50,148

Distribution

fees

..........................................................................

21,379

Professional

fees

.........................................................................

56,805

Trustees'

fees

and

expenses

.................................................................

Accrued

expenses

and

other

liabilities

...........................................................

10,515

Total

liabilities

.........................................................................

332,993

Net

assets,

at

value

.................................................................

$102,196,270

Net

assets

consist

of:

Paid-in

capital

.............................................................................

$74,559,484

Total

distributable

earnings

(losses)

.............................................................

27,636,786

Net

assets,

at

value

.................................................................

$102,196,270

#### Franklin

#### Global

#### Real

#### Estate

#### VIP

#### Fund

#### Class

#### 1:
Net

assets,

at

value

.......................................................................

$730,619

Shares

outstanding

........................................................................

53,857

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$13.57

#### Class

#### 2:
Net

assets,

at

value

.......................................................................

$101,465,651

Shares

outstanding

........................................................................

7,766,619

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$13.06

a

Net

asset

value

per

share

may

not

recalculate

due

to

rounding.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Operations

for

the

year

ended

December

31,

2025

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Franklin

#### Global

#### Real

#### Estate

#### VIP

#### Fund
Investment

income:

Dividends:

(net

of

foreign

taxes

of

$143,192)

Unaffiliated

issuers

........................................................................

$2,639,809

Non-controlled

affiliates

(Note

e)

.............................................................

5,680

Interest:

Unaffiliated

issuers

........................................................................

18,735

Income

from

securities

loaned:

Unaffiliated

entities

(net

of

fees

and

rebates)

.....................................................

(3,488)

Non-controlled

affiliates

(Note

e)

.............................................................

8,011

Total

investment

income

...................................................................

2,668,747

Expenses:

Management

fees

(Note

a)

...................................................................

1,076,683

Distribution

fees:

(Note

3c)

Class

................................................................................

254,568

Custodian

fees

............................................................................

4,202

Reports

to

shareholders

fees

..................................................................

11,815

Professional

fees

...........................................................................

101,621

Trustees'

fees

and

expenses

..................................................................

1,391

Other

....................................................................................

12,738

Total

expenses

.........................................................................

1,463,018

Expenses

waived/paid

by

affiliates

(Note

e

and

f)

..............................................

(183,038)

Net

expenses

.........................................................................

1,279,980

Net

investment

income

................................................................

1,388,767

Realized

and

unrealized

gains

(losses):

Net

realized

gain

(loss)

from:

Investments:

Unaffiliated

issuers

......................................................................

2,984,280

Foreign

currency

transactions

................................................................

21,792

Net

realized

gain

(loss)

..................................................................

3,006,072

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments:

Unaffiliated

issuers

......................................................................

3,391,763

Translation

of

other

assets

and

liabilities

denominated

in

foreign

currencies

..............................

6,682

Net

change

in

unrealized

appreciation

(depreciation)

............................................

3,398,445

Net

realized

and

unrealized

gain

(loss)

............................................................

6,404,517

Net

increase

(decrease)

in

net

assets

resulting

from

operations

..........................................

$7,793,284

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statements

of

Changes

in

Net

Assets

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Global

#### Real

#### Estate

#### VIP

#### Fund

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024
Increase

(decrease)

in

net

assets:

Operations:

Net

investment

income

.................................................

$1,388,767

$1,990,589

Net

realized

gain

(loss)

.................................................

3,006,072

2,713,479

Net

change

in

unrealized

appreciation

(depreciation)

...........................

3,398,445

(5,057,258)

Net

increase

(decrease)

in

net

assets

resulting

from

operations

................

7,793,284

(353,190)

Distributions

to

shareholders:

Class

.............................................................

(11,273)

(14,055)

Class

.............................................................

(1,423,084)

(1,932,902)

Total

distributions

to

shareholders

..........................................

(1,434,357)

(1,946,957)

Capital

share

transactions:

(Note

2)

Class

.............................................................

(8,967)

1,314

Class

.............................................................

(6,817,072)

(5,862,732)

Total

capital

share

transactions

............................................

(6,826,039)

(5,861,418)

Net

increase

(decrease)

in

net

assets

...................................

(467,112)

(8,161,565)

Net

assets:

Beginning

of

year

.......................................................

102,663,382

110,824,947

End

of

year

...........................................................

$102,196,270

$102,663,382

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

#### Franklin

#### Global

#### Real

#### Estate

#### VIP

#### Fund

franklintempleton.com

Annual

Report

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
Franklin

Templeton

Variable

Insurance

Products

Trust

(Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-end

management

investment

company,

consisting

of seventeen separate

funds.

The Trust

follows the

accounting

and

reporting

guidance

in

Financial

Accounting

Standards

Board

(FASB)

Accounting

Standards

Codification

Topic

946,

Financial

Services

–

Investment

Companies

(ASC

946)

and

applies

the

specialized

accounting

and

reporting

guidance

in

U.S.

Generally

Accepted

Accounting

Principles

(U.S.

GAAP),

including,

but

not

limited

to,

ASC

946. Franklin

Global

Real

Estate

VIP

Fund

(Fund)

is

included

in

this

report.

Shares

of

the

Fund

are

generally

sold

only

to

insurance

company

separate

accounts

to

fund

the

benefits

of

variable

life

insurance

policies

or

variable

annuity

contracts. At

December

31,

2025,

78.7%

of

the

Fund's

shares

were

held

through

one

insurance

company.

Investment

activities

of

these

insurance

company

separate

accounts

could

have

a

material

impact

on

the

Fund.

The

Fund

offers two classes

of

shares:

Class

and

Class

2. Each

class

of

shares

may

differ

by

its

distribution

fees,

voting

rights

on

matters

affecting

a

single

class

and

its

exchange

privilege.

The

following

summarizes

the Fund's

significant

accounting

policies.

a. #### Financial

#### Instrument

#### Valuation
The

Fund's

investments

in

financial

instruments

are

carried

at

fair

value

daily.

Fair

value

is

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

market

participants

on

the

measurement

date.

The

Fund

calculates

the

net

asset

value

(NAV)

per

share

each business

day as

of

p.m.

Eastern

time

or

the

regularly

scheduled

close

of

the

New

York

Stock

Exchange

(NYSE),

whichever

is

earlier.

Under

compliance

policies

and

procedures

approved

by

the Trust's

Board

of

Trustees

(the

Board),

the

Board

has

designated

the

Fund's

investment

manager

as

the

valuation

designee

and

has

responsibility

for

oversight

of

valuation.

The

investment

manager

is

assisted

by

the

Fund's

administrator

in

performing

this

responsibility,

including

leading

the

cross-

functional

Valuation

Committee

(VC).

The

Fund

may

utilize

independent

pricing

services,

quotations

from

securities

and

financial

instrument

dealers,

and

other

market

sources

to

determine

fair

value.

Equity

securities

listed

on

an

exchange

or

on

the

NASDAQ

National

Market

System

are

valued

at

the

last

quoted

sale

price

or

the

official

closing

price of

the

day,

respectively.

Foreign

equity

securities

are

valued

as

of

the

close

of

trading

on

the

foreign

stock

exchange

on

which

the

security

is

primarily

traded,

or

as

of

p.m.

Eastern

time.

The

value

is

then

converted

into

its

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

p.m.

Eastern

time

on

the

day

that

the

value

of

the

security

is

determined.

Over-the-counter

(OTC)

securities

are

valued

within

the

range

of

the

most

recent

quoted

bid

and

ask

prices.

Securities

that

trade

in

multiple

markets

or

on

multiple

exchanges

are

valued

according

to

the

broadest

and

most

representative

market.

Certain

equity

securities

are

valued

based

upon

fundamental

characteristics

or

relationships

to

similar

securities.

Investments

in open-end mutual

funds

are

valued

at

the

closing

NAV.

The

Fund

has

procedures

to

determine

the

fair

value

of

financial

instruments

for

which

market

prices

are

not

reliable

or

readily

available.

Under

these

procedures,

the Fund

primarily

employs

a

market-based

approach

which

may

use

related

or

comparable

assets

or

liabilities,

recent

transactions,

market

multiples,

and

other

relevant

information

for

the

investment

to

determine

the

fair

value

of

the

investment.

An

income-based

valuation

approach

may

also

be

used

in

which

the

anticipated

future

cash

flows

of

the

investment

are

discounted

to

calculate

fair

value.

Discounts

may

also

be

applied

due

to

the

nature

or

duration

of

any

restrictions

on

the

disposition

of

the

investments.

Due

to

the

inherent

uncertainty

of

valuations

of

such

investments,

the

fair

values

may

differ

significantly

from

the

values

that

would

have

been

used

had

an

active

market

existed.

Trading

in

securities

on

foreign

securities

stock

exchanges

and

OTC

markets

may

be

completed

before

p.m.

Eastern

time.

In

addition,

trading

in

certain

foreign

markets

may

not

take

place

on

every

Fund's

business

day. Events

can occur

between

the

time

at

which

trading

in

a

foreign

security

is

completed

and

p.m.

Eastern

time

that

might

call

into

question

the

reliability

of

the

value

of

a

portfolio

security

held

by

the

Fund.

As

a

result,

differences

may

arise

between

the

value

of

the

Fund's

portfolio

securities

as

determined

at

the

foreign

market

close

and

the

latest

indications

of

value

at

p.m.

Eastern

time. In

order

to

minimize

the

potential

for

these

differences,

an

independent

pricing

service

may

be

used

to

adjust

the

value

of

the

Fund's

portfolio

securities

to

the

latest

indications

of

fair

value

at

p.m.

Eastern

time.

At

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Global

#### Real

#### Estate

#### VIP

#### Fund
(continued)

December

31,

2025,

certain

securities

may

have

been

fair

valued

using

these

procedures,

in

which

case

the

securities

were

categorized

as

Level

within

the

fair

value

hierarchy

(referred

to

as

"market

level

fair

value").

See

the

Fair

Value

Measurements

note

for

more

information.

When

the

last

day

of

the

reporting

period

is

a

non-business

day,

certain

foreign

markets

may

be

open

on

those

days

that

the

Fund's

NAV

is

not

calculated,

which

could

result

in

differences

between

the

value

of

the

Fund's

portfolio

securities

on

the

last

business

day

and

the

last

calendar

day

of

the

reporting

period.

Any

security

valuation

changes

due

to

an

open

foreign

market

are

adjusted

and

reflected

by

the

Fund

for

financial

reporting

purposes.

b. #### Foreign

#### Currency

#### Translation
Portfolio

securities

and

other

assets

and

liabilities

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

based

on

the

exchange

rate

of

such

currencies

against

U.S.

dollars

on

the

date

of

valuation.

The

Fund

may

enter

into

foreign

currency

exchange

contracts

to

facilitate

transactions

denominated

in

a

foreign

currency.

Purchases

and

sales

of

securities,

income

and

expense

items

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

at

the

exchange

rate

in

effect

on

the

transaction

date.

Portfolio

securities

and

assets

and

liabilities

denominated

in

foreign

currencies

contain

risks

that

those

currencies

will

decline

in

value

relative

to

the

U.S.

dollar.

Occasionally,

events

may

impact

the

availability

or

reliability

of

foreign

exchange

rates

used

to

convert

the

U.S.

dollar

equivalent

value.

If

such

an

event

occurs,

the

foreign

exchange

rate

will

be

valued

at

fair

value

using

procedures

established

and

approved

by

the

Board.

The

Fund

does

not

separately

report

the

effect

of

changes

in

foreign

exchange

rates

from

changes

in

market

prices

on

securities

held.

Such

changes

are

included

in

net

realized

and

unrealized

gain

or

loss

from

investments

in

the

Statement of

Operations.

Realized

foreign

exchange

gains

or

losses

arise

from

sales

of

foreign

currencies,

currency

gains

or

losses

realized

between

the

trade

and

settlement

dates

on

securities

transactions

and

the

difference

between

the

recorded

amounts

of

dividends,

interest,

and

foreign

withholding

taxes

and

the

U.S.

dollar

equivalent

of

the

amounts

actually

received

or

paid.

Net

unrealized

foreign

exchange

gains

and

losses

arise

from

changes

in

foreign

exchange

rates

on

foreign

denominated

assets

and

liabilities

other

than

investments

in

securities

held

at

the

end

of

the

reporting

period.

c. #### Securities

#### Lending
The

Fund

participates

in

an

agency

based

securities

lending

program

to

earn

additional

income.

The

Fund

receives

collateral

in

the

form

of

cash

and/or

U.S.

Government

and

Agency

securities

against

the

loaned

securities

in

an

amount

equal

to

at

least

102%

of

the

fair

value

of

the

loaned

securities.

Collateral

is

maintained

over

the

life

of

the

loan

in

an

amount

not

less

than

100%

of

the

fair

value

of

loaned

securities,

as

determined

at

the

close

of

Fund

business

each

day;

any

additional

collateral

required

due

to

changes

in

security

values

is

delivered

to

the

Fund

on

the

next

business

day.

Any

cash

collateral

received

is

deposited

into

a

joint

cash

account

with

other

funds

and

is

used

to

invest

in

a

money

market

fund

managed

by

Franklin

Advisers,

Inc.,

an

affiliate

of

the

Fund. The

Fund

may

receive

income

from

the

investment

of

cash

collateral,

in

addition

to

lending

fees paid

by

the

borrower.

Income

from

securities

loaned,

net

of

fees

paid

to

the

securities

lending

agent

and/or

third-party

vendor,

is

reported

separately

in

the Statement of

Operations.

The

Fund

bears

the

market

risk

with

respect

to

any

cash

collateral

investment,

securities

loaned,

and

the

risk

that

the

agent

may

default

on

its

obligations

to

the

Fund.

If

the

borrower

defaults

on

its

obligation

to

return

the

securities

loaned,

the

Fund

has

the

right

to

repurchase

the

securities

in

the

open

market

using

the

collateral

received.

The

securities

lending

agent

has

agreed

to

indemnify

the

Fund

in

the

event

of

default

by

a

third

party

borrower.

Securities

on

loan

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

d. #### Income

#### and

#### Deferred

#### Taxes
It

is the Fund's

policy

to

qualify

as

a

regulated

investment

company

under

the

Internal

Revenue

Code. The Fund

intends

to

distribute

to

shareholders

substantially

all

of

its

taxable

income

and

net

realized

gains

to

relieve

it

from

federal

income

and if

applicable,

excise

taxes.

As

a

result,

no

provision

for

U.S.

federal

income

taxes

is

required.

The Fund

may

be

subject

to

foreign

taxation

related

to

income

received,

capital

gains

on

the

sale

of

securities

and

certain

foreign

currency

transactions

in

the

foreign

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

a. #### Financial

#### Instrument

#### Valuation
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Global

#### Real

#### Estate

#### VIP

#### Fund
(continued)

jurisdictions

in

which

it

invests.

Foreign

taxes,

if

any,

are

recorded

based

on

the

tax

regulations

and

rates

that

exist

in

the

foreign

markets

in

which

the

Fund

invests.

When

a

capital

gain

tax

is

determined

to

apply,

the

Fund

records

an

estimated

deferred

tax

liability

in

an

amount

that

would

be

payable

if

the

securities

were

disposed

of

on

the

valuation

date.

The Fund

may

recognize

an

income

tax

liability

related

to

its

uncertain

tax

positions

under

U.S.

GAAP

when

the

uncertain

tax

position

has

a

less

than

50%

probability

that

it

will

be

sustained

upon

examination

by

the

tax

authorities

based

on

its

technical

merits.

As

of

December

31,

2025, the Fund

has

determined

that

no

tax

liability

is

required

in

its

financial

statements

related

to

uncertain

tax

positions

for

any

open

tax

years

(or

expected

to

be

taken

in

future

tax

years).

The

Fund's

federal

and

state

income

and

federal

excise

tax

returns

for

the

prior

three

fiscal

years

are

subject

to

examination

by

the

Internal

Revenue

Service

and

state

departments

of

revenue.

e. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
Security

transactions

are

accounted

for

on

trade

date.

Realized

gains

and

losses

on

security

transactions

are

determined

on

a

specific

identification

basis. Interest

income

(including

interest

income

from

payment-in-kind

securities,

if

any)

and

estimated

expenses

are

accrued

daily.

Dividend

income

is

recorded

on

the

ex-dividend

date

except

for

certain

dividends

from

securities

where

the

dividend

rate

is

not

available.

In

such cases,

the

dividend

is

recorded

as

soon

as

the

information

is

received

by

the

Fund. Distributions

to

shareholders

are recorded

on

the

ex-dividend

date.

Distributable

earnings

are

determined

according

to

income

tax

regulations

(tax

basis)

and

may

differ

from

earnings

recorded

in

accordance

with

U.S.

GAAP.

These

differences

may

be

permanent

or

temporary.

Permanent

differences

are

reclassified

among

capital

accounts

to

reflect

their

tax

character.

These

reclassifications

have

no

impact

on

net

assets

or

the

results

of

operations.

Temporary

differences

are

not

reclassified,

as

they

may

reverse

in

subsequent

periods.

Common

expenses

incurred

by

the

Trust

are

allocated

among

the

Funds

based

on

the

ratio

of

net

assets

of

each

Fund

to

the

combined

net

assets

of

the

Trust

or

based

on

the

ratio

of

number

of

shareholders

of

each

Fund

to

the

combined

number

of

shareholders

of

the

Trust.

Fund

specific

expenses

are

charged

directly

to

the

Fund

that

incurred

the

expense.

Realized

and

unrealized

gains

and

losses

and

net

investment

income,

excluding

class

specific

expenses,

are

allocated

daily

to

each

class

of

shares

based

upon

the

relative

proportion

of

net

assets

of

each

class.

Differences

in

per

share

distributions

by

class

are

generally

due

to

differences

in

class

specific

expenses.

Distributions

received

by

the

Fund from

certain

securities

may

be

a

return

of

capital

(ROC).

Such

distributions

reduce

the

cost

basis

of

the

securities,

and

any

distributions

in

excess

of

the

cost

basis

are

recognized

as

capital

gains.

For

U.S.

Real

Estate

Investment

Trust

(REIT)

securities,

the Fund

records

ROC

estimates,

if

any,

on

the

ex-dividend

date

and

are

adjusted

once

actual

tax

designations

are

known.

f. #### Accounting

#### Estimates
The

preparation

of

financial

statements

in

accordance

with

U.S.

GAAP

requires

management

to

make

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

amounts

of

income

and

expenses

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

g. #### Guarantees

#### and

#### Indemnifications
Under

the Trust's

organizational

documents,

its

officers

and trustees

are

indemnified

by

the Trust against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Trust.

Additionally,

in

the

normal

course

of

business,

the Trust,

on

behalf

of

the

Fund, enters

into

contracts

with

service

providers

that

contain

general

indemnification

clauses.

The Trust's

maximum

exposure

under

these

arrangements

is

unknown

as

this

would

involve

future

claims

that

may

be

made

against

the Trust

that

have

not

yet

occurred.

Currently,

the Trust

expects

the

risk

of

loss

to

be

remote.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

d. #### Income

#### and

#### Deferred

#### Taxes
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Global

#### Real

#### Estate

#### VIP

#### Fund
(continued)

2. #### Shares

#### of

#### Beneficial

#### Interest
At

December

31,

2025,

there

were

an

unlimited

number

of

shares

authorized

(without

par

value).

Transactions

in

the

Fund's

shares

were

as

follows:

3. #### Transactions

#### with

#### Affiliates
Franklin

Resources,

Inc.

is

the

holding

company

for

various

subsidiaries

that

together

are

referred

to

as

Franklin

Templeton.

Certain

officers

and trustees

of

the Fund are

also

officers

and/or directors

of

the

following

subsidiaries:

a. #### Management

#### Fees
The

Fund

pays

an

investment

management fee,

calculated daily and

paid

monthly,

to

Advisers based

on the

average

daily net

assets

of

the

Fund

as

follows:

For

the

year

ended

December

31,

2025,

the

gross

effective

investment

management

fee

rate

was 1.050%

of

the

Fund's

average daily

net

assets.

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### 1

#### Shares:
Shares

sold

...................................

$2,586

851

$10,630

Shares

issued

in

reinvestment

of

distributions

..........

848

11,273

1,150

14,055

Shares

redeemed

...............................

(1,769)

(22,826)

(1,873)

(23,371)

Net

increase

(decrease)

..........................

(723) $(8,967)

$1,314

#### Class

#### 2

#### Shares:
Shares

sold

...................................

341,150

$4,365,866

405,837

$5,165,914

Shares

issued

in

reinvestment

of

distributions

..........

110,919

1,423,084

163,944

1,932,902

Shares

redeemed

...............................

(993,126)

(12,606,022)

(1,038,547)

(12,961,548)

Net

increase

(decrease)

..........................

(541,057)

$(6,817,072)

(468,766)

$(5,862,732)

#### Subsidiary

#### Affiliation
Franklin

Advisers,

Inc.

(Advisers)

Investment

manager

Franklin

Templeton

Services,

LLC

(FT

Services)

Administrative

manager

Franklin

Distributors,

LLC

(Distributors)

Principal

underwriter

Franklin

Templeton

Investor

Services,

LLC

(Investor

Services)

Transfer

agent

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
1.050%

Up

to

and

including

$500

million

0.950%

Over

$500

million,

up

to

and

including

$1

billion

0.900%

Over

$1

billion,

up

to

and

including

$1.5

billion

0.850%

Over

$1.5

billion,

up

to

and

including

$6.5

billion

0.830%

Over

$6.5

billion,

up

to

and

including

$11.5

billion

0.810%

Over

$11.5

billion,

up

to

and

including

$16.5

billion

0.790%

Over

$16.5

billion,

up

to

and

including

$19

billion

0.780%

Over

$19

billion,

up

to

and

including

$21.5

billion

0.770%

In

excess

of

$21.5

billion

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Global

#### Real

#### Estate

#### VIP

#### Fund
(continued)

b. #### Administrative

#### Fees
Under

an

agreement

with

Advisers,

FT

Services

provides

administrative

services

to

the

Fund.

The

fee

is

paid

by Advisers

based

on

the Fund's

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Fund.

c. #### Distribution

#### Fees
The

Board

has

adopted

a

distribution

plan

for

Class

2 shares

pursuant

to

Rule

12b-1

under

the

1940

Act.

Under

the

Fund's

compensation

distribution

plan,

the

Fund

pays

Distributors

for

costs

incurred

in

connection

with

the

servicing,

sale

and

distribution

of

the

Fund's

shares

up

to

0.35%

per

year

of

its

average

daily

net

assets.

The

Board

has

agreed

to

limit

the

current

rate

to

0.25%

per

year

for

Class

2. The

plan

year,

for

purposes

of

monitoring

compliance

with

the

maximum

annual

plan

rate,

is

February

through

January

31. d. #### Transfer

#### Agent

#### Fees
Investor

Services,

under

terms

of

an

agreement,

performs

shareholder

servicing

for

the

Fund and

is

not

paid

by

the Fund

for

the

services.

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
The

Fund

invests

in

one

or

more

affiliated

management

investment

companies.

As

defined

in

the

1940

Act,

an

investment

is

deemed

to

be

a

"Controlled

Affiliate"

of

a

fund

when

a

fund

owns,

either

directly

or

indirectly,

25%

or

more

of

the

affiliated

fund's

outstanding

shares

or

has

the

power

to

exercise

control

over

management

or

policies

of

such

fund.

The

Fund

does

not

invest

for

purposes

of

exercising

a

controlling

influence

over

the

management

or

policies.

Management

fees

paid

by

the

Fund

are

waived

on

assets

invested

in

the

affiliated

management

investment

companies,

as

noted

in

the

Statement

of

Operations,

in

an

amount

not

to

exceed

the

management

and

administrative

fees,

if

applicable, paid

directly

or

indirectly

by

each

affiliate.

During

the

year

ended

December

31,

2025,

the

Fund

held

investments

in

affiliated

management

investment

companies

as

follows:

#### &nbsp;&nbsp;&nbsp;&nbsp;aa

#### Value

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### Sales

#### Realized

#### Gain
(Loss)

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### Value

#### at

#### End

#### of

#### Year

#### Number

#### of

#### Shares

#### Held

#### at

#### End

#### of

#### Year

#### Investment

#### Income

#### a&nbsp;&nbsp;&nbsp;&nbsp;

#### a

#### Franklin

#### Global

#### Real

#### Estate

#### VIP

#### Fund

#### Non-Controlled

#### Affiliates
Dividends

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

............

$—

$3,598,094

$(2,726,911)

$—

$—

$871,183

871,183

$5,680

#### Non-Controlled

#### Affiliates
Income

from

securities

loaned

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

............

$—

$6,030,000

$(6,030,000)

$—

$—

$—

—

$8,011

#### Total

#### Affiliated

#### Securities

#### ...
$—

$9,628,094

$(8,756,911)

$—

$—

$871,183

$13,691

3. #### Transactions

#### with

#### Affiliates
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Global

#### Real

#### Estate

#### VIP

#### Fund
(continued)

f. #### Waiver

#### and

#### Expense

#### Reimbursements
Advisers

has

contractually

agreed

in

advance

to

waive

or

limit

its

fees

and

to

assume

as

its

own

expense

certain

expenses

otherwise

payable

by

the

Fund

so

that

the

operating

expenses

(excluding

interest

expense,

distribution

fees

and

acquired

fund

fees

and

expenses

and

certain

non-routine

expenses

or

costs,

including

those

relating

to

litigation,

indemnification,

reorganizations,

and

liquidations)

for

each

class

of

the

Fund

do

not

exceed

1.00%

based

on

the

average

net

assets

of

each

class

until

April

30,

2026. Total

expenses

waived

or

paid

are

not

subject

to

recapture

subsequent

to

the

Fund's

fiscal

year

end.

4. #### Income

#### Taxes
The

tax

character

of

distributions

paid

during

the

years

ended

December

31,

2025

and

2024,

was

as

follows:

For

tax

purposes,

capital

losses

may

be

carried

over

to

offset

future

capital

gains.

During

the

year

ended

December

31,

2025,

the

Fund

utilized

$1,311,919

of

capital

loss

carryforwards.

At

December

31,

2025,

the

cost

of

investments,

net

unrealized

appreciation

(depreciation),

undistributed

ordinary

income

and

undistributed

long

term

capital

gains for

income

tax

purposes

were

as

follows:

Differences

between

income

and/or

capital

gains

as

determined

on

a

book

basis

and

a

tax

basis

are

primarily

due

to

differing

treatments

of

wash

sales,

passive

foreign

investment

company

shares,

pass-through

entity

income,

corporate

actions

and

REITs.

5. #### Investment

#### Transactions
Purchases

and

sales

of

investments (excluding

short

term

securities) for

the

year

ended

December

31,

2025,

aggregated

$34,255,031 and

$40,104,818,

respectively.

#### 2025

#### 2024
Distributions

paid

from:

Ordinary

income

..........................................................

$1,434,357

$1,946,957

Cost

of

investments

..........................................................................

$76,798,727

Unrealized

appreciation

........................................................................

$30,948,369

Unrealized

depreciation

........................................................................

(5,690,509)

Net

unrealized

appreciation

(depreciation)

..........................................................

$25,257,860

Distributable

earnings:

Undistributed

ordinary

income

...................................................................

$2,166,115

Undistributed

long

term

capital

gains

..............................................................

212,254

Total

distributable

earnings

.....................................................................

$2,378,369

3. #### Transactions

#### with

#### Affiliates
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Global

#### Real

#### Estate

#### VIP

#### Fund
(continued)

6. #### Concentration

#### of

#### Risk
Investing

in

foreign

securities

may

include

certain

risks

and

considerations

not

typically

associated

with

investing

in

U.S.

securities,

such

as

fluctuating

currency

values

and

changing

local,

regional

and

global

economic,

political

and

social

conditions,

which

may

result

in

greater

market

volatility.

Political

and

financial

uncertainty

in

many

foreign

regions

may

increase

market

volatility

and

the

economic

risk

of

investing

in

foreign

securities.

In

addition,

certain

foreign

securities

may

not

be

as

liquid

as

U.S.

securities.

7. #### Credit

#### Facility
The

Fund,

together

with

other

U.S.

registered

and

foreign

investment

funds

(collectively,

Borrowers),

managed

by

Franklin

Templeton,

are

borrowers

in

a

joint

syndicated

senior

unsecured

credit

facility

totaling

$2.995

billion

(Global

Credit

Facility)

which

matured

on

January

30,

2026. This

Global

Credit

Facility

provides

a

source

of

funds

to

the

Borrowers

for

temporary

and

emergency

purposes,

including

the

ability

to

meet

future

unanticipated

or

unusually

large

redemption

requests.

Effective

January

30,

2026,

the

Borrowers

renewed

the

Global

Credit

Facility

for

a

one-year

term,

maturing

January

29,

2027,

for

a

total

of

$2.995

billion.

Under

the

terms

of

the

Global

Credit

Facility,

the

Fund

may,

in

addition

to

interest

charged

on

any

borrowings

made

by

the

Fund

and

other

costs

incurred

by

the

Fund,

pay

its

share

of

fees

and

expenses

incurred

in

connection

with

the

implementation

and

maintenance

of

the

Global

Credit

Facility,

based

upon

its

relative

share

of

the

aggregate

net

assets

of

all

of

the

Borrowers,

including

an

annual

commitment

fee

of

0.15%

based

upon

the

unused

portion

of

the

Global

Credit

Facility.

These

fees

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

During

the

year

ended

December

31,

2025,

the Fund

did

not

use

the

Global

Credit

Facility.

8. #### Fair

#### Value

#### Measurements
The

Fund

follows

a

fair

value

hierarchy

that

distinguishes

between

market

data

obtained

from

independent

sources

(observable

inputs)

and

the Fund's

own

market

assumptions

(unobservable

inputs).

These

inputs

are

used

in

determining

the

value

of

the

Fund's financial

instruments

and

are

summarized

in

the

following

fair

value

hierarchy:

Level

–

quoted

prices

in

active

markets

for

identical

financial

instruments

Level

–

other

significant

observable

inputs

(including

quoted

prices

for

similar

financial

instruments,

interest

rates,

prepayment

speed,

credit

risk,

etc.)

Level

–

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

financial

instruments)

The

input

levels

are

not

necessarily

an

indication

of

the

risk

or

liquidity

associated

with

financial

instruments

at

that

level.

A

summary

of

inputs

used

as

of

December

31,

2025,

in

valuing

the

Fund's assets carried

at

fair

value,

is

as

follows:

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Global

#### Real

#### Estate

#### VIP

#### Fund

#### Assets:
Investments

in

Securities:

a

Common

Stocks

:

Diversified

REITs

......................

$

1,092,747

$

6,820,144

$

—

$

7,912,891

Health

Care

Providers

&

Services

..........

1,459,536

—

—

1,459,536

Health

Care

REITs

.....................

13,290,902

—

—

13,290,902

Hotel

&

Resort

REITs

...................

1,425,680

702,482

—

2,128,162

Industrial

REITs

.......................

8,071,200

6,063,114

—

14,134,314

Office

REITs

..........................

2,566,384

1,991,198

—

4,557,582

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Global

#### Real

#### Estate

#### VIP

#### Fund
(continued)

9. #### Operating

#### Segments
The Fund operates

as

a

single

operating

segment,

which

is

an

investment

portfolio.

The

portfolio

managers

assigned

to

the

Fund

within

the

Fund's

Investment

manager serve

as

the

Chief

Operating

Decision

Maker

("CODM")

and

are

responsible

for

evaluating

the

Fund's

operating

results

and

allocating

resources

in

accordance

with

the

Fund's

investment

strategy.

Internal

reporting

provided

to

the

CODM

aligns

with

the

accounting

policies

and

measurement

principles

used

in

the financial

statements.

For

information

regarding

segment

assets,

segment

profit

or

loss,

and

significant

expenses,

refer

to

the Statement

of

Assets

and

Liabilities

and

the Statement

of

Operations,

along

with

the

related

notes

to

the financial

statements.

The Schedule

of

Investments

provides

details

of

the Fund's investments

that

generate

returns

such

as

interest,

dividends,

and

realized

and

unrealized

gains

or

losses.

Performance

metrics,

including

portfolio

turnover

and

expense

ratios,

are

disclosed

in

the Financial

Highlights.

10. #### Subsequent

#### Events
The Fund

has

evaluated

subsequent

events

through

the

issuance

of

the

financial

statements

and

determined

that

no

events

have

occurred

that

require

disclosure

other

than

those

already

disclosed

in

the

financial

statements.

#### Abbreviations

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Global

#### Real

#### Estate

#### VIP

#### Fund
(continued)

#### Assets:
(continued)

Investments

in

Securities:

a

(continued)

Common

Stocks:

(continued)

Real

Estate

Management

&

Development

....

$

584,751

$

12,520,057

$

—

$

13,104,808

Residential

REITs

......................

12,082,802

1,234,539

—

13,317,341

Retail

REITs

..........................

13,579,327

3,354,414

—

16,933,741

Specialized

REITs

......................

13,234,322

1,111,805

—

14,346,127

Short

Term

Investments

...................

871,183

—

—

871,183

Total

Investments

in

Securities

...........

$68,258,834

$33,797,753

b

$—

$102,056,587

a

For

detailed

categories,

see

the

accompanying

Schedule

of

Investments.

b

Includes

foreign

securities

valued

at

$33,797,753,

which

were

categorized

as

Level

as

a

result

of

the

application

of

market

level

fair

value

procedures.

See

the

Financial

Instrument

Valuation

note

for

more

information.

#### Selected

#### Portfolio

#### REIT
Real

Estate

Investment

Trust

8. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Report

of

Independent

Registered

Public

Accounting

Firm

franklintempleton.com

Annual

Report

To

the

Board

of

Trustees

of

Franklin

Templeton

Variable

Insurance

Products

Trust

and

Shareholders

of

Franklin

Global

Real

Estate

VIP

Fund

#### Opinion

#### on

#### the

#### Financial

#### Statements
We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

investments,

of

Franklin

Global

Real

Estate

VIP

Fund

(one

of

the

funds

constituting

Franklin

Templeton

Variable

Insurance

Products

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2025,

the

related

statement

of

operations

for

the

year

ended

December

31,

2025,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

(collectively

referred

to

as

the

"financial

statements").

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2025,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

#### Basis

#### for

#### Opinion
These

financial

statements

are

the

responsibility

of

the

Fund's

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund's

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2025

by

correspondence

with

the

custodian,

transfer

agent

and

brokers;

when

replies

were

not

received

from

brokers,

we

performed

other

auditing

procedures.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/PricewaterhouseCoopers

LLP

San

Francisco,

California

February

19,

2026

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Franklin

Templeton

Group

of

Funds

since

1948. Franklin

Templeton

Variable

Insurance

Products

Trust

Tax

Information

(unaudited)

franklintempleton.com

Annual

Report

#### Franklin

#### Global

#### Real

#### Estate

#### VIP

#### Fund
By

mid-February,

tax

information

related

to

a

shareholder's

proportionate

share

of

distributions

paid

during

the

preceding

calendar

year

will

be

received,

if

applicable.

Please

also

refer

to

www.franklintempleton.com

for

per

share

tax

information

related

to

any

distributions

paid

during

the

preceding

calendar

year.

Shareholders

are

advised

to

consult

with

their

tax

advisors

for

further

information

on

the

treatment

of

these

amounts

on

their

tax

returns.

Franklin

Templeton

Variable

Insurance

Products

Trust

franklintempleton.com

Annual

Report

#### Changes

#### In

#### and

#### Disagreements

#### with

#### Accountants
For

the

period

covered

by

this

report

Not

applicable.

#### Results

#### of

#### Meeting(s)

#### of

#### Shareholders
For

the

period

covered

by

this

report

Not

applicable.

#### Remuneration

#### Paid

#### to

#### Directors,

#### Officers

#### and

#### Others
For

the

period

covered

by

this

report

Refer

to

the

financial

statements

included

herein.

Remuneration

to

officers

is

paid

by

the

Fund's

investment

manager

according

to

the

terms

of

the

agreement.

#### Board

#### Approval

#### of

#### Management

#### and

#### Subadvisory

#### Agreements
For

the

period

covered

by

this

report

Not

applicable.

4824-AFSOI

02/26©

2026

Franklin

Templeton.

All

rights

reserved.

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund

#### Financial

#### Statements

#### and

#### Other

#### Important

#### Information

#### Annual
\|

December

31,

2025

#### Table

#### of

#### Contents
franklintempleton.com

Financial

Statements

and

Other

Important

Information

-

Annual

Financial

Highlights

and

Schedule

of

Investments

#### 2
Financial

Statements

#### 9
Notes

to

Financial

Statements

#### 12
Report

of

Independent

Registered

Public

Accounting

Firm

#### 20
Tax

Information

#### 21
Changes

In

and

Disagreements

with

Accountants

#### 22
Results

of

Meeting(s)

of

Shareholders

Remuneration

Paid

to

Directors,

Officers

and

Others

Board

Approval

of

Management

and

Subadvisory

Agreements

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 1

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$7.64

$6.73

$6.64

$15.23

$13.33

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.12 0.14 0.14 0.16 0.25 Net

realized

and

unrealized

gains

(losses)

...........

1.06 1.08 0.45 (1.74)

3.03 Total

from

investment

operations

....................

1.18 1.22 0.59 (1.58)

3.28 Less

distributions

from:

Net

investment

income

..........................

(0.18)

(0.18)

(0.16)

(0.48)

(0.39)

Net

realized

gains

.............................

(0.71)

(0.13)

(0.34)

(6.53)

(0.99)

Total

distributions

...............................

(0.89)

(0.31)

(0.50)

(7.01)

(1.38)

Net

asset

value,

end

of

year

.......................

$7.93

$7.64

$6.73

$6.64

$15.23

Total

return

c

...................................

16.98%

18.49%

9.18%

(6.60)%

25.59%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.79%

0.74%

0.80%

0.75%

0.85%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.59%

0.59%

0.59%

0.59%

d

0.59%

d

Net

investment

income

...........................

1.62%

1.88%

2.18%

1.96%

1.71%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$24,826

$20,093

$14,463

$9,002

$5,772

Portfolio

turnover

rate

............................

36.30%

32.59%

30.36%

30.16%

30.74%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 2

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$7.13

$6.31

$6.25

$14.76

$12.97

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.10 0.11 0.12 0.14 0.20 Net

realized

and

unrealized

gains

(losses)

...........

0.99 1.00 0.42 (1.71)

2.94 Total

from

investment

operations

....................

1.09 1.11 0.54 (1.57)

3.14 Less

distributions

from:

Net

investment

income

..........................

(0.16)

(0.16)

(0.14)

(0.41)

(0.36)

Net

realized

gains

.............................

(0.71)

(0.13)

(0.34)

(6.53)

(0.99)

Total

distributions

...............................

(0.87)

(0.29)

(0.48)

(6.94)

(1.35)

Net

asset

value,

end

of

year

.......................

$7.35

$7.13

$6.31

$6.25

$14.76

Total

return

c

...................................

16.90%

17.99%

8.98%

(6.81)%

25.24%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.04%

1.00%

1.04%

0.99%

1.08%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.84%

0.84%

0.84%

0.84%

d

0.84%

d

Net

investment

income

...........................

1.37%

1.64%

1.93%

1.67%

1.44%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$33,120

$31,998

$32,311

$33,005

$39,934

Portfolio

turnover

rate

............................

36.30%

32.59%

30.36%

30.16%

30.74%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments,

December

31,

2025

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks

#### 82.7%

#### Aerospace

#### &

#### Defense

#### 1.7%
RTX

Corp.

........................................

United

States

5,348

$

980,823

#### Banks

#### 7.8%
Bank

of

America

Corp.

...............................

United

States

33,918

1,865,490

JPMorgan

Chase

&

Co.

...............................

United

States

8,182

2,636,404

4,501,894

#### Beverages

#### 1.4%
Coca-Cola

Co.

(The)

.................................

United

States

11,580

809,558

#### Broadline

#### Retail

#### 1.2%
a

Amazon.com,

Inc.

...................................

United

States

3,105

716,696

#### Building

#### Products

#### 0.7%
Carrier

Global

Corp.

.................................

United

States

7,559

399,417

#### Capital

#### Markets

#### 8.2%
Ares

Management

Corp.

,

A

............................

United

States

573

92,614

BlackRock,

Inc.

.....................................

United

States

757

810,247

Blackstone,

Inc.

....................................

United

States

4,120

635,057

Charles

Schwab

Corp.

(The)

...........................

United

States

11,050

1,104,005

Intercontinental

Exchange,

Inc.

.........................

United

States

1,079

174,755

Morgan

Stanley

.....................................

United

States

11,035

1,959,044

4,775,722

#### Chemicals

#### 2.1%
Corteva,

Inc.

.......................................

United

States

6,622

443,873

Linde

plc

..........................................

United

States

1,787

761,959

1,205,832

#### Commercial

#### Services

#### &

#### Supplies

#### 0.2%
Republic

Services,

Inc.

,

A

.............................

United

States

620

131,397

#### Communications

#### Equipment

#### 2.0%
Cisco

Systems,

Inc.

.................................

United

States

15,086

1,162,074

#### Consumer

#### Finance

#### 1.7%
American

Express

Co.

...............................

United

States

2,613

966,679

#### Consumer

#### Staples

#### Distribution

#### &

#### Retail

#### 3.2%
a

BJ's

Wholesale

Club

Holdings,

Inc.

......................

United

States

3,891

350,307

Casey's

General

Stores,

Inc.

...........................

United

States

833

460,407

Walmart,

Inc.

......................................

United

States

9,128

1,016,951

1,827,665

#### Electric

#### Utilities

#### 5.3%
Duke

Energy

Corp.

..................................

United

States

8,575

1,005,075

Evergy,

Inc.

........................................

United

States

8,145

590,431

NextEra

Energy,

Inc.

.................................

United

States

11,153

895,363

PPL

Corp.

.........................................

United

States

17,342

607,317

3,098,186

#### Electrical

#### Equipment

#### 3.0%
Eaton

Corp.

plc

.....................................

United

States

2,558

814,749

Emerson

Electric

Co.

................................

United

States

1,499

198,947

Hubbell,

Inc.

,

B

.....................................

United

States

1,689

750,102

1,763,798

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Electronic

#### Equipment,

#### Instruments

#### &

#### Components

#### 1.0%
TE

Connectivity

plc

..................................

Switzerland

2,559

$

582,198

#### Energy

#### Equipment

#### &

#### Services

#### 0.5%
SLB

Ltd.

..........................................

United

States

6,813

261,483

#### Health

#### Care

#### Equipment

#### &

#### Supplies

#### 2.6%
a

Boston

Scientific

Corp.

...............................

United

States

2,720

259,352

GE

HealthCare

Technologies,

Inc.

.......................

United

States

4,789

392,794

Medtronic

plc

......................................

United

States

8,879

852,916

1,505,062

#### Health

#### Care

#### Providers

#### &

#### Services

#### 1.8%
HCA

Healthcare,

Inc.

.................................

United

States

1,542

719,898

UnitedHealth

Group,

Inc.

..............................

United

States

934

308,323

1,028,221

#### Health

#### Care

#### REITs

#### 1.5%
Ventas,

Inc.

........................................

United

States

11,105

859,305

#### Hotels,

#### Restaurants

#### &

#### Leisure

#### 0.8%
McDonald's

Corp.

...................................

United

States

1,593

486,869

#### Household

#### Durables

#### 0.5%
Lennar

Corp.

,

A

.....................................

United

States

2,727

280,336

#### Household

#### Products

#### 2.1%
Procter

&

Gamble

Co.

(The)

...........................

United

States

8,329

1,193,629

#### Industrial

#### REITs

#### 1.5%
Prologis,

Inc.

.......................................

United

States

6,803

868,471

#### Interactive

#### Media

#### &

#### Services

#### 2.5%
Alphabet,

Inc.

,

A

....................................

United

States

4,622

1,446,686

#### Life

#### Sciences

#### Tools

#### &

#### Services

#### 2.3%
Danaher

Corp.

.....................................

United

States

1,899

434,719

Thermo

Fisher

Scientific,

Inc.

..........................

United

States

1,519

880,185

1,314,904

#### Machinery

#### 4.2%
Caterpillar,

Inc.

.....................................

United

States

1,263

723,535

Ingersoll

Rand,

Inc.

..................................

United

States

7,239

573,474

Parker-Hannifin

Corp.

................................

United

States

1,295

1,138,253

2,435,262

#### Multi-Utilities

#### 1.0%
CenterPoint

Energy,

Inc.

..............................

United

States

14,943

572,915

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 5.3%
Canadian

Natural

Resources

Ltd.

.......................

Canada

9,394

317,987

Chevron

Corp.

.....................................

United

States

10,375

1,581,254

Shell

plc

,

ADR

......................................

United

States

8,004

588,134

Suncor

Energy,

Inc.

..................................

Canada

13,174

584,398

3,071,773

#### Pharmaceuticals

#### 4.4%
AstraZeneca

plc

,

ADR

................................

United

Kingdom

10,345

951,016

Johnson

&

Johnson

.................................

United

States

7,767

1,607,380

2,558,396

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Residential

#### REITs

#### 1.2%
Mid-America

Apartment

Communities,

Inc.

................

United

States

5,141

$

714,136

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 3.0%
Broadcom,

Inc.

.....................................

United

States

1,399

484,194

KLA

Corp.

.........................................

United

States

534,635

Texas

Instruments,

Inc.

...............................

United

States

4,289

744,099

1,762,928

#### Software

#### 0.9%
Oracle

Corp.

.......................................

United

States

2,717

529,570

#### Specialty

#### Retail

#### 2.4%
Lowe's

Cos.,

Inc.

....................................

United

States

4,084

984,897

Tractor

Supply

Co.

..................................

United

States

8,664

433,287

1,418,184

#### Technology

#### Hardware,

#### Storage

#### &

#### Peripherals

#### 0.6%
Dell

Technologies,

Inc.

,

C

.............................

United

States

2,666

335,596

#### Tobacco

#### 1.7%
Philip

Morris

International,

Inc.

.........................

United

States

6,003

962,881

#### Trading

#### Companies

#### &

#### Distributors

#### 1.0%
United

Rentals,

Inc.

..................................

United

States

703

568,952

#### Wireless

#### Telecommunication

#### Services

#### 1.4%
T-Mobile

US,

Inc.

...................................

United

States

3,974

806,881

#### Total

#### Common

#### Stocks

#### (Cost

#### $

#### 30,485,890

####)
....................................

#### 47,904,379
b

#### Equity-Linked

#### Securities

#### 9.8%

#### Broadline

#### Retail

#### 0.5%
c

Mizuho

Markets

Cayman

LP

into

Amazon.com,

Inc.

,

144A,

%

,

8/21/26

.........................................

United

States

1,260

287,444

#### Building

#### Products

#### 0.3%
c

Barclays

Bank

plc

into

Carrier

Global

Corp.

,

144A,

6.5 %

,

6/25/26

United

States

3,710

198,078

#### Capital

#### Markets

#### 0.6%
c

Wells

Fargo

Bank

NA

into

Charles

Schwab

Corp.

(The)

,

144A,

6.5 %

,

1/08/27

....................................

United

States

3,500

352,101

#### Consumer

#### Finance

#### 0.7%
c

Toronto-Dominion

Bank

(The)

into

American

Express

Co.

,

144A,

6.5 %

,

3/13/26

....................................

United

States

1,150

396,993

#### Consumer

#### Staples

#### Distribution

#### &

#### Retail

#### 0.9%
c

Royal

Bank

of

Canada

into

Tesco

plc

,

144A,

7.5 %

,

1/08/26

....

United

Kingdom

5,300

270,590

c

Toronto-Dominion

Bank

(The)

into

BJ's

Wholesale

Club

Holdings,

Inc.

,

144A,

%

,

12/29/26

............................

United

States

2,500

228,185

498,775

#### Electrical

#### Equipment

#### 1.0%
c

Merrill

Lynch

BV

into

Eaton

Corp.

plc

,

144A,

%

,

5/08/26

......

United

States

740

235,271

c

National

Bank

of

Canada

into

Hubbell,

Inc.

,

144A,

%

,

7/31/26

.

United

States

770

341,347

576,618

#### Energy

#### Equipment

#### &

#### Services

#### 0.4%
c

Royal

Bank

of

Canada

into

Schlumberger

NV

,

144A,

8.5 %

,

10/30/26

........................................

United

States

7,000

261,659

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

b

#### Equity-Linked

#### Securities
(continued)

#### Health

#### Care

#### Providers

#### &

#### Services

#### 0.8%
c

Citigroup

Global

Markets

Holdings,

Inc.

into

HCA

Healthcare,

Inc.

,

144A,

6.5 %

,

4/16/26

...............................

United

States

750

$

311,762

c

National

Bank

of

Canada

into

UnitedHealth

Group,

Inc.

,

144A,

6.5 %

,

2/05/26

....................................

United

States

500

169,512

481,274

#### Household

#### Durables

#### 0.5%
c

Royal

Bank

of

Canada

into

Lennar

Corp.

,

144A,

%

,

9/30/26

...

United

States

2,450

262,970

#### Interactive

#### Media

#### &

#### Services

#### 0.6%
c

Wells

Fargo

Bank

NA

into

Alphabet,

Inc.

,

144A,

%

,

4/30/26

...

United

States

1,890

364,841

#### Life

#### Sciences

#### Tools

#### &

#### Services

#### 0.6%
c

Citigroup

Global

Markets

Holdings,

Inc.

into

Thermo

Fisher

Scientific,

Inc.

,

144A,

%

,

11/06/26

.....................

United

States

600

352,322

#### Machinery

#### 1.1%
c

Barclays

Bank

plc

into

Parker-Hannifin

Corp.

,

144A,

%

,

11/30/26

United

States

366,365

c

Wells

Fargo

Bank

NA

into

Ingersoll

Rand,

Inc.

,

144A,

%

,

8/14/26

United

States

3,270

256,456

622,821

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 0.6%
c

Barclays

Bank

plc

into

Canadian

Natural

Resources

Ltd.

,

144A,

%

,

2/25/26

......................................

Canada

10,400

357,437

#### Software

#### 0.4%
c

Royal

Bank

of

Canada

into

Oracle

Corp.

,

144A,

%

,

3/20/26

...

United

States

1,400

235,719

#### Technology

#### Hardware,

#### Storage

#### &

#### Peripherals

#### 0.3%
c

Wells

Fargo

Bank

NA

into

Dell

Technologies,

Inc.

,

144A,

%

,

12/18/26

........................................

United

States

1,250

164,107

#### Trading

#### Companies

#### &

#### Distributors

#### 0.5%
c

Toronto-Dominion

Bank

(The)

into

United

Rentals,

Inc.

,

144A,

7.5 %

,

6/12/26

....................................

United

States

270,077

#### Total

#### Equity-Linked

#### Securities

#### (Cost

#### $

#### 5,609,565

####)
..............................

#### 5,683,236

#### Convertible

#### Preferred

#### Stocks

#### 6.0%

#### Aerospace

#### &

#### Defense

#### 2.0%
Boeing

Co.

(The)

,

%

................................

United

States

16,521

1,140,940

#### Capital

#### Markets

#### 1.1%
Ares

Management

Corp.

,

B

,

6.75 %

......................

United

States

12,677

638,921

#### Electric

#### Utilities

#### 0.9%
Southern

Co.

(The)

,

A

,

7.125 %

.........................

United

States

10,794

543,586

#### Financial

#### Services

#### 2.0%
Apollo

Global

Management,

Inc.

,

6.75 %

..................

United

States

15,265

1,152,813

#### Total

#### Convertible

#### Preferred

#### Stocks

#### (Cost

#### $

#### 3,005,331

####)
..........................

#### 3,476,260

#### Total

#### Long

#### Term

#### Investments

#### (Cost

#### $

#### 39,100,786

####)
..............................

#### 57,063,875

#### a
Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Short

#### Term

#### Investments

#### 1.4%
a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Money

#### Market

#### Funds

#### 1.4%
d,e

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

.........................................

United

States

819,330

$

819,330

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $

#### 819,330

####)
...................................

#### 819,330

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $

#### 819,330

####)
................................

#### 819,330

#### a

#### Total

#### Investments

#### (Cost

#### $

#### 39,920,116

####)
99.9 #### %
..................................

#### $57,883,205

#### Other

#### Assets,

#### less

#### Liabilities
0.1 #### %
...........................................

#### 62,482

#### Net

#### Assets

#### 100.0%

#### .........................................................

#### $57,945,687

#### a
See

Abbreviations

on

.

a

Non-income

producing.

b

See

Note

(c)

regarding

equity-linked

securities.

c

Security

was

purchased

pursuant

to

Rule

144A

or

Regulation

S

under

the

Securities

Act

of

1933. 144A

securities

may

be

sold

in

transactions

exempt

from

registration

only

to

qualified

institutional

buyers

or

in

a

public

offering

registered

under

the

Securities

Act

of

1933. Regulation

S

securities

cannot

be

sold

in

the

United

States

without

either

an

effective

registration

statement

filed

pursuant

to

the

Securities

Act

of

1933,

or

pursuant

to

an

exemption

from

registration.

At

December

31,

2025,

the

aggregate

value

of

these

securities

was

$5,683,236,

representing

9.8%

of

net

assets.

d

See

Note

(e)

regarding

investments

in

affiliated

management

investment

companies.

e

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Assets

and

Liabilities

December

31,

2025

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund
Assets:

Investments

in

securities:

Cost

-

Unaffiliated

issuers

...................................................................

$39,100,786

Cost

-

Non-controlled

affiliates

(Note

e)

........................................................

819,330

Value

-

Unaffiliated

issuers

..................................................................

$57,063,875

Value

-

Non-controlled

affiliates

(Note

e)

.......................................................

819,330

Cash

....................................................................................

4,693

Receivables:

Investment

securities

sold

...................................................................

68,840

Capital

shares

sold

........................................................................

4,968

Dividends

and

interest

.....................................................................

71,110

Total

assets

..........................................................................

58,032,816

Liabilities:

Payables:

Investment

securities

purchased

..............................................................

8,445

Capital

shares

redeemed

...................................................................

11,500

Management

fees

.........................................................................

13,133

Distribution

fees

..........................................................................

7,153

Professional

fees

.........................................................................

43,309

Trustees'

fees

and

expenses

.................................................................

Accrued

expenses

and

other

liabilities

...........................................................

3,562

Total

liabilities

.........................................................................

87,129

Net

assets,

at

value

.................................................................

$57,945,687

Net

assets

consist

of:

Paid-in

capital

.............................................................................

$34,445,735

Total

distributable

earnings

(losses)

.............................................................

23,499,952

Net

assets,

at

value

.................................................................

$57,945,687

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund

#### Class

#### 1:
Net

assets,

at

value

.......................................................................

$24,826,143

Shares

outstanding

........................................................................

3,129,708

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$7.93

#### Class

#### 2:
Net

assets,

at

value

.......................................................................

$33,119,544

Shares

outstanding

........................................................................

4,507,691

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$7.35

a

Net

asset

value

per

share

may

not

recalculate

due

to

rounding.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Operations

for

the

year

ended

December

31,

2025

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund
Investment

income:

Dividends:

(net

of

foreign

taxes

of

$5,202)

Unaffiliated

issuers

........................................................................

$1,132,054

Non-controlled

affiliates

(Note

e)

.............................................................

10,064

Interest:

Unaffiliated

issuers

........................................................................

60,145

Income

from

securities

loaned:

Unaffiliated

entities

(net

of

fees

and

rebates)

.....................................................

Non-controlled

affiliates

(Note

e)

.............................................................

Total

investment

income

...................................................................

1,202,631

Expenses:

Management

fees

(Note

a)

...................................................................

339,992

Distribution

fees:

(Note

3c)

Class

................................................................................

80,858

Custodian

fees

............................................................................

1,499

Reports

to

shareholders

fees

..................................................................

6,564

Professional

fees

...........................................................................

70,379

Trustees'

fees

and

expenses

..................................................................

839

Other

....................................................................................

10,304

Total

expenses

.........................................................................

510,435

Expenses

waived/paid

by

affiliates

(Note

e

and

f)

..............................................

(108,625)

Net

expenses

.........................................................................

401,810

Net

investment

income

................................................................

800,821

Realized

and

unrealized

gains

(losses):

Net

realized

gain

(loss)

from:

Investments:

Unaffiliated

issuers

......................................................................

5,063,645

Foreign

currency

transactions

................................................................

Net

realized

gain

(loss)

..................................................................

5,063,724

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments:

Unaffiliated

issuers

......................................................................

2,745,450

Translation

of

other

assets

and

liabilities

denominated

in

foreign

currencies

..............................

991

Net

change

in

unrealized

appreciation

(depreciation)

............................................

2,746,441

Net

realized

and

unrealized

gain

(loss)

............................................................

7,810,165

Net

increase

(decrease)

in

net

assets

resulting

from

operations

..........................................

$8,610,986

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statements

of

Changes

in

Net

Assets

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024
Increase

(decrease)

in

net

assets:

Operations:

Net

investment

income

.................................................

$800,821

$880,790

Net

realized

gain

(loss)

.................................................

5,063,724

5,211,391

Net

change

in

unrealized

appreciation

(depreciation)

...........................

2,746,441

2,296,126

Net

increase

(decrease)

in

net

assets

resulting

from

operations

................

8,610,986

8,388,307

Distributions

to

shareholders:

Class

.............................................................

(2,397,600)

(745,805)

Class

.............................................................

(3,726,653)

(1,385,327)

Total

distributions

to

shareholders

..........................................

(6,124,253)

(2,131,132)

Capital

share

transactions:

(Note

2)

Class

.............................................................

3,583,209

3,449,693

Class

.............................................................

(214,643)

(4,390,574)

Total

capital

share

transactions

............................................

3,368,566

(940,881)

Net

increase

(decrease)

in

net

assets

...................................

5,855,299

5,316,294

Net

assets:

Beginning

of

year

.......................................................

52,090,388

46,774,094

End

of

year

...........................................................

$57,945,687

$52,090,388

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund

franklintempleton.com

Annual

Report

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
Franklin

Templeton

Variable

Insurance

Products

Trust (Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-end

management

investment

company,

consisting

of seventeen separate

funds.

The Trust

follows the

accounting

and

reporting

guidance

in

Financial

Accounting

Standards

Board

(FASB)

Accounting

Standards

Codification

Topic

946,

Financial

Services

–

Investment

Companies

(ASC

946)

and

applies the

specialized

accounting

and

reporting

guidance

in

U.S.

Generally

Accepted

Accounting

Principles

(U.S.

GAAP),

including,

but

not

limited

to,

ASC

946. Franklin

Growth

and

Income

VIP

Fund

(Fund)

is

included

in

this

report. Shares

of

the

Fund

are

generally

sold

only

to

insurance

company

separate

accounts

to

fund

the

benefits

of

variable

life

insurance

policies

or

variable

annuity

contracts.

The

Fund

offers

two classes

of

shares:

Class

and

Class

2. Each

class

of

shares

may

differ

by

its

distribution

fees,

voting

rights

on

matters

affecting

a

single

class

and

its

exchange

privilege.

The

following

summarizes

the Fund's

significant

accounting

policies.

a. #### Financial

#### Instrument

#### Valuation
The

Fund's

investments

in

financial

instruments

are

carried

at

fair

value

daily.

Fair

value

is

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

market

participants

on

the

measurement

date.

The

Fund

calculates

the

net

asset

value

(NAV)

per

share

each business

day as

of

p.m.

Eastern

time

or

the

regularly

scheduled

close

of

the

New

York

Stock

Exchange

(NYSE),

whichever

is

earlier.

Under

compliance

policies

and

procedures

approved

by

the Trust's

Board

of

Trustees

(the

Board),

the

Board

has

designated

the

Fund's

investment

manager

as

the

valuation

designee

and

has

responsibility

for

oversight

of

valuation.

The

investment

manager

is

assisted

by

the

Fund's

administrator

in

performing

this

responsibility,

including

leading

the

cross-

functional

Valuation

Committee

(VC).

The

Fund

may

utilize

independent

pricing

services,

quotations

from

securities

and

financial

instrument

dealers,

and

other

market

sources

to

determine

fair

value.

Equity

securities

listed

on

an

exchange

or

on

the

NASDAQ

National

Market

System

are

valued

at

the

last

quoted

sale

price

or

the

official

closing

price of

the

day,

respectively.

Foreign

equity

securities

are

valued

as

of

the

close

of

trading

on

the

foreign

stock

exchange

on

which

the

security

is

primarily

traded,

or

as

of

p.m.

Eastern

time.

The

value

is

then

converted

into

its

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

p.m.

Eastern

time

on

the

day

that

the

value

of

the

security

is

determined.

Over-the-counter

(OTC)

securities

are

valued

within

the

range

of

the

most

recent

quoted

bid

and

ask

prices.

Securities

that

trade

in

multiple

markets

or

on

multiple

exchanges

are

valued

according

to

the

broadest

and

most

representative

market.

Certain

equity

securities

are

valued

based

upon

fundamental

characteristics

or

relationships

to

similar

securities.

Investments

in open-end mutual

funds

are

valued

at

the

closing

NAV.

The

Fund

has

procedures

to

determine

the

fair

value

of

financial

instruments

for

which

market

prices

are

not

reliable

or

readily

available.

Under

these

procedures,

the Fund

primarily

employs

a

market-based

approach

which

may

use

related

or

comparable

assets

or

liabilities,

recent

transactions,

market

multiples,

and

other

relevant

information

for

the

investment

to

determine

the

fair

value

of

the

investment.

An

income-based

valuation

approach

may

also

be

used

in

which

the

anticipated

future

cash

flows

of

the

investment

are

discounted

to

calculate

fair

value.

Discounts

may

also

be

applied

due

to

the

nature

or

duration

of

any

restrictions

on

the

disposition

of

the

investments.

Due

to

the

inherent

uncertainty

of

valuations

of

such

investments,

the

fair

values

may

differ

significantly

from

the

values

that

would

have

been

used

had

an

active

market

existed.

Trading

in

securities

on

foreign

securities

stock

exchanges

and

OTC

markets

may

be

completed

before

p.m.

Eastern

time.

In

addition,

trading

in

certain

foreign

markets

may

not

take

place

on

every

Fund's

business

day. Events

can occur

between

the

time

at

which

trading

in

a

foreign

security

is

completed

and

p.m.

Eastern

time

that

might

call

into

question

the

reliability

of

the

value

of

a

portfolio

security

held

by

the

Fund.

As

a

result,

differences

may

arise

between

the

value

of

the

Fund's

portfolio

securities

as

determined

at

the

foreign

market

close

and

the

latest

indications

of

value

at

p.m.

Eastern

time. In

order

to

minimize

the

potential

for

these

differences,

an

independent

pricing

service

may

be

used

to

adjust

the

value

of

the

Fund's

portfolio

securities

to

the

latest

indications

of

fair

value

at

p.m.

Eastern

time.

At

December

31,

2025,

certain

securities

may

have

been

fair

valued

using

these

procedures,

in

which

case

the

securities

were

categorized

as

Level

within

the

fair

value

hierarchy

(referred

to

as

"market

level

fair

value").

See

the

Fair

Value

Measurements

note

for

more

information.

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund
(continued)

When

the

last

day

of

the

reporting

period

is

a

non-business

day,

certain

foreign

markets

may

be

open

on

those

days

that

the

Fund's

NAV

is

not

calculated,

which

could

result

in

differences

between

the

value

of

the

Fund's

portfolio

securities

on

the

last

business

day

and

the

last

calendar

day

of

the

reporting

period.

Any

security

valuation

changes

due

to

an

open

foreign

market

are

adjusted

and

reflected

by

the

Fund

for

financial

reporting

purposes.

b. #### Foreign

#### Currency

#### Translation
Portfolio

securities

and

other

assets

and

liabilities

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

based

on

the

exchange

rate

of

such

currencies

against

U.S.

dollars

on

the

date

of

valuation.

The

Fund

may

enter

into

foreign

currency

exchange

contracts

to

facilitate

transactions

denominated

in

a

foreign

currency.

Purchases

and

sales

of

securities,

income

and

expense

items

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

at

the

exchange

rate

in

effect

on

the

transaction

date.

Portfolio

securities

and

assets

and

liabilities

denominated

in

foreign

currencies

contain

risks

that

those

currencies

will

decline

in

value

relative

to

the

U.S.

dollar.

Occasionally,

events

may

impact

the

availability

or

reliability

of

foreign

exchange

rates

used

to

convert

the

U.S.

dollar

equivalent

value.

If

such

an

event

occurs,

the

foreign

exchange

rate

will

be

valued

at

fair

value

using

procedures

established

and

approved

by

the

Board.

The

Fund

does

not

separately

report

the

effect

of

changes

in

foreign

exchange

rates

from

changes

in

market

prices

on

securities

held.

Such

changes

are

included

in

net

realized

and

unrealized

gain

or

loss

from

investments

in

the

Statement of

Operations.

Realized

foreign

exchange

gains

or

losses

arise

from

sales

of

foreign

currencies,

currency

gains

or

losses

realized

between

the

trade

and

settlement

dates

on

securities

transactions

and

the

difference

between

the

recorded

amounts

of

dividends,

interest,

and

foreign

withholding

taxes

and

the

U.S.

dollar

equivalent

of

the

amounts

actually

received

or

paid.

Net

unrealized

foreign

exchange

gains

and

losses

arise

from

changes

in

foreign

exchange

rates

on

foreign

denominated

assets

and

liabilities

other

than

investments

in

securities

held

at

the

end

of

the

reporting

period.

c. #### Equity-Linked

#### Securities
The

Fund

invests

in

equity-linked

securities.

Equity-linked

securities

are

hybrid

financial

instruments

that

generally

combine

both

debt

and

equity

characteristics

into

a

single

note

form.

Income

received

from

equity-linked

securities

is

recorded

as

realized

gains

in

the

Statement

of

Operations

and

may

be

based

on

the

performance

of

an

underlying

equity

security,

an

equity

index,

or

an

option

position.

The

risks

of

investing

in

equity-linked

securities

include

unfavorable

price

movements

in

the

underlying

security

and

the

credit

risk

of

the

issuing

financial

institution.

There

may

be

no

guarantee

of

a

return

of

principal

with

equity-linked

securities

and

the

appreciation

potential

may

be

limited.

Equity-linked

securities

may

be

more

volatile

and

less

liquid

than

other

investments

held

by

the

Fund.

d. #### Lending
The

Fund

participates

in

an

agency

based

securities

lending

program

to

earn

additional

income.

The

Fund

receives

collateral

in

the

form

of

cash

and/or

U.S.

Government

and

Agency

securities

against

the

loaned

securities

in

an

amount

equal

to

at

least

102%

of

the

fair

value

of

the

loaned

securities.

Collateral

is

maintained

over

the

life

of

the

loan

in

an

amount

not

less

than

100%

of

the

fair

value

of

loaned

securities,

as

determined

at

the

close

of

Fund

business

each

day;

any

additional

collateral

required

due

to

changes

in

security

values

is

delivered

to

the

Fund

on

the

next

business

day.

Any

cash

collateral

received

is

deposited

into

a

joint

cash

account

with

other

funds

and

is

used

to

invest

in

a

money

market

fund

managed

by

Franklin

Advisers,

Inc.,

an

affiliate

of

the

Fund. The

Fund

may

receive

income

from

the

investment

of

cash

collateral,

in

addition

to

lending

fees paid

by

the

borrower.

Income

from

securities

loaned,

net

of

fees

paid

to

the

securities

lending

agent

and/or

third-party

vendor,

is

reported

separately

in

the Statement of

Operations.

The

Fund

bears

the

market

risk

with

respect

to

any

cash

collateral

investment,

securities

loaned,

and

the

risk

that

the

agent

may

default

on

its

obligations

to

the

Fund.

If

the

borrower

defaults

on

its

obligation

to

return

the

securities

loaned,

the

Fund

has

the

right

to

repurchase

the

securities

in

the

open

market

using

the

collateral

received.

The

securities

lending

agent

has

agreed

to

indemnify

the

Fund

in

the

event

of

default

by

a

third

party

borrower.

Securities

on

loan

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

a. #### Financial

#### Instrument

#### Valuation
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund
(continued)

e. #### Income

#### and

#### Deferred

#### Taxes
It

is the Fund's

policy

to

qualify

as

a

regulated

investment

company

under

the

Internal

Revenue

Code. The Fund

intends

to

distribute

to

shareholders

substantially

all

of

its

taxable

income

and

net

realized

gains

to

relieve

it

from

federal

income

and if

applicable,

excise

taxes.

As

a

result,

no

provision

for

U.S.

federal

income

taxes

is

required.

The Fund

may

be

subject

to

foreign

taxation

related

to

income

received,

capital

gains

on

the

sale

of

securities

and

certain

foreign

currency

transactions

in

the

foreign

jurisdictions

in

which

it

invests.

Foreign

taxes,

if

any,

are

recorded

based

on

the

tax

regulations

and

rates

that

exist

in

the

foreign

markets

in

which

the

Fund

invests.

When

a

capital

gain

tax

is

determined

to

apply,

the

Fund

records

an

estimated

deferred

tax

liability

in

an

amount

that

would

be

payable

if

the

securities

were

disposed

of

on

the

valuation

date.

The Fund

may

recognize

an

income

tax

liability

related

to

its

uncertain

tax

positions

under

U.S.

GAAP

when

the

uncertain

tax

position

has

a

less

than

50%

probability

that

it

will

be

sustained

upon

examination

by

the

tax

authorities

based

on

its

technical

merits.

As

of

December

31,

2025, the Fund

has

determined

that

no

tax

liability

is

required

in

its

financial

statements

related

to

uncertain

tax

positions

for

any

open

tax

years

(or

expected

to

be

taken

in

future

tax

years).

The

Fund's

federal

and

state

income

and

federal

excise

tax

returns

for

the

prior

three

fiscal

years

are

subject

to

examination

by

the

Internal

Revenue

Service

and

state

departments

of

revenue.

f. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
Security

transactions

are

accounted

for

on

trade

date.

Realized

gains

and

losses

on

security

transactions

are

determined

on

a

specific

identification

basis.

Interest

income

(including

interest

income

from

payment-in-kind

securities,

if

any)

and

estimated

expenses

are

accrued

daily. Dividend

income

and

capital

gain

distributions

are

recorded

on

the

ex-dividend

date

except

for

certain

dividends

from

securities

where

the

dividend

rate

is

not

available.

In

such

cases,

the

dividend

is

recorded

as

soon

as

the

information

is

received

by

the

Fund.

Distributions

to

shareholders

are

recorded

on

the

ex-dividend

date. Distributable

earnings

are

determined

according

to

income

tax

regulations

(tax

basis)

and

may

differ

from

earnings

recorded

in

accordance

with

U.S.

GAAP.

These

differences

may

be

permanent

or

temporary.

Permanent

differences

are

reclassified

among

capital

accounts

to

reflect

their

tax

character.

These

reclassifications

have

no

impact

on

net

assets

or

the

results

of

operations.

Temporary

differences

are

not

reclassified,

as

they

may

reverse

in

subsequent

periods.

Common

expenses

incurred

by

the

Trust

are

allocated

among

the

Funds

based

on

the

ratio

of

net

assets

of

each

Fund

to

the

combined

net

assets

of

the

Trust

or

based

on

the

ratio

of

number

of

shareholders

of

each

Fund

to

the

combined

number

of

shareholders

of

the

Trust.

Fund

specific

expenses

are

charged

directly

to

the

Fund

that

incurred

the

expense.

Realized

and

unrealized

gains

and

losses

and

net

investment

income,

excluding

class

specific

expenses,

are

allocated

daily

to

each

class

of

shares

based

upon

the

relative

proportion

of

net

assets

of

each

class.

Differences

in

per

share

distributions

by

class

are

generally

due

to

differences

in

class

specific

expenses.

g. #### Accounting

#### Estimates
The

preparation

of

financial

statements

in

accordance

with

U.S.

GAAP

requires

management

to

make

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

amounts

of

income

and

expenses

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

h. #### Guarantees

#### and

#### Indemnifications
Under

the Trust's

organizational

documents,

its

officers

and trustees

are

indemnified

by

the Trust against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Trust.

Additionally,

in

the

normal

course

of

business,

the Trust,

on

behalf

of

the

Fund, enters

into

contracts

with

service

providers

that

contain

general

indemnification

clauses.

The Trust's

maximum

exposure

under

these

arrangements

is

unknown

as

this

would

involve

future

claims

that

may

be

made

against

the Trust

that

have

not

yet

occurred.

Currently,

the Trust

expects

the

risk

of

loss

to

be

remote.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund
(continued)

2. #### Shares

#### of

#### Beneficial

#### Interest
At

December

31,

2025,

there

were

an

unlimited

number

of

shares

authorized

(without

par

value).

Transactions

in

the

Fund's

shares

were

as

follows:

#### 3

#### .

#### Transactions

#### with

#### Affiliates
Franklin

Resources,

Inc.

is

the

holding

company

for

various

subsidiaries

that

together

are

referred

to

as

Franklin

Templeton.

Certain

officers

and trustees

of

the Fund are

also

officers

and/or directors

of

the

following

subsidiaries:

a. #### Management

#### Fees
The

Fund

pays

an

investment

management fee,

calculated daily and

paid

monthly,

to

Advisers based

on the

average

daily net

assets

of

the

Fund

as

follows:

For

the

year

ended

December

31,

2025,

the

gross

effective

investment

management

fee

rate

was 0.625%

of

the

Fund's

average daily

net

assets.

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### 1

#### Shares:
Shares

sold

...................................

261,360

$1,984,227

485,659

$3,508,565

Shares

issued

in

reinvestment

of

distributions

..........

341,053

2,397,600

105,489

745,805

Shares

redeemed

...............................

(104,277)

(798,618)

(107,114)

(804,677)

Net

increase

(decrease)

..........................

498,136

$3,583,209

484,034

$3,449,693

#### Class

#### 2

#### Shares:
Shares

sold

...................................

102,582

$725,579

89,458

$617,356

Shares

issued

in

reinvestment

of

distributions

..........

571,573

3,726,653

209,264

1,385,327

Shares

redeemed

...............................

(652,004)

(4,666,875)

(933,263)

(6,393,257)

Net

increase

(decrease)

..........................

22,151

$(214,643)

(634,541)

$(4,390,574)

#### Subsidiary

#### Affiliation
Franklin

Advisers,

Inc.

(Advisers)

Investment

manager

Franklin

Templeton

Services,

LLC

(FT

Services)

Administrative

manager

Franklin

Distributors,

LLC

(Distributors)

Principal

underwriter

Franklin

Templeton

Investor

Services,

LLC

(Investor

Services)

Transfer

agent

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
0.625%

Up

to

and

including

$100

million

0.500%

Over

$100

million,

up

to

and

including

$250

million

0.450%

Over

$250

million,

up

to

and

including

$7.5

billion

0.440%

Over

$7.5

billion,

up

to

and

including

$10

billion

0.430%

Over

$10

billion,

up

to

and

including

$12.5

billion

0.420%

Over

$112.5

billion,

up

to

and

including

$15

billion

0.400%

In

excess

of

$15

billion

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund
(continued)

b. #### Administrative

#### Fees
Under

an

agreement

with

Advisers,

FT

Services

provides

administrative

services

to

the

Fund.

The

fee

is

paid

by Advisers

based

on

the Fund's

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Fund.

c. #### Distribution

#### Fees
The

Board

has

adopted

a

distribution

plan

for

Class

2 shares

pursuant

to

Rule

12b-1

under

the

1940

Act.

Under

the

Fund's

compensation

distribution

plan,

the

Fund

pays

Distributors

for

costs

incurred

in

connection

with

the

servicing,

sale

and

distribution

of

the

Fund's

shares

up

to

0.35%

per

year

of

its

average

daily

net

assets.

The

Board

has

agreed

to

limit

the

current

rate

to

0.25%

per

year

for

Class

2. The

plan

year,

for

purposes

of

monitoring

compliance

with

the

maximum

annual

plan

rate,

is

February

through

January

31. d. #### Transfer

#### Agent

#### Fees
Investor

Services,

under

terms

of

an

agreement,

performs

shareholder

servicing

for

the

Fund and

is

not

paid

by

the Fund

for

the

services.

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
The

Fund

invests

in

one

or

more

affiliated

management

investment

companies.

As

defined

in

the

1940

Act,

an

investment

is

deemed

to

be

a

"Controlled

Affiliate"

of

a

fund

when

a

fund

owns,

either

directly

or

indirectly,

25%

or

more

of

the

affiliated

fund's

outstanding

shares

or

has

the

power

to

exercise

control

over

management

or

policies

of

such

fund.

The

Fund

does

not

invest

for

purposes

of

exercising

a

controlling

influence

over

the

management

or

policies.

Management

fees

paid

by

the

Fund

are

waived

on

assets

invested

in

the

affiliated

management

investment

companies,

as

noted

in

the

Statement

of

Operations,

in

an

amount

not

to

exceed

the

management

and

administrative

fees,

if

applicable, paid

directly

or

indirectly

by

each

affiliate.

During

the

year

ended

December

31,

2025,

the

Fund

held

investments

in

affiliated

management

investment

companies

as

follows:

#### &nbsp;&nbsp;&nbsp;&nbsp;aa

#### Value

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### Sales

#### Realized

#### Gain
(Loss)

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### Value

#### at

#### End

#### of

#### Year

#### Number

#### of

#### Shares

#### Held

#### at

#### End

#### of

#### Year

#### Investment

#### Income

#### a&nbsp;&nbsp;&nbsp;&nbsp;

#### a

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund

#### Non-Controlled

#### Affiliates
Dividends

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$—

$4,729,486

$(3,910,156)

$—

$—

$819,330

819,330

$10,064

#### Non-Controlled

#### Affiliates
Income

from

securities

loaned

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$—

$1,875,000

$(1,875,000)

$—

$—

$—

—

$287

#### Total

#### Affiliated

#### Securities

#### ...
$—

$6,604,486

$(5,785,156)

$—

$—

$819,330

$10,351

#### 3

#### .

#### Transactions

#### with

#### Affiliates
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund
(continued)

f. #### Waiver

#### and

#### Expense

#### Reimbursements
Advisers

has contractually

agreed

in

advance

to

waive

or

limit

its fees

and

to

assume

as

its

own

expense

certain

expenses

otherwise

payable

by

the

Fund

so

that

the

operating expenses

(excluding

interest

expense,

distribution

fees,

acquired

fund

fees

and

expenses

and

certain

non-routine

expenses

or

costs,

including

those

relating

to

litigation,

indemnification,

reorganizations,

and

liquidations)

for

each

class

of

the

Fund

do

not

exceed 0.59%

based

on

the

average

net

assets

of

each

class

until April

30,

2026. Total

expenses

waived

or

paid

are

not

subject

to

recapture

subsequent

to

the

Fund's

fiscal

year

end.

4. #### Income

#### Taxes
The

tax

character

of

distributions

paid

during

the

years

ended

December

31,

2025

and

2024,

was

as

follows:

At

December

31,

2025,

the

cost

of

investments,

net

unrealized

appreciation

(depreciation),

undistributed

ordinary

income

and

undistributed

long

term

capital

gains for

income

tax

purposes

were

as

follows:

Differences

between

income

and/or

capital

gains

as

determined

on

a

book

basis

and

a

tax

basis

are

primarily

due

to

differing

treatments

of

wash

sales

and

equity-linked

securities.

5. #### Investment

#### Transactions
Purchases

and

sales

of

investments (excluding

short

term

securities) for

the

year

ended

December

31,

2025,

aggregated

$19,257,522 and

$20,515,665,

respectively.

6. #### Credit

#### Facility
The

Fund,

together

with

other

U.S.

registered

and

foreign

investment

funds

(collectively,

Borrowers),

managed

by

Franklin

Templeton,

are

borrowers

in

a

joint

syndicated

senior

unsecured

credit

facility

totaling

$2.995

billion

(Global

Credit

Facility)

which

matured

on

January

30,

2026. This

Global

Credit

Facility

provides

a

source

of

funds

to

the

Borrowers

for

temporary

and

emergency

purposes,

including

the

ability

to

meet

future

unanticipated

or

unusually

large

redemption

requests.

Effective

January

30,

2026,

the

Borrowers

renewed

the

Global

Credit

Facility

for

a

one-year

term,

maturing

January

29,

2027,

for

a

total

of

$2.995

billion.

#### 2025

#### 2024
Distributions

paid

from:

Ordinary

income

..........................................................

$1,196,389

$1,169,943

Long

term

capital

gain

......................................................

4,927,864

961,189

$6,124,253

$2,131,132

Cost

of

investments

..........................................................................

$40,136,583

Unrealized

appreciation

........................................................................

$18,650,107

Unrealized

depreciation

........................................................................

(903,485)

Net

unrealized

appreciation

(depreciation)

..........................................................

$17,746,622

Distributable

earnings:

Undistributed

ordinary

income

...................................................................

$1,016,567

Undistributed

long

term

capital

gains

..............................................................

4,736,461

Total

distributable

earnings

.....................................................................

$5,753,028

#### 3

#### .

#### Transactions

#### with

#### Affiliates
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund
(continued)

Under

the

terms

of

the

Global

Credit

Facility,

the

Fund

may,

in

addition

to

interest

charged

on

any

borrowings

made

by

the

Fund

and

other

costs

incurred

by

the

Fund,

pay

its

share

of

fees

and

expenses

incurred

in

connection

with

the

implementation

and

maintenance

of

the

Global

Credit

Facility,

based

upon

its

relative

share

of

the

aggregate

net

assets

of

all

of

the

Borrowers,

including

an

annual

commitment

fee

of

0.15%

based

upon

the

unused

portion

of

the

Global

Credit

Facility.

These

fees

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

During

the

year

ended

December

31,

2025,

the Fund

did

not

use

the

Global

Credit

Facility.

7. #### Fair

#### Value

#### Measurements
The

Fund

follows

a

fair

value

hierarchy

that

distinguishes

between

market

data

obtained

from

independent

sources

(observable

inputs)

and

the Fund's

own

market

assumptions

(unobservable

inputs).

These

inputs

are

used

in

determining

the

value

of

the

Fund's financial

instruments

and

are

summarized

in

the

following

fair

value

hierarchy:

Level

–

quoted

prices

in

active

markets

for

identical

financial

instruments

Level

–

other

significant

observable

inputs

(including

quoted

prices

for

similar

financial

instruments,

interest

rates,

prepayment

speed,

credit

risk,

etc.)

Level

–

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

financial

instruments)

The

input

levels

are

not

necessarily

an

indication

of

the

risk

or

liquidity

associated

with

financial

instruments

at

that

level.

A

summary

of

inputs

used

as

of

December

31,

2025,

in

valuing

the

Fund's assets carried

at

fair

value,

is

as

follows:

8. #### Operating

#### Segments
The Fund operates

as

a

single

operating

segment,

which

is

an

investment

portfolio.

The

portfolio

managers

assigned

to

the

Fund

within

the

Fund's

Investment

manager serve

as

the

Chief

Operating

Decision

Maker

("CODM")

and

is

responsible

for

evaluating

the

Fund's

operating

results

and

allocating

resources

in

accordance

with

the

Fund's

investment

strategy.

Internal

reporting

provided

to

the

CODM

aligns

with

the

accounting

policies

and

measurement

principles

used

in

the financial

statements.

For

information

regarding

segment

assets,

segment

profit

or

loss,

and

significant

expenses,

refer

to

the Statement

of

Assets

and

Liabilities

and

the Statement

of

Operations,

along

with

the

related

notes

to

the financial

statements.

The Schedule

of

Investments

provides

details

of

the Fund's investments

that

generate

returns

such

as

interest,

dividends,

and

realized

and

unrealized

gains

or

losses.

Performance

metrics,

including

portfolio

turnover

and

expense

ratios,

are

disclosed

in

the Financial

Highlights.

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund

#### Assets:
Investments

in

Securities:

a

Common

Stocks

.........................

$

47,904,379

$

—

$

—

$

47,904,379

Equity-Linked

Securities

...................

—

5,683,236

—

5,683,236

Convertible

Preferred

Stocks

................

3,476,260

—

—

3,476,260

Short

Term

Investments

...................

819,330

—

—

819,330

Total

Investments

in

Securities

...........

$52,199,969

$5,683,236

$—

$57,883,205

a

For

detailed

categories,

see

the

accompanying

Schedule

of

Investments.

6. #### Credit

#### Facility
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund
(continued)

9. #### Subsequent

#### Events
The Fund

has

evaluated

subsequent

events

through

the

issuance

of

the

financial

statements

and

determined

that

no

events

have

occurred

that

require

disclosure

other

than

those

already

disclosed

in

the

financial

statements.

#### Abbreviations

#### Selected

#### Portfolio

#### ADR
American

Depositary

Receipt

#### REIT
Real

Estate

Investment

Trust

Franklin

Templeton

Variable

Insurance

Products

Trust

Report

of

Independent

Registered

Public

Accounting

Firm

franklintempleton.com

Annual

Report

To

the

Board

of

Trustees

of

Franklin

Templeton

Variable

Insurance

Products

Trust

and

Shareholders

of

Franklin

Growth

and

Income

VIP

Fund

#### Opinion

#### on

#### the

#### Financial

#### Statements
We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

investments,

of

Franklin

Growth

and

Income

VIP

Fund

(one

of

the

funds

constituting

Franklin

Templeton

Variable

Insurance

Products

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2025,

the

related

statement

of

operations

for

the

year

ended

December

31,

2025,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

(collectively

referred

to

as

the

"financial

statements").

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2025,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

#### Basis

#### for

#### Opinion
These

financial

statements

are

the

responsibility

of

the

Fund's

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund's

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2025

by

correspondence

with

the

custodian,

transfer

agent

and

brokers.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/PricewaterhouseCoopers

LLP

San

Francisco,

California

February

19,

2026

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Franklin

Templeton

Group

of

Funds

since

1948. Franklin

Templeton

Variable

Insurance

Products

Trust

Tax

Information

(unaudited)

franklintempleton.com

Annual

Report

#### Franklin

#### Growth

#### and

#### Income

#### VIP

#### Fund
By

mid-February,

tax

information

related

to

a

shareholder's

proportionate

share

of

distributions

paid

during

the

preceding

calendar

year

will

be

received,

if

applicable.

Please

also

refer

to

www.franklintempleton.com

for

per

share

tax

information

related

to

any

distributions

paid

during

the

preceding

calendar

year.

Shareholders

are

advised

to

consult

with

their

tax

advisors

for

further

information

on

the

treatment

of

these

amounts

on

their

tax

returns.

The

following

tax

information

for

the

Fund

is

required

to

be

furnished

to

shareholders

with

respect

to

income

earned

and

distributions

paid

during

its

fiscal

year.

The

Fund

hereby

reports

the

following

amounts,

or

if

subsequently

determined

to

be

different,

the

maximum

allowable

amounts,

for

the

fiscal

year

ended

December

31,

2025:

#### Pursuant

#### to:

#### Amount

#### Reported
Long-Term

Capital

Gain

Dividends

Distributed

§852(b)(3)(C)

$4,927,864

Income

Eligible

for

Dividends

Received

Deduction

(DRD)

§854(b)(1)(A)

$845,850

Franklin

Templeton

Variable

Insurance

Products

Trust

franklintempleton.com

Annual

Report

#### Changes

#### In

#### and

#### Disagreements

#### with

#### Accountants
For

the

period

covered

by

this

report

Not

applicable.

#### Results

#### of

#### Meeting(s)

#### of

#### Shareholders
For

the

period

covered

by

this

report

Not

applicable.

#### Remuneration

#### Paid

#### to

#### Directors,

#### Officers

#### and

#### Others
For

the

period

covered

by

this

report

Refer

to

the

financial

statements

included

herein.

Remuneration

to

officers

is

paid

by

the

Fund's

investment

manager

according

to

the

terms

of

the

agreement.

#### Board

#### Approval

#### of

#### Management

#### and

#### Subadvisory

#### Agreements
For

the

period

covered

by

this

report

Not

applicable.

4822-AFSOI

02/26©

2026

Franklin

Templeton.

All

rights

reserved.

#### Franklin

#### Income

#### VIP

#### Fund

#### Financial

#### Statements

#### and

#### Other

#### Important

#### Information

#### Annual
\|

December

31,

2025

#### Table

#### of

#### Contents
franklintempleton.com

Financial

Statements

and

Other

Important

Information—Annual

Financial

Highlights

and

Schedule

of

Investments

#### 2
Financial

Statements

#### 17
Notes

to

Financial

Statements

#### 20
Report

of

Independent

Registered

Public

Accounting

Firm

#### 30
Tax

Information

#### 31
Changes

In

and

Disagreements

with

Accountants

#### 32
Results

of

Meeting(s)

of

Shareholders

Remuneration

Paid

to

Directors,

Officers

and

Others

Board

Approval

of

Management

and

Subadvisory

Agreements

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Income

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 1

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$15.12

$14.91

$15.39

$17.47

$15.65

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.61 0.65 0.64 0.62 0.53 Net

realized

and

unrealized

gains

(losses)

...........

1.25 0.42 0.64 (1.55)

2.09 Total

from

investment

operations

....................

1.86 1.07 1.28 (0.93)

2.62 Less

distributions

from:

Net

investment

income

..........................

(0.80)

(0.80)

(0.82)

(0.83)

(0.80)

Net

realized

gains

.............................

(0.16)

(0.06)

(0.94)

(0.32)

—

Total

distributions

...............................

(0.96)

(0.86)

(1.76)

(1.15)

(0.80)

Net

asset

value,

end

of

year

.......................

$16.02

$15.12

$14.91

$15.39

$17.47

Total

return

c

...................................

12.87%

7.46%

8.87%

(5.24)%

17.00%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.47%

0.47%

0.46%

0.45%

0.47%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.47%

e

0.46%

0.46%

d,e

0.45%

d,e

0.47%

d,e

Net

investment

income

...........................

3.97%

4.28%

4.35%

3.82%

3.20%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$336,475

$308,491

$291,326

$220,272

$243,732

Portfolio

turnover

rate

............................

41.45%

39.80%

34.98%

64.51%

39.27%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

e

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 2

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$14.36

$14.20

$14.73

$16.76

$15.04

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.54 0.58 0.58 0.55 0.47 Net

realized

and

unrealized

gains

(losses)

...........

1.19 0.41 0.61 (1.48)

2.02 Total

from

investment

operations

....................

1.73 0.99 1.19 (0.93)

2.49 Less

distributions

from:

Net

investment

income

..........................

(0.77)

(0.77)

(0.78)

(0.78)

(0.77)

Net

realized

gains

.............................

(0.16)

(0.06)

(0.94)

(0.32)

—

Total

distributions

...............................

(0.93)

(0.83)

(1.72)

(1.10)

(0.77)

Net

asset

value,

end

of

year

.......................

$15.16

$14.36

$14.20

$14.73

$16.76

Total

return

c

...................................

12.56%

7.20%

8.62%

(5.47)%

16.75%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.72%

0.72%

0.71%

0.70%

0.72%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.72%

e

0.71%

0.71%

d,e

0.70%

d,e

0.72%

d,e

Net

investment

income

...........................

3.72%

4.03%

4.09%

3.56%

2.95%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$2,513,164

$2,463,454

$2,546,077

$2,545,382

$3,026,228

Portfolio

turnover

rate

............................

41.45%

39.80%

34.98%

64.51%

39.27%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

e

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 4

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$14.86

$14.67

$15.16

$17.23

$15.45

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.55 0.58 0.58 0.55 0.46 Net

realized

and

unrealized

gains

(losses)

...........

1.22 0.42 0.64 (1.53)

2.07 Total

from

investment

operations

....................

1.77 1.00 1.22 (0.98)

2.53 Less

distributions

from:

Net

investment

income

..........................

(0.75)

(0.75)

(0.77)

(0.77)

(0.75)

Net

realized

gains

.............................

(0.16)

(0.06)

(0.94)

(0.32)

—

Total

distributions

...............................

(0.91)

(0.81)

(1.71)

(1.09)

(0.75)

Net

asset

value,

end

of

year

.......................

$15.72

$14.86

$14.67

$15.16

$17.23

Total

return

c

...................................

12.43%

7.08%

8.55%

(5.59)%

16.59%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.82%

0.82%

0.81%

0.80%

0.82%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.82%

e

0.81%

0.81%

d,e

0.80%

d,e

0.82%

d,e

Net

investment

income

...........................

3.62%

3.92%

3.99%

3.49%

2.82%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$401,408

$370,279

$352,794

$325,205

$333,522

Portfolio

turnover

rate

............................

41.45%

39.80%

34.98%

64.51%

39.27%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

e

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments,

December

31,

2025

#### Franklin

#### Income

#### VIP

#### Fund
franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks

#### 34.3%

#### Aerospace

#### &

#### Defense

#### 1.5%
Lockheed

Martin

Corp.

...............................

United

States

65,000

$

31,438,550

RTX

Corp.

........................................

United

States

90,000

16,506,000

47,944,550

#### Air

#### Freight

#### &

#### Logistics

#### 0.4%
United

Parcel

Service,

Inc.

,

B

..........................

United

States

139,000

13,787,410

#### Banks

#### 1.5%
Citigroup,

Inc.

......................................

United

States

50,000

5,834,500

Fifth

Third

Bancorp

..................................

United

States

200,000

9,362,000

JPMorgan

Chase

&

Co.

...............................

United

States

100,000

32,222,000

47,418,500

#### Beverages

#### 2.1%
Coca-Cola

Co.

(The)

.................................

United

States

250,000

17,477,500

PepsiCo,

Inc.

......................................

United

States

350,000

50,232,000

67,709,500

#### Biotechnology

#### 1.1%
AbbVie,

Inc.

.......................................

United

States

100,000

22,849,000

Amgen,

Inc.

.......................................

United

States

35,000

11,455,850

34,304,850

#### Building

#### Products

#### 0.4%
Johnson

Controls

International

plc

.......................

United

States

100,000

11,975,000

#### Capital

#### Markets

#### 1.5%
Charles

Schwab

Corp.

(The)

...........................

United

States

100,000

9,991,000

Morgan

Stanley

.....................................

United

States

200,000

35,506,000

a

Yeoman

Capital

SA

..................................

Luxembourg

250,000

2,191,160

47,688,160

#### Chemicals

#### 1.0%
Air

Products

and

Chemicals,

Inc.

........................

United

States

115,000

28,407,300

LyondellBasell

Industries

NV

,

A

.........................

United

States

110,000

4,763,000

33,170,300

#### Communications

#### Equipment

#### 1.2%
Cisco

Systems,

Inc.

.................................

United

States

500,000

38,515,000

#### Consumer

#### Staples

#### Distribution

#### &

#### Retail

#### 0.2%
Target

Corp.

.......................................

United

States

75,000

7,331,250

#### Containers

#### &

#### Packaging

#### 0.1%
International

Paper

Co.

...............................

United

States

125,000

4,923,750

#### Diversified

#### Telecommunication

#### Services

#### 0.3%
Verizon

Communications,

Inc.

..........................

United

States

250,000

10,182,500

#### Electric

#### Utilities

#### 3.0%
Duke

Energy

Corp.

..................................

United

States

150,000

17,581,500

Edison

International

.................................

United

States

75,000

4,501,500

NextEra

Energy,

Inc.

.................................

United

States

450,000

36,126,000

Southern

Co.

(The)

..................................

United

States

360,000

31,392,000

Xcel

Energy,

Inc.

....................................

United

States

130,000

9,601,800

99,202,800

#### Energy

#### Equipment

#### &

#### Services

#### 0.7%
Halliburton

Co.

.....................................

United

States

135,000

3,815,100

SLB

Ltd.

..........................................

United

States

481,415

18,476,707

22,291,807

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Food

#### Products

#### 0.6%
Nestle

SA

,

ADR

....................................

United

States

190,000

$

18,768,200

#### Ground

#### Transportation

#### 0.9%
Union

Pacific

Corp.

..................................

United

States

129,993

30,069,981

#### Health

#### Care

#### Equipment

#### &

#### Supplies

#### 0.3%
Medtronic

plc

......................................

United

States

100,000

9,606,000

#### Hotels,

#### Restaurants

#### &

#### Leisure

#### 0.3%
McDonald's

Corp.

...................................

United

States

30,000

9,168,900

#### Household

#### Products

#### 1.3%
Procter

&

Gamble

Co.

(The)

...........................

United

States

300,000

42,993,000

#### Industrial

#### Conglomerates

#### 0.5%
Honeywell

International,

Inc.

...........................

United

States

85,000

16,582,650

#### IT

#### Services

#### 0.3%
International

Business

Machines

Corp.

...................

United

States

30,000

8,886,300

#### Machinery

#### 0.2%
Caterpillar,

Inc.

.....................................

United

States

12,500

7,160,875

#### Media

#### 0.4%
Comcast

Corp.

,

A

...................................

United

States

400,000

11,956,000

#### Metals

#### &

#### Mining

#### 0.4%
Freeport-McMoRan,

Inc.

..............................

United

States

249,529

12,673,578

#### Multi-Utilities

#### 1.0%
Dominion

Energy,

Inc.

................................

United

States

300,000

17,577,000

Sempra,

Inc.

.......................................

United

States

180,000

15,892,200

33,469,200

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 5.1%
Chevron

Corp.

.....................................

United

States

350,000

53,343,500

ConocoPhillips

.....................................

United

States

150,000

14,041,500

Exxon

Mobil

Corp.

...................................

United

States

525,035

63,182,712

Shell

plc

,

ADR

......................................

United

States

250,000

18,370,000

TotalEnergies

SE

...................................

France

250,000

16,355,000

165,292,712

#### Pharmaceuticals

#### 5.2%
Bristol-Myers

Squibb

Co.

..............................

United

States

229,919

12,401,831

Johnson

&

Johnson

.................................

United

States

350,000

72,432,500

a

Keenova

Therapeutics

plc

.............................

United

States

48,391

4,328,575

Merck

&

Co.,

Inc.

...................................

United

States

500,000

52,630,000

a

Par

Health,

Inc.

.....................................

United

States

48,391

453,666

Pfizer,

Inc.

.........................................

United

States

1,059,816

26,389,418

168,635,990

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 1.1%
Analog

Devices,

Inc.

.................................

United

States

34,000

9,220,800

Texas

Instruments,

Inc.

...............................

United

States

155,000

26,890,950

36,111,750

#### Specialty

#### Retail

#### 1.1%
Home

Depot,

Inc.

(The)

...............................

United

States

100,000

34,410,000

#### Tobacco

#### 0.6%
Philip

Morris

International,

Inc.

.........................

United

States

130,000

20,852,000

#### Total

#### Common

#### Stocks

#### (Cost

#### $

#### 850,369,572

####)
...................................

#### 1,113,082,513
Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

b

#### Equity-Linked

#### Securities

#### 15.5%

#### Aerospace

#### &

#### Defense

#### 0.4%
c

JPMorgan

Chase

Bank

NA

into

Boeing

Co.

(The)

,

144A,

%

,

1/22/26

.........................................

United

States

65,000

$

13,032,240

#### Banks

#### 1.4%
c

JPMorgan

Chase

Bank

NA

into

Truist

Financial

Corp.

,

144A,

9.5 %

,

3/02/26

....................................

United

States

168,000

7,975,290

c

UBS

AG

into

Bank

of

America

Corp.

,

144A,

%

,

1/28/26

......

United

States

500,000

26,082,419

c

Wells

Fargo

Bank

NA

into

Citigroup,

Inc.

,

144A,

8.5 %

,

2/25/26

..

United

States

130,000

12,539,578

46,597,287

#### Biotechnology

#### 0.6%
c

Mizuho

Markets

Cayman

LP

into

Amgen,

Inc.

,

144A,

%

,

6/15/26

.........................................

United

States

60,000

18,339,660

#### Broadline

#### Retail

#### 0.6%
c

Barclays

Bank

plc

into

Amazon.com,

Inc.

,

144A,

%

,

3/25/26

..

United

States

50,000

10,939,362

c

J.P.

Morgan

Structured

Products

BV

into

Amazon.com,

Inc.

,

144A,

%

,

1/11/27

......................................

United

States

36,000

8,245,652

19,185,014

#### Chemicals

#### 0.8%
c

BofA

Finance

LLC

into

Albemarle

Corp.

,

144A,

12.5 %

,

8/28/26

.

United

States

255,000

25,898,902

#### Consumer

#### Staples

#### Distribution

#### &

#### Retail

#### 0.4%
c

BNP

Paribas

Issuance

BV

into

Target

Corp.

,

144A,

%

,

10/07/26

United

States

40,000

3,850,514

c

Toronto-Dominion

Bank

(The)

into

Target

Corp.

,

144A,

%

,

6/30/26

.........................................

United

States

80,000

7,773,207

11,623,721

#### Electric

#### Utilities

#### 0.3%
c

Wells

Fargo

Bank

NA

into

NextEra

Energy,

Inc.

,

144A,

9.5 %

,

10/22/26

........................................

United

States

100,000

8,354,708

#### Energy

#### Equipment

#### &

#### Services

#### 0.2%
c

Merrill

Lynch

BV

into

Halliburton

Co.

,

144A,

8.5 %

,

9/21/26

.....

United

States

325,000

8,329,763

#### Health

#### Care

#### Providers

#### &

#### Services

#### 1.0%
c

Citigroup

Global

Markets

Holdings,

Inc.

into

UnitedHealth

Group,

Inc.

,

144A,

%

,

1/27/26

.............................

United

States

15,000

5,121,537

c

Merrill

Lynch

BV

into

UnitedHealth

Group,

Inc.

,

144A,

%

,

9/25/26

United

States

25,000

8,168,021

c

Merrill

Lynch

BV

into

UnitedHealth

Group,

Inc.

,

144A,

%

,

7/01/26

.........................................

United

States

25,000

8,398,140

c

Wells

Fargo

Bank

NA

into

CVS

Health

Corp.

,

144A,

%

,

4/09/26

United

States

150,000

11,612,480

33,300,178

#### Hotels,

#### Restaurants

#### &

#### Leisure

#### 0.5%
c

Toronto-Dominion

Bank

(The)

into

Starbucks

Corp.

,

144A,

%

,

1/12/26

.........................................

United

States

190,000

16,404,576

#### Interactive

#### Media

#### &

#### Services

#### 0.5%
c

Mizuho

Markets

Cayman

LP

into

Meta

Platforms,

Inc.

,

144A,

%

,

12/07/26

....................................

United

States

26,000

16,587,481

#### IT

#### Services

#### 0.9%
c

Citigroup

Global

Markets

Holdings,

Inc.

into

International

Business

Machines

Corp.

,

144A,

8.5 %

,

8/21/26

...........

United

States

35,000

9,462,261

c

Morgan

Stanley

Finance

LLC

into

International

Business

Machines

Corp.

,

144A,

%

,

4/08/27

....................

United

States

40,000

11,638,483

c

UBS

AG

into

Accenture

plc

,

144A,

%

,

7/13/26

.............

United

States

31,000

8,647,557

29,748,301

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

b

#### Equity-Linked

#### Securities
(continued)

#### Media

#### 0.2%
c

Merrill

Lynch

BV

into

Comcast

Corp.

,

144A,

8.5 %

,

6/22/26

.....

United

States

255,000

$

7,726,062

#### Metals

#### &

#### Mining

#### 0.6%
c

BNP

Paribas

Issuance

BV

into

Freeport-McMoRan,

Inc.

,

144A,

%

,

8/28/26

.....................................

United

States

400,000

18,294,305

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 0.6%
c

Mizuho

Markets

Cayman

LP

into

Exxon

Mobil

Corp.

,

144A,

8.5 %

,

4/07/26

.........................................

United

States

159,000

19,341,877

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 3.7%
c

Bank

of

America

NA

into

Microchip

Technology,

Inc.

,

144A,

%

,

9/03/26

.........................................

United

States

200,000

12,920,684

c

Barclays

Bank

plc

into

Microchip

Technology,

Inc.

,

144A,

%

,

10/05/26

........................................

United

States

200,000

13,145,064

c

Barclays

Bank

plc

into

Micron

Technology,

Inc.

,

144A,

%

,

9/08/26

.........................................

United

States

90,000

13,283,051

c

BNP

Paribas

SA

into

Texas

Instruments,

Inc.

,

144A,

%

,

7/01/26

United

States

113,500

20,533,455

c

Citigroup

Global

Markets

Holdings,

Inc.

into

Intel

Corp.

,

144A,

%

,

3/03/26

.....................................

United

States

541,000

18,073,890

c

Mizuho

Markets

Cayman

LP

into

Analog

Devices,

Inc.

,

144A,

8.5 %

,

5/18/26

....................................

United

States

80,000

18,452,453

c

Toronto-Dominion

Bank

(The)

into

QUALCOMM,

Inc.

,

144A,

%

,

11/25/26

........................................

United

States

85,000

15,030,985

c

UBS

AG

into

Marvell

Technology,

Inc.

,

144A,

%

,

5/14/26

....

United

States

110,000

8,218,616

119,658,198

#### Software

#### 1.6%
c

Merrill

Lynch

BV

into

Microsoft

Corp.

,

144A,

%

,

3/09/26

......

United

States

32,655

14,511,635

c

Mizuho

Markets

Cayman

LP

into

Microsoft

Corp.

,

144A,

7.25 %

,

1/11/27

.........................................

United

States

47,000

22,726,631

c

UBS

AG

into

Oracle

Corp.

,

144A,

%

,

1/11/27

.............

United

States

33,000

6,328,897

c

Wells

Fargo

Bank

NA

into

Salesforce,

Inc.

,

144A,

%

,

6/15/26

..

United

States

35,000

9,267,809

52,834,972

#### Specialty

#### Retail

#### 0.6%
c

J.P.

Morgan

Structured

Products

BV

into

Home

Depot,

Inc.

(The)

,

144A,

%

,

10/20/26

................................

United

States

52,700

19,208,269

#### Technology

#### Hardware,

#### Storage

#### &

#### Peripherals

#### 0.4%
c

Mizuho

Markets

Cayman

LP

into

Dell

Technologies,

Inc.

,

144A,

%

,

11/09/26

....................................

United

States

100,000

13,759,056

#### Textiles,

#### Apparel

#### &

#### Luxury

#### Goods

#### 0.2%
c

Goldman

Sachs

International

Bank

into

NIKE,

Inc.

,

144A,

%

,

3/31/26

.........................................

United

States

100,000

6,481,229

#### Total

#### Equity-Linked

#### Securities

#### (Cost

#### $

#### 479,766,189

####)
............................

#### 504,705,799

#### Convertible

#### Preferred

#### Stocks

#### 2.0%

#### Aerospace

#### &

#### Defense

#### 0.5%
Boeing

Co.

(The)

,

%

................................

United

States

240,000

16,574,400

#### Capital

#### Markets

#### 0.1%
Ares

Management

Corp.

,

B

,

6.75 %

......................

United

States

50,000

2,520,000

#### Chemicals

#### 0.4%
Albemarle

Corp.

,

7.25 %

..............................

United

States

230,000

13,659,700

#### Electric

#### Utilities

#### 0.3%
NextEra

Energy,

Inc.

,

7.234 %

..........................

United

States

50,000

2,437,500

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Convertible

#### Preferred

#### Stocks
(continued)

#### Electric

#### Utilities
(continued)

Southern

Co.

(The)

,

A

,

7.125 %

.........................

United

States

135,000

$

6,798,600

9,236,100

#### Financial

#### Services

#### 0.7%
FNMA

,

5.375 %

.....................................

United

States

23,512,500

#### Total

#### Convertible

#### Preferred

#### Stocks

#### (Cost

#### $

#### 72,440,823

####)
.........................

#### 65,502,700

#### Principal

#### Amount

#### \*

#### Corporate

#### Bonds

#### 34.2%

#### Aerospace

#### &

#### Defense

#### 1.4%
Boeing

Co.

(The)

,

Senior

Note

,

5.15 %

,

5/01/30

.............

United

States

15,000,000

15,417,839

c

Bombardier,

Inc.

,

Senior

Note

,

144A,

7.25 %

,

7/01/31

.........

Canada

4,250,000

4,534,317

c

TransDigm,

Inc.

,

Senior

Secured

Note

,

144A,

6.75 %

,

8/15/28

.............

United

States

5,000,000

5,094,330

Senior

Secured

Note

,

144A,

6.625 %

,

3/01/32

............

United

States

15,000,000

15,625,035

Senior

Sub.

Note

,

144A,

6.75 %

,

1/31/34

................

United

States

5,750,000

5,993,335

46,664,856

#### Automobile

#### Components

#### 0.3%
c

Dornoch

Debt

Merger

Sub,

Inc.

,

Senior

Note

,

144A,

6.625 %

,

10/15/29

........................................

United

States

11,945,000

10,356,111

#### Automobiles

#### 1.0%
Ford

Motor

Co.

,

Senior

Bond

,

3.25 %

,

2/12/32

.........................

United

States

3,000,000

2,644,782

Senior

Bond

,

6.1 %

,

8/19/32

..........................

United

States

7,000,000

7,215,702

General

Motors

Co.

,

Senior

Bond

,

5.6 %

,

10/15/32

.........................

United

States

5,000,000

5,231,871

Senior

Bond

,

5.15 %

,

4/01/38

.........................

United

States

13,500,000

13,020,725

c

Rivian

Holdings

LLC

/

Rivian

LLC

/

Rivian

Automotive

LLC

,

Senior

Secured

Note

,

144A,

%

,

1/15/31

.....................

United

States

3,000,000

2,951,352

31,064,432

#### Banks

#### 3.1%
Barclays

plc

,

Senior

Bond

,

5.746%

to

8/08/32,

FRN

thereafter

,

8/09/33

...

United

Kingdom

15,000,000

15,752,237

Senior

Bond

,

7.437%

to

11/01/32,

FRN

thereafter

,

11/02/33

..

United

Kingdom

10,000,000

11,438,602

Citigroup,

Inc.

,

Senior

Bond

,

6.27%

to

11/16/32,

FRN

thereafter

,

11/17/33

........................................

United

States

24,500,000

26,688,329

JPMorgan

Chase

&

Co.

,

d

NN

,

Junior

Sub.

Bond

,

6.875%

to

5/31/29,

FRN

thereafter

,

Perpetual

.......................................

United

States

5,000,000

5,306,329

d

OO

,

Junior

Sub.

Bond

,

6.5%

to

3/31/30,

FRN

thereafter

,

Perpetual

.......................................

United

States

3,000,000

3,119,614

Senior

Bond

,

6.254%

to

10/22/33,

FRN

thereafter

,

10/23/34

.

United

States

3,000,000

3,299,078

PNC

Financial

Services

Group,

Inc.

(The)

,

Senior

Bond

,

6.037%

to

10/27/32,

FRN

thereafter

,

10/28/33

...................

United

States

8,000,000

8,650,849

Truist

Financial

Corp.

,

Sub.

Bond

,

4.916%

to

7/27/32,

FRN

thereafter

,

7/28/33

.................................

United

States

4,000,000

4,024,006

US

Bancorp

,

Senior

Bond

,

5.85%

to

10/20/32,

FRN

thereafter

,

10/21/33

........................................

United

States

10,000,000

10,712,802

Wells

Fargo

&

Co.

,

Senior

Bond

,

5.557%

to

7/24/33,

FRN

thereafter

,

7/25/34

.................................

United

States

10,000,000

10,489,728

99,481,574

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Biotechnology

#### 0.2%
c

Genmab

A/S

/

Genmab

Finance

LLC

,

Senior

Note

,

144A,

7.25 %

,

12/15/33

...................

Denmark

2,000,000

$

2,102,504

Senior

Secured

Note

,

144A,

6.25 %

,

12/15/32

............

Denmark

4,000,000

4,102,166

6,204,670

#### Building

#### Products

#### 0.6%
c

Camelot

Return

Merger

Sub,

Inc.

,

Senior

Secured

Note

,

144A,

8.75 %

,

8/01/28

...................................

United

States

3,400,000

2,637,500

c

EMRLD

Borrower

LP

/

Emerald

Co-Issuer,

Inc.

,

Senior

Secured

Note

,

144A,

6.625 %

,

12/15/30

........................

United

States

11,000,000

11,470,383

c

Quikrete

Holdings,

Inc.

,

Senior

Secured

Note

,

144A,

6.375 %

,

3/01/32

.........................................

United

States

6,500,000

6,769,977

20,877,860

#### Capital

#### Markets

#### 1.3%
Goldman

Sachs

Group,

Inc.

(The)

,

Senior

Bond

,

6.561%

to

10/23/33,

FRN

thereafter

,

10/24/34

.....................

United

States

17,000,000

18,953,923

Morgan

Stanley

,

Senior

Bond

,

6.342%

to

10/17/32,

FRN

thereafter

,

10/18/33

.

United

States

8,650,000

9,483,319

Senior

Bond

,

5.25%

to

4/20/33,

FRN

thereafter

,

4/21/34

....

United

States

5,700,000

5,870,271

Senior

Bond

,

6.627%

to

10/31/33,

FRN

thereafter

,

11/01/34

..

United

States

6,000,000

6,711,437

41,018,950

#### Chemicals

#### 1.5%
Celanese

US

Holdings

LLC

,

Senior

Note

,

6.665 %

,

7/15/27

....

United

States

12,000,000

12,377,488

c

Rain

Carbon,

Inc.

,

Senior

Secured

Note

,

144A,

12.25 %

,

9/01/29

United

States

7,300,000

7,610,874

c

SCIH

Salt

Holdings,

Inc.

,

Senior

Note

,

144A,

6.625 %

,

5/01/29

...................

United

States

5,500,000

5,528,298

Senior

Secured

Note

,

144A,

4.875 %

,

5/01/28

............

United

States

4,388,000

4,404,841

c

Tronox,

Inc.

,

Senior

Note

,

144A,

4.625 %

,

3/15/29

...................

United

States

9,000,000

6,308,248

Senior

Secured

Note

,

144A,

9.125 %

,

9/30/30

............

United

States

11,000,000

10,991,792

47,221,541

#### Commercial

#### Services

#### &

#### Supplies

#### 0.1%
c

RR

Donnelley

&

Sons

Co.

,

Senior

Secured

Note

,

144A,

9.5 %

,

8/01/29

.........................................

United

States

4,500,000

4,654,102

#### Communications

#### Equipment

#### 1.0%
c

CommScope

LLC

,

Senior

Note

,

144A,

8.25 %

,

3/01/27

....................

United

States

11,000,000

11,093,179

Senior

Note

,

144A,

7.125 %

,

7/01/28

...................

United

States

9,846,000

9,905,588

Senior

Secured

Note

,

144A,

4.75 %

,

9/01/29

.............

United

States

5,500,000

5,496,563

Senior

Secured

Note

,

144A,

9.5 %

,

12/15/31

.............

United

States

6,000,000

6,065,401

32,560,731

#### Consumer

#### Finance

#### 1.3%
Capital

One

Financial

Corp.

,

Senior

Note

,

3.273%

to

2/28/29,

FRN

thereafter

,

3/01/30

....

United

States

7,000,000

6,800,498

Senior

Note

,

5.247%

to

7/25/29,

FRN

thereafter

,

7/26/30

....

United

States

6,070,000

6,262,281

Ford

Motor

Credit

Co.

LLC

,

Senior

Note

,

4.95 %

,

5/28/27

.........................

United

States

15,000,000

15,063,646

Senior

Note

,

7.35 %

,

3/06/30

.........................

United

States

1,500,000

1,610,547

Senior

Note

,

6.532 %

,

3/19/32

........................

United

States

7,654,000

8,007,711

General

Motors

Financial

Co.,

Inc.

,

Senior

Bond

,

6.4 %

,

1/09/33

.

United

States

5,000,000

5,400,607

43,145,290

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Containers

#### &

#### Packaging

#### 1.3%
c

Ardagh

Group

SA

,

e

Secured

Note

,

144A,

PIK,

%

,

12/01/30

...............

United

States

11,000,000

$

9,993,194

Senior

Secured

Note

,

144A,

9.5 %

,

12/01/30

.............

United

States

8,402,000

9,120,815

c

Clydesdale

Acquisition

Holdings,

Inc.

,

Senior

Secured

Note

,

144A,

6.75 %

,

4/15/32

...............................

United

States

4,000,000

4,115,778

c

Mauser

Packaging

Solutions

Holding

Co.

,

Secured

Note

,

144A,

9.25 %

,

4/15/30

...................

United

States

12,032,000

11,610,880

Senior

Secured

Note

,

144A,

7.875 %

,

4/15/30

............

United

States

7,000,000

6,951,248

41,791,915

#### Diversified

#### Telecommunication

#### Services

#### 0.8%
c

CCO

Holdings

LLC

/

CCO

Holdings

Capital

Corp.

,

Senior

Bond

,

144A,

4.75 %

,

3/01/30

....................

United

States

2,500,000

2,389,172

Senior

Note

,

144A,

6.375 %

,

9/01/29

...................

United

States

17,500,000

17,749,389

c

Connect

Holding

II

LLC

,

Senior

Secured

Note

,

144A,

10.5 %

,

4/03/31

.........................................

United

States

6,750,000

6,400,620

26,539,181

#### Electric

#### Utilities

#### 1.8%
c

NRG

Energy,

Inc.

,

Senior

Bond

,

144A,

%

,

1/15/36

......................

United

States

7,500,000

7,603,262

Senior

Note

,

144A,

5.75 %

,

7/15/29

....................

United

States

20,000,000

20,002,095

Southern

Co.

(The)

,

2025

,

Junior

Sub.

Bond

,

6.375%

to

3/14/35,

FRN

thereafter

,

3/15/55

.........................................

United

States

1,000,000

1,044,261

Senior

Bond

,

5.7 %

,

10/15/32

.........................

United

States

10,000,000

10,610,480

c

Vistra

Operations

Co.

LLC

,

Senior

Note

,

144A,

4.375 %

,

5/01/29

...................

United

States

10,505,000

10,378,306

Senior

Note

,

144A,

7.75 %

,

10/15/31

...................

United

States

4,700,000

4,980,342

Senior

Note

,

144A,

6.875 %

,

4/15/32

...................

United

States

2,800,000

2,950,893

57,569,639

#### Electrical

#### Equipment

#### 0.2%
Regal

Rexnord

Corp.

,

Senior

Note

,

6.4 %

,

4/15/33

...........

United

States

5,000,000

5,380,942

#### Energy

#### Equipment

#### &

#### Services

#### 0.3%
c

Weatherford

International

Ltd.

,

Senior

Note

,

144A,

8.625 %

,

4/30/30

...................

United

States

5,316,000

5,452,621

Senior

Note

,

144A,

6.75 %

,

10/15/33

...................

United

States

3,500,000

3,586,247

9,038,868

#### Food

#### Products

#### 0.4%
JBS

USA

Holding

Lux

SARL

/

JBS

USA

Food

Co.

/

JBS

Lux

Co.

SARL

,

Senior

Note

,

5.75 %

,

4/01/33

....................

United

States

8,000,000

8,362,704

Pilgrim's

Pride

Corp.

,

Senior

Bond

,

6.25 %

,

7/01/33

..........

United

States

4,000,000

4,281,042

12,643,746

#### Ground

#### Transportation

#### 0.1%
c

Ashtead

Capital,

Inc.

,

Senior

Note

,

144A,

4.25 %

,

11/01/29

....

United

Kingdom

4,500,000

4,452,358

#### Health

#### Care

#### Equipment

#### &

#### Supplies

#### 0.6%
GE

HealthCare

Technologies,

Inc.

,

Senior

Note

,

5.905 %

,

11/22/32

United

States

4,000,000

4,311,022

c

Medline

Borrower

LP

,

Senior

Note

,

144A,

5.25 %

,

10/01/29

...................

United

States

4,000,000

4,023,984

Senior

Secured

Note

,

144A,

3.875 %

,

4/01/29

............

United

States

10,000,000

9,770,040

18,105,046

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Health

#### Care

#### Providers

#### &

#### Services

#### 5.6%
Centene

Corp.

,

Senior

Note

,

4.625 %

,

12/15/29

.............

United

States

10,000,000

$

9,706,437

c

CHS/Community

Health

Systems,

Inc.

,

144A,

10.75 %

,

6/15/33

.............................

United

States

20,000,000

21,499,500

Secured

Note

,

144A,

6.875 %

,

4/15/29

..................

United

States

23,820,000

21,222,429

Secured

Note

,

144A,

6.125 %

,

4/01/30

..................

United

States

19,430,000

15,585,645

Senior

Secured

Note

,

144A,

10.875 %

,

1/15/32

...........

United

States

27,898,000

30,483,866

Senior

Secured

Note

,

144A,

9.75 %

,

1/15/34

.............

United

States

12,000,000

12,618,943

CVS

Health

Corp.

,

Senior

Bond

,

5.25 %

,

2/21/33

............

United

States

5,000,000

5,149,429

c

DaVita,

Inc.

,

Senior

Note

,

144A,

4.625 %

,

6/01/30

...........

United

States

8,500,000

8,271,052

HCA,

Inc.

,

Senior

Bond

,

5.5 %

,

6/01/33

...................

United

States

10,000,000

10,411,477

Tenet

Healthcare

Corp.

,

Senior

Note

,

6.125 %

,

10/01/28

.......................

United

States

13,580,000

13,649,013

c

Senior

Note

,

144A,

%

,

11/15/33

......................

United

States

10,000,000

10,302,190

Senior

Secured

Note

,

6.125 %

,

6/15/30

.................

United

States

12,500,000

12,806,793

Senior

Secured

Note

,

6.75 %

,

5/15/31

..................

United

States

10,000,000

10,410,490

182,117,264

#### Hotels,

#### Restaurants

#### &

#### Leisure

#### 1.9%
c

Caesars

Entertainment,

Inc.

,

Senior

Note

,

144A,

%

,

10/15/32

.....................

United

States

12,500,000

12,165,111

Senior

Secured

Note

,

144A,

%

,

2/15/30

................

United

States

6,250,000

6,475,794

c

Carnival

Corp.

,

Senior

Note

,

144A,

5.75 %

,

8/01/32

..........

United

States

11,750,000

12,073,489

c

Fertitta

Entertainment

LLC

/

Fertitta

Entertainment

Finance

Co.,

Inc.

,

Senior

Note

,

144A,

6.75 %

,

1/15/30

....................

United

States

4,100,000

3,901,149

Senior

Secured

Note

,

144A,

4.625 %

,

1/15/29

............

United

States

3,500,000

3,403,236

c

NCL

Corp.

Ltd.

,

Senior

Note

,

144A,

6.75 %

,

2/01/32

..........

United

States

2,000,000

2,049,075

c

Wynn

Las

Vegas

LLC

/

Wynn

Las

Vegas

Capital

Corp.

,

Senior

Bond

,

144A,

5.25 %

,

5/15/27

..........................

United

States

6,000,000

6,026,796

c

Wynn

Resorts

Finance

LLC

/

Wynn

Resorts

Capital

Corp.

,

Senior

Note

,

144A,

6.25 %

,

3/15/33

..........................

United

States

15,000,000

15,346,436

61,441,086

#### Household

#### Durables

#### 0.1%
c

Newell

Brands,

Inc.

,

Senior

Note

,

144A,

8.5 %

,

6/01/28

.......

United

States

2,500,000

2,624,620

#### Independent

#### Power

#### and

#### Renewable

#### Electricity

#### Producers

#### 0.5%
c

Calpine

Corp.

,

Senior

Note

,

144A,

5.125 %

,

3/15/28

...................

United

States

7,800,000

7,812,410

Senior

Secured

Note

,

144A,

4.5 %

,

2/15/28

..............

United

States

2,000,000

2,002,264

c

,d

Vistra

Corp.

,

Junior

Sub.

Bond

,

144A,

7%

to

12/14/26,

FRN

thereafter

,

Perpetual

...............................

United

States

7,800,000

7,965,388

17,780,062

#### Insurance

#### 0.1%
c

Asurion

LLC

and

Asurion

Co-Issuer,

Inc.

,

Senior

Secured

Note

,

144A,

%

,

12/31/32

................................

United

States

4,500,000

4,671,569

#### IT

#### Services

#### 0.1%
c

CoreWeave,

Inc.

,

Senior

Note

,

144A,

%

,

2/01/31

...........

United

States

2,500,000

2,294,425

#### Media

#### 0.3%
c

Clear

Channel

Outdoor

Holdings,

Inc.

,

Senior

Note

,

144A,

7.75 %

,

4/15/28

.........................................

United

States

2,800,000

2,804,124

c

Stagwell

Global

LLC

,

Senior

Note

,

144A,

5.625 %

,

8/15/29

.....

United

States

5,000,000

4,879,565

c

Univision

Communications,

Inc.

,

Senior

Secured

Note

,

144A,

9.375 %

,

8/01/32

...................................

United

States

3,000,000

3,226,584

10,910,273

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Metals

#### &

#### Mining

#### 1.6%
c

Alcoa

Nederland

Holding

BV

,

Senior

Note

,

144A,

4.125 %

,

3/31/29

United

States

8,500,000

$

8,339,931

ArcelorMittal

SA

,

Senior

Bond

,

6.8 %

,

11/29/32

..............

Luxembourg

12,000,000

13,444,373

c

Cleveland-Cliffs,

Inc.

,

Senior

Note

,

144A,

%

,

3/15/32

......................

United

States

5,000,000

5,131,252

Senior

Note

,

144A,

7.375 %

,

5/01/33

...................

United

States

4,000,000

4,163,611

Senior

Note

,

144A,

7.625 %

,

1/15/34

...................

United

States

5,000,000

5,228,930

c

Fortescue

Treasury

Pty.

Ltd.

,

Senior

Bond

,

144A,

4.375 %

,

4/01/31

...................

Australia

6,000,000

5,808,143

Senior

Bond

,

144A,

6.125 %

,

4/15/32

...................

Australia

3,442,000

3,594,769

Senior

Note

,

144A,

5.875 %

,

4/15/30

...................

Australia

5,000,000

5,146,291

50,857,300

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 2.6%
c

Calumet

Specialty

Products

Partners

LP

/

Calumet

Finance

Corp.

,

Senior

Note

,

144A,

%

,

4/15/26

......................

United

States

4,618,000

4,665,847

Senior

Note

,

144A,

8.125 %

,

1/15/27

...................

United

States

8,820,000

8,833,318

Senior

Secured

Note

,

144A,

9.25 %

,

7/15/29

.............

United

States

5,500,000

5,653,115

c

Hilcorp

Energy

I

LP

/

Hilcorp

Finance

Co.

,

Senior

Bond

,

144A,

7.25 %

,

2/15/35

...................................

United

States

4,000,000

3,803,908

c

Matador

Resources

Co.

,

Senior

Note

,

144A,

6.25 %

,

4/15/33

...

United

States

3,500,000

3,518,025

Occidental

Petroleum

Corp.

,

Senior

Bond

,

6.625 %

,

9/01/30

........................

United

States

6,000,000

6,463,614

Senior

Bond

,

5.55 %

,

10/01/34

........................

United

States

3,000,000

3,061,913

c

Venture

Global

LNG,

Inc.

,

d

Junior

Sub.

Bond

,

144A,

9%

to

9/29/29,

FRN

thereafter

,

Perpetual

.......................................

United

States

12,250,000

9,683,144

Senior

Secured

Note

,

144A,

8.125 %

,

6/01/28

............

United

States

9,000,000

9,120,992

Senior

Secured

Note

,

144A,

%

,

1/15/30

................

United

States

5,161,000

4,970,788

Senior

Secured

Note

,

144A,

8.375 %

,

6/01/31

............

United

States

7,500,000

7,462,544

c

Venture

Global

Plaquemines

LNG

LLC

,

Senior

Secured

Bond

,

144A,

7.75 %

,

5/01/35

.............

United

States

8,500,000

9,311,652

Senior

Secured

Note

,

144A,

6.125 %

,

12/15/30

...........

United

States

2,000,000

2,037,849

Senior

Secured

Note

,

144A,

6.5 %

,

6/15/34

..............

United

States

1,800,000

1,840,100

Williams

Cos.,

Inc.

(The)

,

Senior

Bond

,

5.65 %

,

3/15/33

.......

United

States

5,000,000

5,269,256

85,696,065

#### Passenger

#### Airlines

#### 1.1%
c

American

Airlines,

Inc.

,

Senior

Secured

Note

,

144A,

8.5 %

,

5/15/29

.........................................

United

States

7,000,000

7,325,619

c

American

Airlines,

Inc.

/

AAdvantage

Loyalty

IP

Ltd.

,

Senior

Secured

Note

,

144A,

5.5 %

,

4/20/26

..............

United

States

2,500,000

2,504,854

Senior

Secured

Note

,

144A,

5.75 %

,

4/20/29

.............

United

States

4,460,000

4,544,490

c

Delta

Air

Lines,

Inc.

/

SkyMiles

IP

Ltd.

,

Senior

Secured

Note

,

144A,

4.75 %

,

10/20/28

..............................

United

States

5,000,000

5,031,199

c

JetBlue

Airways

Corp.

/

JetBlue

Loyalty

LP

,

Senior

Secured

Note

,

144A,

9.875 %

,

9/20/31

..............................

United

States

7,000,000

7,058,353

c

United

Airlines,

Inc.

,

Senior

Secured

Note

,

144A,

4.625 %

,

4/15/29

United

States

8,750,000

8,718,216

35,182,731

#### Personal

#### Care

#### Products

#### 0.1%
c

Opal

Bidco

SAS

,

Senior

Secured

Note

,

144A,

6.5 %

,

3/31/32

...

France

2,750,000

2,818,527

#### Pharmaceuticals

#### 0.6%
c

Endo

Finance

Holdings,

Inc.

,

Senior

Secured

Note

,

144A,

8.5 %

,

4/15/31

.........................................

United

States

4,000,000

4,232,764

c

Organon

&

Co.

/

Organon

Foreign

Debt

Co-Issuer

BV

,

Senior

Note

,

144A,

7.875 %

,

5/15/34

...................

United

States

3,000,000

2,445,546

Senior

Secured

Note

,

144A,

4.125 %

,

4/30/28

............

United

States

3,000,000

2,935,814

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Pharmaceuticals
(continued)

Teva

Pharmaceutical

Finance

Netherlands

III

BV

,

Senior

Note

,

6.75 %

,

3/01/28

...................................

Israel

10,000,000

$

10,385,875

19,999,999

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 0.5%
c

Broadcom,

Inc.

,

Senior

Bond

,

144A,

4.15 %

,

4/15/32

.........

United

States

10,000,000

9,794,404

Micron

Technology,

Inc.

,

Senior

Bond

,

5.875 %

,

2/09/33

.......

United

States

4,000,000

4,263,075

c

Qnity

Electronics,

Inc.

,

Senior

Note

,

144A,

6.25 %

,

8/15/33

....................

United

States

1,650,000

1,712,373

Senior

Secured

Note

,

144A,

5.75 %

,

8/15/32

.............

United

States

2,000,000

2,047,392

17,817,244

#### Software

#### 0.3%
Oracle

Corp.

,

Senior

Bond

,

6.25 %

,

11/09/32

........................

United

States

6,750,000

7,040,064

Senior

Bond

,

5.2 %

,

9/26/35

..........................

United

States

2,500,000

2,396,100

9,436,164

#### Specialized

#### REITs

#### 0.3%
American

Tower

Corp.

,

Senior

Bond

,

5.65 %

,

3/15/33

.........

United

States

5,000,000

5,277,669

c

Millrose

Properties,

Inc.

,

Senior

Note

,

144A,

6.375 %

,

8/01/30

..

United

States

4,000,000

4,095,476

9,373,145

#### Textiles,

#### Apparel

#### &

#### Luxury

#### Goods

#### 0.3%
c

,e

Beach

Acquisition

Bidco

LLC

,

Senior

Note

,

144A,

PIK,

%

,

7/15/33

.........................................

United

States

10,000,000

10,538,691

#### Tobacco

#### 0.2%
BAT

Capital

Corp.

,

Senior

Bond

,

6.421 %

,

8/02/33

...........

United

Kingdom

6,000,000

6,627,650

#### Trading

#### Companies

#### &

#### Distributors

#### 0.7%
c

Herc

Holdings,

Inc.

,

Senior

Note

,

144A,

%

,

6/15/30

.........

United

States

2,500,000

2,632,559

United

Rentals

North

America,

Inc.

,

Senior

Bond

,

4.875 %

,

1/15/28

........................

United

States

12,800,000

12,808,845

c

Senior

Secured

Note

,

144A,

%

,

12/15/29

...............

United

States

8,000,000

8,224,544

23,665,948

#### Total

#### Corporate

#### Bonds

#### (Cost

#### $

#### 1,064,994,583

####)
.................................

#### 1,112,624,575
f

#### Senior

#### Floating

#### Rate

#### Interests

#### 0.6%
g

#### Containers

#### &

#### Packaging

#### 0.1%
Clydesdale

Acquisition

Holdings,

Inc.,

First

Lien,

2025

Incremental

Closing

Date

CME

Term

Loan,

B

,

6.966 %

,

(1-month

SOFR

+

3.25 %),

4/01/32

...................................

United

States

3,913,667

3,915,056

Clydesdale

Acquisition

Holdings,

Inc.,

First

Lien,

2025

Incremental

Delayed

Draw

CME

Term

Loan,

B

,

7.034 %

,

(1-month

SOFR

+

3.25 %),

4/01/32

...................................

United

States

55,216

55,236

3,970,292

a

a

a

a

a

a

#### Health

#### Care

#### Providers

#### &

#### Services

#### 0.1%
g

MPH

Acquisition

Holdings

LLC,

First

Lien,

Exchange

First

Out

CME

Term

Loan

,

7.59 %

,

(3-month

SOFR

+

3.75 %),

12/31/30

.

United

States

1,580,554

1,586,877

#### IT

#### Services

#### 0.2%
g

X

Corp.,

First

Lien,

CME

Term

Loan,

B1

,

10.448 %

,

(6-month

SOFR

+

6.5 %),

10/26/29

............................

United

States

7,670,918

7,553,131

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

f

#### Senior

#### Floating

#### Rate

#### Interests
(continued)

#### Personal

#### Care

#### Products

#### 0.2%
g

OPAL

US

LLC,

First

Lien,

CME

Term

Loan,

B4

,

6.686 %

,

(3-month

SOFR

+

%),

4/28/32

...............................

United

States

5,735,625

$

5,778,642

#### Total

#### Senior

#### Floating

#### Rate

#### Interests

#### (Cost

#### $

#### 18,701,235

####)
........................

#### 18,888,942

#### U.S.

#### Government

#### and

#### Agency

#### Securities

#### 5.6%
U.S.

Treasury

Bonds

,

3.625 %,

5/15/53

..................................

United

States

42,500,000

34,394,287

4.125 %,

8/15/53

..................................

United

States

21,000,000

18,596,485

h

.03

%

,

11/15/54

..................................

United

States

115,000,000

27,882,788

4.5 %,

11/15/54

...................................

United

States

10,000,000

9,435,156

U.S.

Treasury

Notes

,

%,

5/31/30

.....................................

United

States

16,000,000

16,206,250

4.125 %,

8/31/30

..................................

United

States

30,000,000

30,533,203

2.875 %,

5/15/32

..................................

United

States

30,000,000

28,291,992

4.125 %,

5/31/32

..................................

United

States

16,000,000

16,212,813

#### Total

#### U.S.

#### Government

#### and

#### Agency

#### Securities

#### (Cost

#### $

#### 188,128,666

####)
..............

#### 181,552,974

#### Asset-Backed

#### Securities

#### 0.3%

#### Passenger

#### Airlines

#### 0.3%
United

Airlines

Pass-Through

Trust

,

2020-1

,

A

,

5.875 %

,

10/15/27

.........................

United

States

3,400,583

3,489,255

2023-1

,

A

,

5.8 %

,

1/15/36

............................

United

States

5,877,717

6,160,866

9,650,121

a

a

a

a

a

a

#### Total

#### Asset-Backed

#### Securities

#### (Cost

#### $

#### 9,278,301

####)
..............................

#### 9,650,121

#### Mortgage-Backed

#### Securities

#### 6.1%

#### Federal

#### Home

#### Loan

#### Mortgage

#### Corp.
(FHLMC)

#### Fixed

#### Rate

#### 2.7%
FHLMC

Pool,

Year

,

%,

5/01/53

......................

United

States

14,892,111

14,918,572

FHLMC

Pool,

Year

,

%,

11/01/54

.....................

United

States

25,463,682

25,414,392

FHLMC

Pool,

Year

,

5.5 %,

7/01/53

-

2/01/55

.............

United

States

42,589,128

43,237,451

FHLMC

Pool,

Year

,

%,

9/01/55

......................

United

States

4,702,431

4,832,269

88,402,684

#### Federal

#### National

#### Mortgage

#### Association
(FNMA)

#### Fixed

#### Rate

#### 1.4%
FNMA,

Year

,

%,

8/01/49

...........................

United

States

1,197,201

1,157,791

FNMA,

Year

,

%,

5/01/53

-

11/01/53

...................

United

States

27,422,209

27,482,773

FNMA,

Year

,

5.5 %,

11/01/54

.........................

United

States

6,083,801

6,174,169

FNMA,

Year

,

%,

8/01/55

...........................

United

States

8,835,808

9,079,772

43,894,505

#### Government

#### National

#### Mortgage

#### Association
(GNMA)

#### Fixed

#### Rate

#### 2.0%
GNMA

II,

Single-family,

Year

,

5.5 %,

5/20/55

-

12/20/55

.....

United

States

37,254,964

37,661,605

GNMA

II,

Single-family,

Year

,

%,

5/20/55

-

8/20/55

.......

United

States

27,836,057

28,417,658

66,079,263

#### Total

#### Mortgage-Backed

#### Securities

#### (Cost

#### $

#### 194,933,116

####)
.........................

#### 198,376,452

#### Total

#### Long

#### Term

#### Investments

#### (Cost

#### $

#### 2,878,612,485

####)
...........................

#### 3,204,384,076

#### a
Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

See

Abbreviations

on

.

#### Short

#### Term

#### Investments

#### 0.8%
a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

a

#### a
a

#### U.S.

#### Government

#### and

#### Agency

#### Securities

#### 0.6%
h

U.S.

Treasury

Bills

,

.28

%

,

1/29/26

......................

United

States

20,000,000

$

19,947,260

#### Total

#### U.S.

#### Government

#### and

#### Agency

#### Securities

#### (Cost

#### $

#### 19,944,078

####)
...............

#### 19,947,260

#### Shares

#### Money

#### Market

#### Funds

#### 0.2%
i,j

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

.........................................

United

States

6,044,868

6,044,868

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $

#### 6,044,868

####)
.................................

#### 6,044,868

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $

#### 25,988,946

####)
..............................

#### 25,992,128

#### a

#### Total

#### Investments

#### (Cost

#### $

#### 2,904,601,431

####)
99.4 #### %
................................

#### $3,230,376,204

#### Other

#### Assets,

#### less

#### Liabilities
0.6 #### %
...........................................

#### 20,670,094

#### Net

#### Assets

#### 100.0%

#### .........................................................

#### $3,251,046,298

#### a
\*

The

principal

amount

is

stated

in

U.S.

dollars

unless

otherwise

indicated.

a

Non-income

producing.

b

See

Note

1(c)

regarding

equity-linked

securities.

c

Security

was

purchased

pursuant

to

Rule

144A

or

Regulation

S

under

the

Securities

Act

of

1933. 144A

securities

may

be

sold

in

transactions

exempt

from

registration

only

to

qualified

institutional

buyers

or

in

a

public

offering

registered

under

the

Securities

Act

of

1933. Regulation

S

securities

cannot

be

sold

in

the

United

States

without

either

an

effective

registration

statement

filed

pursuant

to

the

Securities

Act

of

1933,

or

pursuant

to

an

exemption

from

registration.

At

December

31,

2025,

the

aggregate

value

of

these

securities

was

$1,204,613,629,

representing

37.1%

of

net

assets.

d

Perpetual

security

with

no

stated

maturity

date.

e

Income

may

be

received

in

additional

securities

and/or

cash.

f

See

Note

1(e)

regarding

senior

floating

rate

interests.

g

The

coupon

rate

shown

represents

the

rate

inclusive

of

any

caps

or

floors,

if

applicable,

in

effect

at

period

end.

h

The

rate

shown

represents

the

yield

at

period

end.

i

See

Note

3(e)

regarding

investments

in

affiliated

management

investment

companies.

j

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Assets

and

Liabilities

December

31,

2025

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Income

#### VIP

#### Fund
Assets:

Investments

in

securities:

Cost

-

Unaffiliated

issuers

...................................................................

$2,898,556,563

Cost

-

Non-controlled

affiliates

(Note

e)

........................................................

6,044,868

Value

-

Unaffiliated

issuers

..................................................................

$3,224,331,336

Value

-

Non-controlled

affiliates

(Note

e)

.......................................................

6,044,868

Cash

....................................................................................

128,870

Receivables:

Capital

shares

sold

........................................................................

564,948

Dividends

and

interest

.....................................................................

23,418,103

European

Union

tax

reclaims

(Note

f)

.........................................................

1,738,456

Total

assets

..........................................................................

3,256,226,581

Liabilities:

Payables:

Capital

shares

redeemed

...................................................................

3,105,982

Management

fees

.........................................................................

1,259,345

Distribution

fees

..........................................................................

653,400

Trustees'

fees

and

expenses

.................................................................

Accrued

expenses

and

other

liabilities

...........................................................

161,429

Total

liabilities

.........................................................................

5,180,283

Net

assets,

at

value

.................................................................

$3,251,046,298

Net

assets

consist

of:

Paid-in

capital

.............................................................................

$2,755,704,155

Total

distributable

earnings

(losses)

.............................................................

495,342,143

Net

assets,

at

value

.................................................................

$3,251,046,298

#### Franklin

#### Income

#### VIP

#### Fund

#### Class

#### 1:
Net

assets,

at

value

.......................................................................

$336,474,912

Shares

outstanding

........................................................................

21,005,885

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$16.02

#### Class

#### 2:
Net

assets,

at

value

.......................................................................

$2,513,163,694

Shares

outstanding

........................................................................

165,801,693

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$15.16

#### Class

#### 4:
Net

assets,

at

value

.......................................................................

$401,407,692

Shares

outstanding

........................................................................

25,529,575

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$15.72

a

Net

asset

value

per

share

may

not

recalculate

due

to

rounding.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Operations

for

the

year

ended

December

31,

2025

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Franklin

#### Income

#### VIP

#### Fund
Investment

income:

Dividends:

(net

of

foreign

taxes

of

$367,547)

Unaffiliated

issuers

........................................................................

$37,564,287

Non-controlled

affiliates

(Note

e)

.............................................................

1,152,410

Interest:

Unaffiliated

issuers

........................................................................

101,506,260

Income

from

securities

loaned:

Unaffiliated

entities

(net

of

fees

and

rebates)

.....................................................

(167,057)

Non-controlled

affiliates

(Note

e)

.............................................................

253,570

Other

income

(Note

f)

.......................................................................

81,216

Total

investment

income

...................................................................

140,390,686

Expenses:

Management

fees

(Note

a)

...................................................................

14,479,292

Distribution

fees:

(Note

3c)

&nbsp;&nbsp;&nbsp;&nbsp;Class

................................................................................

6,155,355

&nbsp;&nbsp;&nbsp;&nbsp;Class

................................................................................

1,329,417

Custodian

fees

.............................................................................

17,490

Reports

to

shareholders

fees

..................................................................

106,083

Professional

fees

...........................................................................

128,787

Trustees'

fees

and

expenses

..................................................................

33,726

Other

....................................................................................

116,695

Total

expenses

.........................................................................

22,366,845

Expenses

waived/paid

by

affiliates

(Note

e)

...................................................

(95,841)

Net

expenses

.........................................................................

22,271,004

Net

investment

income

................................................................

118,119,682

Realized

and

unrealized

gains

(losses):

Net

realized

gain

(loss)

from:

Investments:

Unaffiliated

issuers

......................................................................

66,472,711

Foreign

currency

transactions

................................................................

(6,579)

Net

realized

gain

(loss)

..................................................................

66,466,132

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments:

Unaffiliated

issuers

......................................................................

189,707,606

Translation

of

other

assets

and

liabilities

denominated

in

foreign

currencies

..............................

214,744

Net

change

in

unrealized

appreciation

(depreciation)

............................................

189,922,350

Net

realized

and

unrealized

gain

(loss)

............................................................

256,388,482

Net

increase

(decrease)

in

net

assets

resulting

from

operations

..........................................

$374,508,164

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statements

of

Changes

in

Net

Assets

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Income

#### VIP

#### Fund

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024
Increase

(decrease)

in

net

assets:

Operations:

Net

investment

income

.................................................

$118,119,682

$128,502,262

Net

realized

gain

(loss)

.................................................

66,466,132

72,495,556

Net

change

in

unrealized

appreciation

(depreciation)

...........................

189,922,350

20,610,074

Net

increase

(decrease)

in

net

assets

resulting

from

operations

................

374,508,164

221,607,892

Distributions

to

shareholders:

Class

.............................................................

(19,293,764)

(16,729,510)

Class

.............................................................

(151,222,313)

(141,660,042)

Class

.............................................................

(22,018,717)

(19,161,630)

Total

distributions

to

shareholders

..........................................

(192,534,794)

(177,551,182)

Capital

share

transactions:

(Note

2)

Class

.............................................................

8,477,274

12,405,411

Class

.............................................................

(90,023,704)

(116,766,420)

Class

.............................................................

8,394,722

12,330,730

Total

capital

share

transactions

............................................

(73,151,708)

(92,030,279)

Net

increase

(decrease)

in

net

assets

...................................

108,821,662

(47,973,569)

Net

assets:

Beginning

of

year

.......................................................

3,142,224,636

3,190,198,205

End

of

year

...........................................................

$3,251,046,298

$3,142,224,636

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

#### Franklin

#### Income

#### VIP

#### Fund

franklintempleton.com

Annual

Report

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
Franklin

Templeton

Variable

Insurance

Products

Trust

(Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-end

management

investment

company,

consisting

of seventeen separate

funds.

The Trust

follows the

accounting

and

reporting

guidance

in

Financial

Accounting

Standards

Board

(FASB)

Accounting

Standards

Codification

Topic

946,

Financial

Services

–

Investment

Companies

(ASC

946)

and

applies

the

specialized

accounting

and

reporting

guidance

in

U.S.

Generally

Accepted

Accounting

Principles

(U.S.

GAAP),

including,

but

not

limited

to,

ASC

946. Franklin

Income

VIP

Fund

(Fund)

is

included

in

this

report.

Shares

of

the

Fund

are

generally

sold

only

to

insurance

company

separate

accounts

to

fund

the

benefits

of

variable

life

insurance

policies

or

variable

annuity

contracts. The

Fund

offers three classes

of

shares:

Class

1,

Class

and

Class

4. Each

class

of

shares

may

differ

by

its

distribution

fees,

voting

rights

on

matters

affecting

a

single

class

and

its

exchange

privilege.

The

following

summarizes

the Fund's

significant

accounting

policies.

a. #### Financial

#### Instrument

#### Valuation
The

Fund's

investments

in

financial

instruments

are

carried

at

fair

value

daily.

Fair

value

is

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

market

participants

on

the

measurement

date.

The

Fund

calculates

the

net

asset

value

(NAV)

per

share

each business

day as

of

p.m.

Eastern

time

or

the

regularly

scheduled

close

of

the

New

York

Stock

Exchange

(NYSE),

whichever

is

earlier.

Under

compliance

policies

and

procedures

approved

by

the Trust's

Board

of

Trustees

(the

Board),

the

Board

has

designated

the

Fund's

investment

manager

as

the

valuation

designee

and

has

responsibility

for

oversight

of

valuation.

The

investment

manager

is

assisted

by

the

Fund's

administrator

in

performing

this

responsibility,

including

leading

the

cross-

functional

Valuation

Committee

(VC).

The

Fund

may

utilize

independent

pricing

services,

quotations

from

securities

and

financial

instrument

dealers,

and

other

market

sources

to

determine

fair

value.

Equity

securities

listed

on

an

exchange

or

on

the

NASDAQ

National

Market

System

are

valued

at

the

last

quoted

sale

price

or

the

official

closing

price of

the

day,

respectively.

Foreign

equity

securities

are

valued

as

of

the

close

of

trading

on

the

foreign

stock

exchange

on

which

the

security

is

primarily

traded,

or

as

of

p.m.

Eastern

time.

The

value

is

then

converted

into

its

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

p.m.

Eastern

time

on

the

day

that

the

value

of

the

security

is

determined.

Over-the-counter

(OTC)

securities

are

valued

within

the

range

of

the

most

recent

quoted

bid

and

ask

prices.

Securities

that

trade

in

multiple

markets

or

on

multiple

exchanges

are

valued

according

to

the

broadest

and

most

representative

market.

Certain

equity

securities

are

valued

based

upon

fundamental

characteristics

or

relationships

to

similar

securities.

Debt

securities

generally

trade

in

the OTC

market

rather

than

on

a

securities

exchange.

The

Fund's

pricing

services

use

multiple

valuation

techniques

to

determine

fair

value.

In

instances

where

sufficient

market

activity

exists,

the

pricing

services

may

utilize

a

market-based

approach

through

which

quotes

from

market

makers

are

used

to

determine

fair

value.

In

instances

where

sufficient

market

activity

may

not

exist

or

is

limited,

the

pricing

services

also

utilize

proprietary

valuation

models

which

may

consider

market

characteristics

such

as

benchmark

yield

curves,

credit

spreads,

estimated

default

rates,

anticipated

market

interest

rate

volatility,

coupon

rates,

anticipated

timing

of

principal

repayments,

underlying

collateral,

and

other

unique

security

features

in

order

to

estimate

the

relevant

cash

flows,

which

are

then

discounted

to

calculate

the

fair

value.

Securities

denominated

in

a

foreign

currency

are

converted

into

their

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

p.m.

Eastern

time

on

the

date

that

the

values

of

the

foreign

debt

securities

are

determined.

Investments

in open-end mutual

funds

are

valued

at

the

closing

NAV.

The

Fund

has

procedures

to

determine

the

fair

value

of

financial

instruments

for

which

market

prices

are

not

reliable

or

readily

available.

Under

these

procedures,

the Fund

primarily

employs

a

market-based

approach

which

may

use

related

or

comparable

assets

or

liabilities,

recent

transactions,

market

multiples,

and

other

relevant

information

for

the

investment

to

determine

the

fair

value

of

the

investment.

An

income-based

valuation

approach

may

also

be

used

in

which

the

anticipated

future

cash

flows

of

the

investment

are

discounted

to

calculate

fair

value.

Discounts

may

also

be

applied

due

to

the

nature

or

duration

of

any

restrictions

on

the

disposition

of

the

investments.

Due

to

the

inherent

uncertainty

of

valuations

of

such

investments,

the

fair

values

may

differ

significantly

from

the

values

that

would

have

been

used

had

an

active

market

existed.

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

Trading

in

securities

on

foreign

securities

stock

exchanges

and

OTC

markets

may

be

completed

before

p.m.

Eastern

time.

In

addition,

trading

in

certain

foreign

markets

may

not

take

place

on

every

Fund's

business

day. Events

can occur

between

the

time

at

which

trading

in

a

foreign

security

is

completed

and

p.m.

Eastern

time

that

might

call

into

question

the

reliability

of

the

value

of

a

portfolio

security

held

by

the

Fund.

As

a

result,

differences

may

arise

between

the

value

of

the

Fund's

portfolio

securities

as

determined

at

the

foreign

market

close

and

the

latest

indications

of

value

at

p.m.

Eastern

time. In

order

to

minimize

the

potential

for

these

differences,

an

independent

pricing

service

may

be

used

to

adjust

the

value

of

the

Fund's

portfolio

securities

to

the

latest

indications

of

fair

value

at

p.m.

Eastern

time.

When

the

last

day

of

the

reporting

period

is

a

non-business

day,

certain

foreign

markets

may

be

open

on

those

days

that

the

Fund's

NAV

is

not

calculated,

which

could

result

in

differences

between

the

value

of

the

Fund's

portfolio

securities

on

the

last

business

day

and

the

last

calendar

day

of

the

reporting

period.

Any

security

valuation

changes

due

to

an

open

foreign

market

are

adjusted

and

reflected

by

the

Fund

for

financial

reporting

purposes.

b. #### Foreign

#### Currency

#### Translation
Portfolio

securities

and

other

assets

and

liabilities

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

based

on

the

exchange

rate

of

such

currencies

against

U.S.

dollars

on

the

date

of

valuation.

The

Fund

may

enter

into

foreign

currency

exchange

contracts

to

facilitate

transactions

denominated

in

a

foreign

currency.

Purchases

and

sales

of

securities,

income

and

expense

items

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

at

the

exchange

rate

in

effect

on

the

transaction

date.

Portfolio

securities

and

assets

and

liabilities

denominated

in

foreign

currencies

contain

risks

that

those

currencies

will

decline

in

value

relative

to

the

U.S.

dollar.

Occasionally,

events

may

impact

the

availability

or

reliability

of

foreign

exchange

rates

used

to

convert

the

U.S.

dollar

equivalent

value.

If

such

an

event

occurs,

the

foreign

exchange

rate

will

be

valued

at

fair

value

using

procedures

established

and

approved

by

the

Board.

The

Fund

does

not

separately

report

the

effect

of

changes

in

foreign

exchange

rates

from

changes

in

market

prices

on

securities

held.

Such

changes

are

included

in

net

realized

and

unrealized

gain

or

loss

from

investments

in

the

Statement of

Operations.

Realized

foreign

exchange

gains

or

losses

arise

from

sales

of

foreign

currencies,

currency

gains

or

losses

realized

between

the

trade

and

settlement

dates

on

securities

transactions

and

the

difference

between

the

recorded

amounts

of

dividends,

interest,

and

foreign

withholding

taxes

and

the

U.S.

dollar

equivalent

of

the

amounts

actually

received

or

paid.

Net

unrealized

foreign

exchange

gains

and

losses

arise

from

changes

in

foreign

exchange

rates

on

foreign

denominated

assets

and

liabilities

other

than

investments

in

securities

held

at

the

end

of

the

reporting

period.

c. #### Equity-Linked

#### Securities
The

Fund

invests

in

equity-linked

securities.

Equity-linked

securities

are

hybrid

financial

instruments

that

generally

combine

both

debt

and

equity

characteristics

into

a

single

note

form.

Income

received

from

equity-linked

securities

is

recorded

as

realized

gains

in

the

Statement

of

Operations

and

may

be

based

on

the

performance

of

an

underlying

equity

security,

an

equity

index,

or

an

option

position.

The

risks

of

investing

in

equity-linked

securities

include

unfavorable

price

movements

in

the

underlying

security

and

the

credit

risk

of

the

issuing

financial

institution.

There

may

be

no

guarantee

of

a

return

of

principal

with

equity-linked

securities

and

the

appreciation

potential

may

be

limited.

Equity-linked

securities

may

be

more

volatile

and

less

liquid

than

other

investments

held

by

the

Fund.

d. #### Lending
The

Fund

participates

in

an

agency

based

securities

lending

program

to

earn

additional

income.

The

Fund

receives

collateral

in

the

form

of

cash

and/or

U.S.

Government

and

Agency

securities

against

the

loaned

securities

in

an

amount

equal

to

at

least

102%

of

the

fair

value

of

the

loaned

securities.

Collateral

is

maintained

over

the

life

of

the

loan

in

an

amount

not

less

than

100%

of

the

fair

value

of

loaned

securities,

as

determined

at

the

close

of

Fund

business

each

day;

any

additional

collateral

required

due

to

changes

in

security

values

is

delivered

to

the

Fund

on

the

next

business

day.

The

Fund

may

receive

income

from

the

investment

of

cash

collateral,

in

addition

to

lending

fees

paid

by

the

borrower.

Income

from

securities

loaned,

net

of

fees

paid

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

a. #### Financial

#### Instrument

#### Valuation
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

to

the

securities

lending

agent

and/or

third-party

vendor,

is

reported

separately

in

the

Statement

of

Operations.

The

Fund

bears

the

market

risk

with

respect

to any

cash collateral

investment,

securities

loaned,

and

the

risk

that

the

agent

may

default

on

its

obligations

to

the

Fund.

If

the

borrower

defaults

on

its

obligation

to

return

the

securities

loaned,

the

Fund

has

the

right

to

repurchase

the

securities

in

the

open

market

using

the

collateral

received.

The

securities

lending

agent

has

agreed

to

indemnify

the

Fund

in

the

event

of

default

by

a

third

party

borrower.

Securities

on

loan

outstanding

at

period

end,

if

any,

are

listed

in

the

Funds'

Schedule

of

Investments.

e. #### Senior

#### Floating

#### Rate

#### Interests
The

Fund

invests

in

senior

secured

corporate

loans

that

pay

interest

at

rates

which

are

periodically

reset

by

reference

to

a

base

lending

rate

plus

a

spread.

These

base

lending

rates

are

generally

the

prime

rate

offered

by

a

designated

U.S.

bank

or

the

Secured

Overnight

Financing

Rate

(SOFR).

Senior

secured

corporate

loans

often

require

prepayment

of

principal

from

excess

cash

flows

or

at

the

discretion

of

the

borrower.

As

a

result,

actual

maturity

may

be

substantially

less

than

the

stated

maturity.

Senior

secured

corporate

loans

in

which

the Fund

invests

are

generally

readily

marketable,

but

may

be

subject

to

certain

restrictions

on

resale.

f. #### Income

#### and

#### Deferred

#### Taxes
It

is the Fund's

policy

to

qualify

as

a

regulated

investment

company

under

the

Internal

Revenue

Code. The Fund

intends

to

distribute

to

shareholders

substantially

all

of

its

taxable

income

and

net

realized

gains

to

relieve

it

from

federal

income

and if

applicable,

excise

taxes.

As

a

result,

no

provision

for

U.S.

federal

income

taxes

is

required.

The

Fund

may

be

subject

to

foreign

taxation

related

to

income

received,

capital

gains

on

the

sale

of

securities

and

certain

foreign

currency

transactions

in

the

foreign

jurisdictions

in

which

it

invests.

Foreign

taxes,

if

any,

are

recorded

based

on

the

tax

regulations

and

rates

that

exist

in

the

foreign

markets

in

which

the

Fund

invests.

When

a

capital

gain

tax

is

determined

to

apply,

the

Fund

records

an

estimated

deferred

tax

liability

in

an

amount

that

would

be

payable

if

the

securities

were

disposed

of

on

the

valuation

date.

As

a

result

of

several

court

cases,

in

certain

countries

across

the

European

Union,

the

Fund

filed

additional

tax

reclaims

for

previously

withheld

taxes

on

dividends

earned

in

those

countries

(EU

reclaims). Income

recognized,

if

any,

for

EU

reclaims

is

reflected

as

other

income

in

the

Statement

of

Operations

and

any

related

receivable,

if

any,

is

reflected

as

European

Union

tax

reclaims

in

the

Statement

of

Assets

and

Liabilities.

Any

fees

associated

with

these

filings

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

When

uncertainty

exists

as

to

the

ultimate

resolution

of

these

proceedings,

the

likelihood

of

receipt

of

these

EU

reclaims,

and

the

potential

timing

of

payment,

no

amounts

are

reflected

in

the

financial

statements.

For

U.S.

income

tax

purposes,

when

EU

reclaims

are

received

by

the

Fund

and

the

Fund

previously

passed

foreign

tax

credit

on

to

its

shareholders,

the

Fund

will

enter

into

a

closing

agreement

with

the

Internal

Revenue

Service

(IRS)

in

order

to

pay

the

associated

tax

liability

on

behalf

of

the

Fund's

shareholders.

The Fund

may

recognize

an

income

tax

liability

related

to

its

uncertain

tax

positions

under

U.S.

GAAP

when

the

uncertain

tax

position

has

a

less

than

50%

probability

that

it

will

be

sustained

upon

examination

by

the

tax

authorities

based

on

its

technical

merits.

As

of

December

31,

2025, the Fund

has

determined

that

no

tax

liability

is

required

in

its

financial

statements

related

to

uncertain

tax

positions

for

any

open

tax

years

(or

expected

to

be

taken

in

future

tax

years).

The

Fund's

federal

and

state

income

and

federal

excise

tax

returns

for

the

prior

three

fiscal

years

are

subject

to

examination

by

the

Internal

Revenue

Service

and

state

departments

of

revenue.

g. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
Security

transactions

are

accounted

for

on

trade

date.

Realized

gains

and

losses

on

security

transactions

are

determined

on

a

specific

identification

basis.

Interest

income

(including

interest

income

from

payment-in-kind

securities,

if

any)

and

estimated

expenses

are

accrued

daily.

Amortization

of

premium

and

accretion

of

discount

on

debt

securities

are

included

in

interest

income.

Paydown

gains

and

losses

are

recorded

as

an

adjustment

to

interest

income.

The

Fund

may

receive

other

income

from

investments

in

senior

secured

corporate

loans

or

unfunded

commitments,

including

amendment

fees,

consent

fees

or

commitment

fees.

These

fees

are

recorded

as

income

when

received

by

the

Fund.

Facility

fees

are

recognized

as

income

over

the

expected

term

of

the

loan.

Dividend

income

is

recorded

on

the

ex-

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

d. #### Securities

#### Lending
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

dividend

date

except

for

certain

dividends

from

securities

where

the

dividend

rate

is

not

available.

In

such

cases,

the

dividend

is

recorded

as

soon

as

the

information

is

received

by

the

Fund.

Distributions

to

shareholders

are

recorded

on

the

ex-dividend

date.

Distributable

earnings

are

determined

according

to

income

tax

regulations

(tax

basis)

and

may

differ

from

earnings

recorded

in

accordance

with

U.S.

GAAP.

These

differences

may

be

permanent

or

temporary.

Permanent

differences

are

reclassified

among

capital

accounts

to

reflect

their

tax

character.

These

reclassifications

have

no

impact

on

net

assets

or

the

results

of

operations.

Temporary

differences

are

not

reclassified,

as

they

may

reverse

in

subsequent

periods.

Common

expenses

incurred

by

the

Trust

are

allocated

among

the

Funds

based

on

the

ratio

of

net

assets

of

each

Fund

to

the

combined

net

assets

of

the

Trust

or

based

on

the

ratio

of

number

of

shareholders

of

each

Fund

to

the

combined

number

of

shareholders

of

the

Trust.

Fund

specific

expenses

are

charged

directly

to

the

Fund

that

incurred

the

expense.

Realized

and

unrealized

gains

and

losses

and

net

investment

income,

excluding

class

specific

expenses,

are

allocated

daily

to

each

class

of

shares

based

upon

the

relative

proportion

of

net

assets

of

each

class.

Differences

in

per

share

distributions

by

class

are

generally

due

to

differences

in

class

specific

expenses.

h. #### Accounting

#### Estimates
The

preparation

of

financial

statements

in

accordance

with

U.S.

GAAP

requires

management

to

make

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

amounts

of

income

and

expenses

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

i. #### Guarantees

#### and

#### Indemnifications
Under

the Trust's

organizational

documents,

its

officers

and trustees

are

indemnified

by

the Trust against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Trust.

Additionally,

in

the

normal

course

of

business,

the Trust,

on

behalf

of

the

Fund, enters

into

contracts

with

service

providers

that

contain

general

indemnification

clauses.

The Trust's

maximum

exposure

under

these

arrangements

is

unknown

as

this

would

involve

future

claims

that

may

be

made

against

the Trust

that

have

not

yet

occurred.

Currently,

the Trust

expects

the

risk

of

loss

to

be

remote.

2. #### Shares

#### of

#### Beneficial

#### Interest
At

December

31,

2025,

there

were

an

unlimited

number

of

shares

authorized

(without

par

value).

Transactions

in

the

Fund's

shares

were

as

follows:

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### 1

#### Shares:
Shares

sold

...................................

1,147,091

$17,612,657

1,183,735

$17,865,510

Shares

issued

in

reinvestment

of

distributions

..........

1,307,165

19,293,764

1,152,170

16,729,510

Shares

redeemed

...............................

(1,848,990)

(28,429,147)

(1,472,487)

(22,189,609)

Net

increase

(decrease)

..........................

605,266

$8,477,274

863,418

$12,405,411

#### Class

#### 2

#### Shares:
Shares

sold

...................................

11,715,804

$170,807,235

9,812,811

$141,106,886

Shares

issued

in

reinvestment

of

distributions

..........

10,809,315

151,222,313

10,265,220

141,660,042

Shares

redeemed

...............................

(28,314,413)

(412,053,252)

(27,814,220)

(399,533,348)

Net

increase

(decrease)

..........................

(5,789,294)

$(90,023,704)

(7,736,189)

$(116,766,420)

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

g. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

3. #### Transactions

#### with

#### Affiliates
Franklin

Resources,

Inc.

is

the

holding

company

for

various

subsidiaries

that

together

are

referred

to

as

Franklin

Templeton.

Certain

officers

and trustees

of

the Fund are

also

officers

and/or directors

of

the

following

subsidiaries:

a. #### Management

#### Fees
The

Fund

pays

an

investment

management fee,

calculated daily and

paid

monthly,

to

Advisers based

on the

average

daily net

assets

of

the

Fund

as

follows:

For

the

year

ended

December

31,

2025,

the

gross

effective

investment

management

fee

rate

was 0.458%

of

the

Fund's

average daily

net

assets.

b. #### Administrative

#### Fees
Under

an

agreement

with

Advisers,

FT

Services

provides

administrative

services

to

the

Fund.

The

fee

is

paid

by Advisers

based

on

the Fund's

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Fund.

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### 4

#### Shares:
Shares

sold

...................................

2,544,388

$38,486,008

3,067,878

$45,695,339

Shares

issued

in

reinvestment

of

distributions

..........

1,516,441

22,018,717

1,339,974

19,161,630

Shares

redeemed

...............................

(3,449,045)

(52,110,003)

(3,540,719)

(52,526,239)

Net

increase

(decrease)

..........................

611,784

$8,394,722

867,133

$12,330,730

#### Subsidiary

#### Affiliation
Franklin

Advisers,

Inc.

(Advisers)

Investment

manager

Franklin

Templeton

Services,

LLC

(FT

Services)

Administrative

manager

Franklin

Distributors,

LLC

(Distributors)

Principal

underwriter

Franklin

Templeton

Investor

Services,

LLC

(Investor

Services)

Transfer

agent

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
0.625%

Up

to

and

including

$100

million

0.500%

Over

$100

million,

up

to

and

including

$250

million

0.450%

Over

$250

million,

up

to

and

including

$7.5

billion

0.440%

Over

$7.5

billion,

up

to

and

including

$10

billion

0.430%

Over

$10

billion,

up

to

and

including

$12.5

billion

0.420%

Over

$12.5

billion,

up

to

and

including

$15

billion

0.400%

In

excess

of

$15

billion

2. #### Shares

#### of

#### Beneficial

#### Interest
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

c. #### Distribution

#### Fees
The

Board

has

adopted distribution

plans

for

Class

2 and

Class

shares

pursuant

to

Rule

12b-1

under

the

1940

Act.

Under

the

Fund's

compensation

distribution

plans,

the

Fund

pays

Distributors

for

costs

incurred

in

connection

with

the

servicing,

sale

and

distribution

of

the

Fund's

shares

up

to

0.35%

per

year

of

its

average

daily

net

assets

of

each

class.

The

Board

has

agreed

to

limit

the

current

rate

to

0.25%

per

year

for

Class

2. The

plan

year,

for

purposes

of

monitoring

compliance

with

the

maximum

annual

plan

rates,

is

February

through

January

31. d. #### Transfer

#### Agent

#### Fees
Investor

Services,

under

terms

of

an

agreement,

performs

shareholder

servicing

for

the

Fund and

is

not

paid

by

the Fund

for

the

services.

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
The

Fund

invests

in

one

or

more

affiliated

management

investment

companies.

As

defined

in

the

1940

Act,

an

investment

is

deemed

to

be

a

"Controlled

Affiliate"

of

a

fund

when

a

fund

owns,

either

directly

or

indirectly,

25%

or

more

of

the

affiliated

fund's

outstanding

shares

or

has

the

power

to

exercise

control

over

management

or

policies

of

such

fund.

The

Fund

does

not

invest

for

purposes

of

exercising

a

controlling

influence

over

the

management

or

policies.

Management

fees

paid

by

the

Fund

are

waived

on

assets

invested

in

the

affiliated

management

investment

companies,

as

noted

in

the

Statement

of

Operations,

in

an

amount

not

to

exceed

the

management

and

administrative

fees,

if

applicable, paid

directly

or

indirectly

by

each

affiliate.

During

the

year

ended

December

31,

2025,

the

Fund

held

investments

in

affiliated

management

investment

companies

as

follows:

#### &nbsp;&nbsp;&nbsp;&nbsp;aa

#### Value

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### Sales

#### Realized

#### Gain
(Loss)

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### Value

#### at

#### End

#### of

#### Year

#### Number

#### of

#### Shares

#### Held

#### at

#### End

#### of

#### Year

#### Investment

#### Income

#### a&nbsp;&nbsp;&nbsp;&nbsp;

#### a

#### Franklin

#### Income

#### VIP

#### Fund

#### Non-Controlled

#### Affiliates
Dividends

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$71,500,603

$925,455,265

$(990,911,000)

$—

$—

$6,044,868

6,044,868

$1,152,410

#### Non-Controlled

#### Affiliates
Income

from

securities

loaned

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$2,784,000

$125,691,000

$(128,475,000)

$—

$—

$—

—

$253,570

#### Total

#### Affiliated

#### Securities

#### ...
$74,284,603

$1,051,146,265

$(1,119,386,000)

$—

$—

$6,044,868

$1,405,980

3. #### Transactions

#### with

#### Affiliates
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

4. #### Income

#### Taxes
The

tax

character

of

distributions

paid

during

the

years

ended

December

31,

2025

and

2024,

was

as

follows:

At

December

31,

2025,

the

cost

of

investments,

net

unrealized

appreciation

(depreciation),

undistributed

ordinary

income

and

undistributed

long

term

capital

gains for

income

tax

purposes

were

as

follows:

Differences

between

income

and/or

capital

gains

as

determined

on

a

book

basis

and

a

tax

basis

are

primarily

due

to

differing

treatments

of

EU

reclaims

and

equity-linked

securities.

5. #### Investment

#### Transactions
Purchases

and

sales

of

investments (excluding

short

term

securities) for

the

year

ended

December

31,

2025,

aggregated

$1,282,157,625 and

$1,343,384,837,

respectively.

6. #### Credit

#### Risk
At

December

31,

2025,

the

Fund

had 22.1% of

its

portfolio

invested

in

high

yield

securities,

senior

secured

floating

rate

loans,

or

other

securities

rated

below

investment

grade

and

unrated

securities.

These

securities

may

be

more

sensitive

to

economic

conditions

causing

greater

price

volatility

and

are

potentially

subject

to

a

greater

risk

of

loss

due

to

default

than

higher

rated

securities.

7. #### Credit

#### Facility
The

Fund,

together

with

other

U.S.

registered

and

foreign

investment

funds

(collectively,

Borrowers),

managed

by

Franklin

Templeton,

are

borrowers

in

a

joint

syndicated

senior

unsecured

credit

facility

totaling

$2.995

billion

(Global

Credit

Facility)

which

matured

on

January

30,

2026. This

Global

Credit

Facility

provides

a

source

of

funds

to

the

Borrowers

for

temporary

and

emergency

purposes,

including

the

ability

to

meet

future

unanticipated

or

unusually

large

redemption

requests.

Effective

January

30,

2026,

the

Borrowers

renewed

the

Global

Credit

Facility

for

a

one-year

term,

maturing

January

29,

2027,

for

a

total

of

$2.995

billion.

#### 2025

#### 2024
Distributions

paid

from:

Ordinary

income

..........................................................

$172,241,911

$172,403,325

Long

term

capital

gain

......................................................

20,292,883

5,147,857

$192,534,794

$177,551,182

Cost

of

investments

..........................................................................

$2,909,924,823

Unrealized

appreciation

........................................................................

$411,943,439

Unrealized

depreciation

........................................................................

(91,492,058)

Net

unrealized

appreciation

(depreciation)

..........................................................

$320,451,381

Distributable

earnings:

Undistributed

ordinary

income

...................................................................

$158,872,584

Undistributed

long

term

capital

gains

..............................................................

14,283,225

Total

distributable

earnings

.....................................................................

$173,155,809

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

Under

the

terms

of

the

Global

Credit

Facility,

the

Fund

may,

in

addition

to

interest

charged

on

any

borrowings

made

by

the

Fund

and

other

costs

incurred

by

the

Fund,

pay

its

share

of

fees

and

expenses

incurred

in

connection

with

the

implementation

and

maintenance

of

the

Global

Credit

Facility,

based

upon

its

relative

share

of

the

aggregate

net

assets

of

all

of

the

Borrowers,

including

an

annual

commitment

fee

of

0.15%

based

upon

the

unused

portion

of

the

Global

Credit

Facility.

These

fees

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

During

the

year

ended

December

31,

2025,

the Fund

did

not

use

the

Global

Credit

Facility.

8. #### Fair

#### Value

#### Measurements
The

Fund

follows

a

fair

value

hierarchy

that

distinguishes

between

market

data

obtained

from

independent

sources

(observable

inputs)

and

the Fund's

own

market

assumptions

(unobservable

inputs).

These

inputs

are

used

in

determining

the

value

of

the

Fund's financial

instruments

and

are

summarized

in

the

following

fair

value

hierarchy:

Level

–

quoted

prices

in

active

markets

for

identical

financial

instruments

Level

–

other

significant

observable

inputs

(including

quoted

prices

for

similar

financial

instruments,

interest

rates,

prepayment

speed,

credit

risk,

etc.)

Level

–

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

financial

instruments)

The

input

levels

are

not

necessarily

an

indication

of

the

risk

or

liquidity

associated

with

financial

instruments

at

that

level.

A

summary

of

inputs

used

as

of

December

31,

2025,

in

valuing

the

Fund's assets carried

at

fair

value,

is

as

follows:

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Income

#### VIP

#### Fund

#### Assets:
Investments

in

Securities:

a

Common

Stocks

:

Aerospace

&

Defense

...................

$

47,944,550

$

—

$

—

$

47,944,550

Air

Freight

&

Logistics

...................

13,787,410

—

—

13,787,410

Banks

...............................

47,418,500

—

—

47,418,500

Beverages

...........................

67,709,500

—

—

67,709,500

Biotechnology

.........................

34,304,850

—

—

34,304,850

Building

Products

......................

11,975,000

—

—

11,975,000

Capital

Markets

........................

45,497,000

2,191,160

—

47,688,160

Chemicals

...........................

33,170,300

—

—

33,170,300

Communications

Equipment

..............

38,515,000

—

—

38,515,000

Consumer

Staples

Distribution

&

Retail

......

7,331,250

—

—

7,331,250

Containers

&

Packaging

.................

4,923,750

—

—

4,923,750

Diversified

Telecommunication

Services

.....

10,182,500

—

—

10,182,500

Electric

Utilities

........................

99,202,800

—

—

99,202,800

Energy

Equipment

&

Services

.............

22,291,807

—

—

22,291,807

Food

Products

........................

18,768,200

—

—

18,768,200

Ground

Transportation

..................

30,069,981

—

—

30,069,981

Health

Care

Equipment

&

Supplies

.........

9,606,000

—

—

9,606,000

Hotels,

Restaurants

&

Leisure

.............

9,168,900

—

—

9,168,900

Household

Products

....................

42,993,000

—

—

42,993,000

Industrial

Conglomerates

................

16,582,650

—

—

16,582,650

IT

Services

...........................

8,886,300

—

—

8,886,300

Machinery

............................

7,160,875

—

—

7,160,875

Media

...............................

11,956,000

—

—

11,956,000

Metals

&

Mining

.......................

12,673,578

—

—

12,673,578

7. #### Credit

#### Facility
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

9. #### Operating

#### Segments
The Fund operates

as

a

single

operating

segment,

which

is

an

investment

portfolio.

The

portfolio

managers

assigned

to

the

Fund

within

the

Fund's

Investment

manager serve

as

the

Chief

Operating

Decision

Maker

("CODM")

and

are

responsible

for

evaluating

the

Fund's

operating

results

and

allocating

resources

in

accordance

with

the

Fund's

investment

strategy.

Internal

reporting

provided

to

the

CODM

aligns

with

the

accounting

policies

and

measurement

principles

used

in

the financial

statements.

For

information

regarding

segment

assets,

segment

profit

or

loss,

and

significant

expenses,

refer

to

the Statement

of

Assets

and

Liabilities

and

the Statement

of

Operations,

along

with

the

related

notes

to

the financial

statements.

The Schedule

of

Investments

provides

details

of

the Fund's investments

that

generate

returns

such

as

interest,

dividends,

and

realized

and

unrealized

gains

or

losses.

Performance

metrics,

including

portfolio

turnover

and

expense

ratios,

are

disclosed

in

the Financial

Highlights.

10. #### Subsequent

#### Events
The Fund

has

evaluated

subsequent

events

through

the

issuance

of

the

financial

statements

and

determined

that

no

events

have

occurred

that

require

disclosure

other

than

those

already

disclosed

in

the

financial

statements.

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

#### Assets:
(continued)

Investments

in

Securities:

a

(continued)

Common

Stocks:

(continued)

Multi-Utilities

..........................

$

33,469,200

$

—

$

—

$

33,469,200

Oil,

Gas

&

Consumable

Fuels

.............

165,292,712

—

—

165,292,712

Pharmaceuticals

.......................

163,853,749

4,782,241

—

168,635,990

Semiconductors

&

Semiconductor

Equipment

.

36,111,750

—

—

36,111,750

Specialty

Retail

........................

34,410,000

—

—

34,410,000

Tobacco

.............................

20,852,000

—

—

20,852,000

Equity-Linked

Securities

...................

—

504,705,799

—

504,705,799

Convertible

Preferred

Stocks

:

Aerospace

&

Defense

...................

16,574,400

—

—

16,574,400

Capital

Markets

........................

2,520,000

—

—

2,520,000

Chemicals

...........................

13,659,700

—

—

13,659,700

Electric

Utilities

........................

9,236,100

—

—

9,236,100

Financial

Services

......................

—

23,512,500

—

23,512,500

Corporate

Bonds

........................

—

1,112,624,575

—

1,112,624,575

Senior

Floating

Rate

Interests

...............

—

18,888,942

—

18,888,942

U.S.

Government

and

Agency

Securities

.......

—

181,552,974

—

181,552,974

Asset-Backed

Securities

...................

—

9,650,121

—

9,650,121

Mortgage-Backed

Securities

................

—

198,376,452

—

198,376,452

Short

Term

Investments

...................

6,044,868

19,947,260

—

25,992,128

Total

Investments

in

Securities

...........

$1,154,144,180

$2,076,232,024

$—

$3,230,376,204

a

For

detailed

categories,

see

the

accompanying

Schedule

of

Investments.

8. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Income

#### VIP

#### Fund
(continued)

#### Abbreviations

#### Selected

#### Portfolio

#### ADR
American

Depositary

Receipt

#### CME
Chicago

Mercantile

Exchange

#### FHLMC
Federal

Home

Loan

Mortgage

Corp.

#### FNMA
Federal

National

Mortgage

Association

#### FRN
Floating

Rate

Note

#### GNMA
Government

National

Mortgage

Association

#### PIK
Payment-In-Kind

#### REIT
Real

Estate

Investment

Trust

#### SOFR
Secured

Overnight

Financing

Rate

Franklin

Templeton

Variable

Insurance

Products

Trust

Report

of

Independent

Registered

Public

Accounting

Firm

franklintempleton.com

Annual

Report

To

the

Board

of

Trustees

of

Franklin

Templeton

Variable

Insurance

Products

Trust

and

Shareholders

of

Franklin

Income

VIP

Fund

#### Opinion

#### on

#### the

#### Financial

#### Statements
We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

investments,

of

Franklin

Income

VIP

Fund

(one

of

the

funds

constituting

Franklin

Templeton

Variable

Insurance

Products

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2025,

the

related

statement

of

operations

for

the

year

ended

December

31,

2025,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

(collectively

referred

to

as

the

"financial

statements").

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2025,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

#### Basis

#### for

#### Opinion
These

financial

statements

are

the

responsibility

of

the

Fund's

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund's

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2025

by

correspondence

with

the

custodian,

transfer

agent,

private

placement

agent,

agent

banks

and

broker;

when

replies

were

not

received

from

a

private

placement

agent

or

agent

banks,

we

performed

other

auditing

procedures.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/PricewaterhouseCoopers

LLP

San

Francisco,

California

February

19,

2026

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Franklin

Templeton

Group

of

Funds

since

1948. Franklin

Templeton

Variable

Insurance

Products

Trust

Tax

Information

(unaudited)

franklintempleton.com

Annual

Report

#### Franklin

#### Income

#### VIP

#### Fund
By

mid-February,

tax

information

related

to

a

shareholder's

proportionate

share

of

distributions

paid

during

the

preceding

calendar

year

will

be

received,

if

applicable.

Please

also

refer

to

www.franklintempleton.com

for

per

share

tax

information

related

to

any

distributions

paid

during

the

preceding

calendar

year.

Shareholders

are

advised

to

consult

with

their

tax

advisors

for

further

information

on

the

treatment

of

these

amounts

on

their

tax

returns.

The

following

tax

information

for

the

Fund

is

required

to

be

furnished

to

shareholders

with

respect

to

income

earned

and

distributions

paid

during

its

fiscal

year.

The

Fund

hereby

reports

the

following

amounts,

or

if

subsequently

determined

to

be

different,

the

maximum

allowable

amounts,

for

the

fiscal

year

ended

December

31,

2025:

Note

(1) -

The

Law

varies

in

each

state

as

to

whether

and

what

percentage

of

dividend

income

attributable

to

Federal

obiligations

is

exempt

from

state

income

tax.

Shareholders

are

advised

to

consult

with

their

tax

advisors

to

determine

if

any

portion

of

the

dividends

received

is

exempt

from

state

income

taxes.

#### Pursuant

#### to:

#### Amount

#### Reported
Long-Term

Capital

Gain

Dividends

Distributed

§852(b)(3)(C)

$20,292,883

Income

Eligible

for

Dividends

Received

Deduction

(DRD)

§854(b)(1)(A)

$31,739,797

Interest

Earned

from

Federal

Obligations

Note

(1) $17,674,966

Franklin

Templeton

Variable

Insurance

Products

Trust

franklintempleton.com

Annual

Report

#### Changes

#### In

#### and

#### Disagreements

#### with

#### Accountants
For

the

period

covered

by

this

report

Not

applicable.

#### Results

#### of

#### Meeting(s)

#### of

#### Shareholders
For

the

period

covered

by

this

report

Not

applicable.

#### Remuneration

#### Paid

#### to

#### Directors,

#### Officers

#### and

#### Others
For

the

period

covered

by

this

report

Refer

to

the

financial

statements

included

herein.

Remuneration

to

officers

is

paid

by

the

Fund's

investment

manager

according

to

the

terms

of

the

agreement.

#### Board

#### Approval

#### of

#### Management

#### and

#### Subadvisory

#### Agreements
For

the

period

covered

by

this

report

Not

applicable.

4829-AFSOI

02/26©

2026

Franklin

Templeton.

All

rights

reserved.

#### Franklin

#### Large

#### Cap

#### Growth

#### VIP

#### Fund

#### Financial

#### Statements

#### and

#### Other

#### Important

#### Information

#### Annual
\|

December

31,

2025

#### Table

#### of

#### Contents
franklintempleton.com

Financial

Statements

and

Other

Important

Information—Annual

Financial

Highlights

and

Schedule

of

Investments

#### 2
Financial

Statements

#### 7
Notes

to

Financial

Statements

#### 10
Report

of

Independent

Registered

Public

Accounting

Firm

#### 17
Tax

Information

#### 18
Changes

In

and

Disagreements

with

Accountants

#### 19
Results

of

Meeting(s)

of

Shareholders

Remuneration

Paid

to

Directors,

Officers

and

Others

Board

Approval

of

Management

and

Subadvisory

Agreements

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Large

#### Cap

#### Growth

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 1

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$22.51

$19.71

$14.39

$30.30

$29.78

Income

from

investment

operations

a

:

Net

investment

(loss)

b

..........................

(0.08)

(0.08)

(0.04)

(0.04)

(0.10)

Net

realized

and

unrealized

gains

(losses)

...........

1.54 5.22 5.84 (10.79)

4.39 Total

from

investment

operations

....................

1.46 5.14 5.80 (10.83)

4.29 Less

distributions

from:

Net

realized

gains

.............................

(4.11)

(2.34)

(0.48)

(5.08)

(3.77)

Net

asset

value,

end

of

year

.......................

$19.86

$22.51

$19.71

$14.39

$30.30

Total

return

c

...................................

7.48%

26.67%

40.71%

(36.36)%

15.56%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

d

....................................

0.84%

0.82%

0.83%

e

0.82%

e

0.84%

e

Net

investment

(loss)

............................

(0.36)%

(0.36)%

(0.22)%

(0.21)%

(0.32)%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$2,364

$7,723

$4,628

$3,353

$5,387

Portfolio

turnover

rate

............................

34.97%

17.17%

26.29%

14.74%

14.98%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Large

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 2

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$20.76

$18.38

$13.47

$28.93

$28.65

Income

from

investment

operations

a

:

Net

investment

(loss)

b

..........................

(0.12)

(0.12)

(0.07)

(0.08)

(0.16)

Net

realized

and

unrealized

gains

(losses)

...........

1.40 4.84 5.46 (10.30)

4.21 Total

from

investment

operations

....................

1.28 4.72 5.39 (10.38)

4.05 Less

distributions

from:

Net

realized

gains

.............................

(4.11)

(2.34)

(0.48)

(5.08)

(3.77)

Net

asset

value,

end

of

year

.......................

$17.93

$20.76

$18.38

$13.47

$28.93

Total

return

c

...................................

7.22%

26.30%

40.44%

(36.54)%

15.28%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

d

....................................

1.11%

1.07%

1.08%

e

1.07%

e

1.09%

e

Net

investment

(loss)

............................

(0.66)%

(0.62)%

(0.46)%

(0.46)%

(0.57)%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$81,677

$90,952

$88,146

$75,005

$128,584

Portfolio

turnover

rate

............................

34.97%

17.17%

26.29%

14.74%

14.98%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments,

December

31,

2025

#### Franklin

#### Large

#### Cap

#### Growth

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks

#### 98.8%

#### Aerospace

#### &

#### Defense

#### 3.1%
a

Axon

Enterprise,

Inc.

.................................

United

States

1,124

$

638,353

BWX

Technologies,

Inc.

..............................

United

States

2,496

431,409

Curtiss-Wright

Corp.

.................................

United

States

1,514

834,623

Howmet

Aerospace,

Inc.

..............................

United

States

3,416

700,348

2,604,733

#### Automobiles

#### 3.1%
a

Tesla,

Inc.

.........................................

United

States

5,742

2,582,292

#### Beverages

#### 0.8%
Coca-Cola

Co.

(The)

.................................

United

States

9,282

648,905

#### Biotechnology

#### 2.2%
a

Insmed,

Inc.

.......................................

United

States

5,025

874,551

a

Natera,

Inc.

........................................

United

States

4,101

939,498

1,814,049

#### Broadline

#### Retail

#### 5.2%
a

Amazon.com,

Inc.

...................................

United

States

18,827

4,345,648

#### Building

#### Products

#### 1.0%
Trane

Technologies

plc

...............................

United

States

2,127

827,828

#### Capital

#### Markets

#### 2.4%
Ares

Management

Corp.

,

A

............................

United

States

4,363

705,191

a

Robinhood

Markets,

Inc.

,

A

............................

United

States

4,597

519,921

S&P

Global,

Inc.

....................................

United

States

1,447

756,188

1,981,300

#### Chemicals

#### 1.0%
Linde

plc

..........................................

United

States

2,068

881,775

#### Commercial

#### Services

#### &

#### Supplies

#### 1.1%
Republic

Services,

Inc.

,

A

.............................

United

States

4,263

903,458

#### Communications

#### Equipment

#### 1.0%
a

Arista

Networks,

Inc.

.................................

United

States

6,531

855,757

#### Construction

#### Materials

#### 0.9%
Martin

Marietta

Materials,

Inc.

..........................

United

States

1,181

735,361

#### Consumer

#### Staples

#### Distribution

#### &

#### Retail

#### 1.4%
Casey's

General

Stores,

Inc.

...........................

United

States

2,142

1,183,905

#### Electrical

#### Equipment

#### 0.9%
GE

Vernova,

Inc.

....................................

United

States

1,216

794,741

#### Electronic

#### Equipment,

#### Instruments

#### &

#### Components

#### 2.7%
Amphenol

Corp.

,

A

..................................

United

States

14,505

1,960,206

a

Celestica,

Inc.

......................................

Canada

1,137

336,108

2,296,314

#### Entertainment

#### 3.0%
a

Netflix,

Inc.

........................................

United

States

15,991

1,499,316

a

ROBLOX

Corp.

,

A

...................................

United

States

6,452

522,806

a

Spotify

Technology

SA

................................

United

States

921

534,834

2,556,956

#### Financial

#### Services

#### 2.8%
Mastercard,

Inc.

,

A

..................................

United

States

4,167

2,378,857

#### Ground

#### Transportation

#### 0.5%
a

Uber

Technologies,

Inc.

...............................

United

States

5,130

419,172

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Large

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Health

#### Care

#### Equipment

#### &

#### Supplies

#### 2.3%
a

Boston

Scientific

Corp.

...............................

United

States

7,470

$

712,265

a

Dexcom,

Inc.

.......................................

United

States

6,681

443,418

a

Intuitive

Surgical,

Inc.

................................

United

States

1,351

765,152

1,920,835

#### Health

#### Care

#### Providers

#### &

#### Services

#### 1.7%
McKesson

Corp.

....................................

United

States

1,736

1,424,023

#### Hotels,

#### Restaurants

#### &

#### Leisure

#### 1.4%
a

DoorDash,

Inc.

,

A

...................................

United

States

3,786

857,453

Wingstop,

Inc.

......................................

United

States

1,467

349,865

1,207,318

#### Interactive

#### Media

#### &

#### Services

#### 11.4%
Alphabet,

Inc.

,

A

....................................

United

States

17,762

5,559,506

Meta

Platforms,

Inc.

,

A

...............................

United

States

6,088

4,018,628

9,578,134

#### IT

#### Services

#### 1.1%
a

Shopify,

Inc.

,

A

.....................................

Canada

5,568

896,281

#### Life

#### Sciences

#### Tools

#### &

#### Services

#### 0.8%
a

Repligen

Corp.

.....................................

United

States

3,976

651,507

#### Machinery

#### 0.9%
Parker-Hannifin

Corp.

................................

United

States

906

796,338

#### Personal

#### Care

#### Products

#### 0.3%
a

Oddity

Tech

Ltd.

,

A

..................................

Israel

5,316

213,597

#### Pharmaceuticals

#### 4.0%
Eli

Lilly

&

Co.

......................................

United

States

2,540

2,729,687

a

Jazz

Pharmaceuticals

plc

.............................

United

States

3,799

645,830

3,375,517

#### Professional

#### Services

#### 0.5%
Verisk

Analytics,

Inc.

,

A

...............................

United

States

2,024

452,749

#### Real

#### Estate

#### Management

#### &

#### Development

#### 0.7%
a

CoStar

Group,

Inc.

..................................

United

States

8,713

585,862

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 20.1%
a

Advanced

Micro

Devices,

Inc.

..........................

United

States

3,034

649,762

Analog

Devices,

Inc.

.................................

United

States

2,060

558,672

Broadcom,

Inc.

.....................................

United

States

14,541

5,032,640

a

Lattice

Semiconductor

Corp.

...........................

United

States

8,551

629,183

Monolithic

Power

Systems,

Inc.

.........................

United

States

761

689,740

NVIDIA

Corp.

......................................

United

States

45,042

8,400,333

Taiwan

Semiconductor

Manufacturing

Co.

Ltd.

,

ADR

.........

Taiwan

2,996

910,454

16,870,784

#### Software

#### 12.1%
a

AppLovin

Corp.

,

A

...................................

United

States

1,720

1,158,971

a

Autodesk,

Inc.

......................................

United

States

765

226,448

a

Crowdstrike

Holdings,

Inc.

,

A

...........................

United

States

1,078

505,323

a

Fair

Isaac

Corp.

....................................

United

States

596,789

Microsoft

Corp.

.....................................

United

States

12,897

6,237,247

Oracle

Corp.

.......................................

United

States

1,520

296,263

a

ServiceNow,

Inc.

....................................

United

States

3,707

567,875

a

Synopsys,

Inc.

.....................................

United

States

1,185

556,618

10,145,534

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Large

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

See

Abbreviations

on

page

16. a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Specialty

#### Retail

#### 1.7%
a

AutoZone,

Inc.

.....................................

United

States

$

759,696

a

Carvana

Co.

,

A

.....................................

United

States

1,684

710,682

1,470,378

#### Technology

#### Hardware,

#### Storage

#### &

#### Peripherals

#### 5.6%
Apple,

Inc.

........................................

United

States

17,222

4,681,973

#### Trading

#### Companies

#### &

#### Distributors

#### 0.4%
a

QXO,

Inc.

.........................................

United

States

19,529

376,714

#### Wireless

#### Telecommunication

#### Services

#### 0.7%
T-Mobile

US,

Inc.

...................................

United

States

2,807

569,933

#### Total

#### Common

#### Stocks

#### (Cost

#### $

#### 34,559,403

####)
....................................

#### 83,028,528

#### Short

#### Term

#### Investments

#### 1.4%
a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Money

#### Market

#### Funds

#### 1.4%
b,c

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

.........................................

United

States

1,150,104

1,150,104

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $

#### 1,150,104

####)
.................................

#### 1,150,104

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $

#### 1,150,104

####)
...............................

#### 1,150,104

#### a

#### Total

#### Investments

#### (Cost

#### $

#### 35,709,507

####)
100.2 #### %
.................................

#### $84,178,632

#### Other

#### Assets,

#### less

#### Liabilities

#### (0.2 ####)

#### %
.........................................

#### (138,021)

#### Net

#### Assets

#### 100.0%

#### .........................................................

#### $84,040,611

#### a
a

Non-income

producing.

b

See

Note

3(e)

regarding

investments

in

affiliated

management

investment

companies.

c

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Assets

and

Liabilities

December

31,

2025

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Large

#### Cap

#### Growth

#### VIP

#### Fund
Assets:

Investments

in

securities:

Cost

-

Unaffiliated

issuers

...................................................................

$34,559,403

Cost

-

Non-controlled

affiliates

(Note

e)

........................................................

1,150,104

Value

-

Unaffiliated

issuers

..................................................................

$83,028,528

Value

-

Non-controlled

affiliates

(Note

e)

.......................................................

1,150,104

Cash

....................................................................................

10,556

Receivables:

Investment

securities

sold

...................................................................

27,240

Dividends

and

interest

.....................................................................

9,566

Total

assets

..........................................................................

84,225,994

Liabilities:

Payables:

Capital

shares

redeemed

...................................................................

61,975

Management

fees

.........................................................................

54,291

Distribution

fees

..........................................................................

17,617

Professional

fees

.........................................................................

42,480

Trustees'

fees

and

expenses

.................................................................

Accrued

expenses

and

other

liabilities

...........................................................

8,959

Total

liabilities

.........................................................................

185,383

Net

assets,

at

value

.................................................................

$84,040,611

Net

assets

consist

of:

Paid-in

capital

.............................................................................

$15,179,327

Total

distributable

earnings

(losses)

.............................................................

68,861,284

Net

assets,

at

value

.................................................................

$84,040,611

#### Franklin

#### Large

#### Cap

#### Growth

#### VIP

#### Fund

#### Class

#### 1:
Net

assets,

at

value

.......................................................................

$2,363,585

Shares

outstanding

........................................................................

118,993

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$19.86

#### Class

#### 2:
Net

assets,

at

value

.......................................................................

$81,677,026

Shares

outstanding

........................................................................

4,554,117

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$17.93

a

Net

asset

value

per

share

may

not

recalculate

due

to

rounding.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Operations

for

the

year

ended

December

31,

2025

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Franklin

#### Large

#### Cap

#### Growth

#### VIP

#### Fund
Investment

income:

Dividends:

(net

of

foreign

taxes

of

$502)

Unaffiliated

issuers

........................................................................

$363,740

Non-controlled

affiliates

(Note

e)

.............................................................

5,192

Interest:

Unaffiliated

issuers

........................................................................

35,632

Total

investment

income

...................................................................

404,564

Expenses:

Management

fees

(Note

a)

...................................................................

677,326

Distribution

fees:

(Note

3c)

Class

................................................................................

213,493

Custodian

fees

............................................................................

Reports

to

shareholders

fees

..................................................................

8,581

Professional

fees

...........................................................................

70,277

Trustees'

fees

and

expenses

..................................................................

1,287

Other

....................................................................................

15,782

Total

expenses

.........................................................................

986,759

Expenses

waived/paid

by

affiliates

(Note

e)

...................................................

(219) Net

expenses

.........................................................................

986,540

Net

investment

income

(loss)

............................................................

(581,976)

Realized

and

unrealized

gains

(losses):

Net

realized

gain

(loss)

from:

Investments:

Unaffiliated

issuers

......................................................................

20,548,725

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments:

Unaffiliated

issuers

......................................................................

(13,326,391)

Net

realized

and

unrealized

gain

(loss)

............................................................

7,222,334

Net

increase

(decrease)

in

net

assets

resulting

from

operations

..........................................

$6,640,358

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statements

of

Changes

in

Net

Assets

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Large

#### Cap

#### Growth

#### VIP

#### Fund

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024
Increase

(decrease)

in

net

assets:

Operations:

Net

investment

income

(loss)

............................................

$(581,976)

$(598,744)

Net

realized

gain

(loss)

.................................................

20,548,725

18,807,937

Net

change

in

unrealized

appreciation

(depreciation)

...........................

(13,326,391)

4,941,429

Net

increase

(decrease)

in

net

assets

resulting

from

operations

................

6,640,358

23,150,622

Distributions

to

shareholders:

Class

.............................................................

(1,408,160)

(728,733)

Class

.............................................................

(17,057,371)

(10,181,219)

Total

distributions

to

shareholders

..........................................

(18,465,531)

(10,909,952)

Capital

share

transactions:

(Note

2)

Class

.............................................................

(4,335,101)

2,337,358

Class

.............................................................

1,525,955

(8,676,597)

Total

capital

share

transactions

............................................

(2,809,146)

(6,339,239)

Net

increase

(decrease)

in

net

assets

...................................

(14,634,319)

5,901,431

Net

assets:

Beginning

of

year

.......................................................

98,674,930

92,773,499

End

of

year

...........................................................

$84,040,611

$98,674,930

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

#### Franklin

#### Large

#### Cap

#### Growth

#### VIP

#### Fund

franklintempleton.com

Annual

Report

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
Franklin

Templeton

Variable

Insurance

Products

Trust

(Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-end

management

investment

company,

consisting

of seventeen separate

funds.

The Trust

follows the

accounting

and

reporting

guidance

in

Financial

Accounting

Standards

Board

(FASB)

Accounting

Standards

Codification

Topic

946,

Financial

Services

–

Investment

Companies

(ASC

946)

and

applies

the

specialized

accounting

and

reporting

guidance

in

U.S.

Generally

Accepted

Accounting

Principles

(U.S.

GAAP),

including,

but

not

limited

to,

ASC

946. Franklin

Large

Cap

Growth

VIP

Fund

(Fund)

is

included

in

this

report.

Shares

of

the

Fund

are

generally

sold

only

to

insurance

company

separate

accounts

to

fund

the

benefits

of

variable

life

insurance

policies

or

variable

annuity

contracts. At

December

31,

2025,

71.1%

of

the

Fund's

shares

were

held

through

one

insurance

company.

Investment

activities

of

these

insurance

company

separate

accounts

could

have

a

material

impact

on

the

Fund.

The

Fund

offers two classes

of

shares:

Class

and

Class

2. Each

class

of

shares

may

differ

by

its

distribution

fees,

voting

rights

on

matters

affecting

a

single

class

and

its

exchange

privilege.

The

following

summarizes

the Fund's

significant

accounting

policies.

a. #### Financial

#### Instrument

#### Valuation
The

Fund's

investments

in

financial

instruments

are

carried

at

fair

value

daily.

Fair

value

is

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

market

participants

on

the

measurement

date.

The

Fund

calculates

the

net

asset

value

(NAV)

per

share

each business

day as

of

p.m.

Eastern

time

or

the

regularly

scheduled

close

of

the

New

York

Stock

Exchange

(NYSE),

whichever

is

earlier.

Under

compliance

policies

and

procedures

approved

by

the Trust's

Board

of

Trustees

(the

Board),

the

Board

has

designated

the

Fund's

investment

manager

as

the

valuation

designee

and

has

responsibility

for

oversight

of

valuation.

The

investment

manager

is

assisted

by

the

Fund's

administrator

in

performing

this

responsibility,

including

leading

the

cross-

functional

Valuation

Committee

(VC).

The

Fund

may

utilize

independent

pricing

services,

quotations

from

securities

and

financial

instrument

dealers,

and

other

market

sources

to

determine

fair

value.

Equity

securities

listed

on

an

exchange

or

on

the

NASDAQ

National

Market

System

are

valued

at

the

last

quoted

sale

price

or

the

official

closing

price of

the

day,

respectively.

Foreign

equity

securities

are

valued

as

of

the

close

of

trading

on

the

foreign

stock

exchange

on

which

the

security

is

primarily

traded,

or

as

of

p.m.

Eastern

time.

The

value

is

then

converted

into

its

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

p.m.

Eastern

time

on

the

day

that

the

value

of

the

security

is

determined.

Over-the-counter

(OTC)

securities

are

valued

within

the

range

of

the

most

recent

quoted

bid

and

ask

prices.

Securities

that

trade

in

multiple

markets

or

on

multiple

exchanges

are

valued

according

to

the

broadest

and

most

representative

market.

Certain

equity

securities

are

valued

based

upon

fundamental

characteristics

or

relationships

to

similar

securities.

Investments

in open-end mutual

funds

are

valued

at

the

closing

NAV.

The

Fund

has

procedures

to

determine

the

fair

value

of

financial

instruments

for

which

market

prices

are

not

reliable

or

readily

available.

Under

these

procedures,

the Fund

primarily

employs

a

market-based

approach

which

may

use

related

or

comparable

assets

or

liabilities,

recent

transactions,

market

multiples,

and

other

relevant

information

for

the

investment

to

determine

the

fair

value

of

the

investment.

An

income-based

valuation

approach

may

also

be

used

in

which

the

anticipated

future

cash

flows

of

the

investment

are

discounted

to

calculate

fair

value.

Discounts

may

also

be

applied

due

to

the

nature

or

duration

of

any

restrictions

on

the

disposition

of

the

investments.

Due

to

the

inherent

uncertainty

of

valuations

of

such

investments,

the

fair

values

may

differ

significantly

from

the

values

that

would

have

been

used

had

an

active

market

existed.

Trading

in

securities

on

foreign

securities

stock

exchanges

and

OTC

markets

may

be

completed

before

p.m.

Eastern

time.

In

addition,

trading

in

certain

foreign

markets

may

not

take

place

on

every

Fund's

business

day. Events

can occur

between

the

time

at

which

trading

in

a

foreign

security

is

completed

and

p.m.

Eastern

time

that

might

call

into

question

the

reliability

of

the

value

of

a

portfolio

security

held

by

the

Fund.

As

a

result,

differences

may

arise

between

the

value

of

the

Fund's

portfolio

securities

as

determined

at

the

foreign

market

close

and

the

latest

indications

of

value

at

p.m.

Eastern

time. In

order

to

minimize

the

potential

for

these

differences,

an

independent

pricing

service

may

be

used

to

adjust

the

value

of

the

Fund's

portfolio

securities

to

the

latest

indications

of

fair

value

at

p.m.

Eastern

time.

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Large

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

When

the

last

day

of

the

reporting

period

is

a

non-business

day,

certain

foreign

markets

may

be

open

on

those

days

that

the

Fund's

NAV

is

not

calculated,

which

could

result

in

differences

between

the

value

of

the

Fund's

portfolio

securities

on

the

last

business

day

and

the

last

calendar

day

of

the

reporting

period.

Any

security

valuation

changes

due

to

an

open

foreign

market

are

adjusted

and

reflected

by

the

Fund

for

financial

reporting

purposes.

b. #### Foreign

#### Currency

#### Translation
Portfolio

securities

and

other

assets

and

liabilities

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

based

on

the

exchange

rate

of

such

currencies

against

U.S.

dollars

on

the

date

of

valuation.

The

Fund

may

enter

into

foreign

currency

exchange

contracts

to

facilitate

transactions

denominated

in

a

foreign

currency.

Purchases

and

sales

of

securities,

income

and

expense

items

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

at

the

exchange

rate

in

effect

on

the

transaction

date.

Portfolio

securities

and

assets

and

liabilities

denominated

in

foreign

currencies

contain

risks

that

those

currencies

will

decline

in

value

relative

to

the

U.S.

dollar.

Occasionally,

events

may

impact

the

availability

or

reliability

of

foreign

exchange

rates

used

to

convert

the

U.S.

dollar

equivalent

value.

If

such

an

event

occurs,

the

foreign

exchange

rate

will

be

valued

at

fair

value

using

procedures

established

and

approved

by

the

Board.

The

Fund

does

not

separately

report

the

effect

of

changes

in

foreign

exchange

rates

from

changes

in

market

prices

on

securities

held.

Such

changes

are

included

in

net

realized

and

unrealized

gain

or

loss

from

investments

in

the

Statement of

Operations.

Realized

foreign

exchange

gains

or

losses

arise

from

sales

of

foreign

currencies,

currency

gains

or

losses

realized

between

the

trade

and

settlement

dates

on

securities

transactions

and

the

difference

between

the

recorded

amounts

of

dividends,

interest,

and

foreign

withholding

taxes

and

the

U.S.

dollar

equivalent

of

the

amounts

actually

received

or

paid.

Net

unrealized

foreign

exchange

gains

and

losses

arise

from

changes

in

foreign

exchange

rates

on

foreign

denominated

assets

and

liabilities

other

than

investments

in

securities

held

at

the

end

of

the

reporting

period.

c. #### Income

#### and

#### Deferred

#### Taxes
It

is the Fund's

policy

to

qualify

as

a

regulated

investment

company

under

the

Internal

Revenue

Code. The Fund

intends

to

distribute

to

shareholders

substantially

all

of

its

taxable

income

and

net

realized

gains

to

relieve

it

from

federal

income

and if

applicable,

excise

taxes.

As

a

result,

no

provision

for

U.S.

federal

income

taxes

is

required.

The

Fund

may

be

subject

to

foreign

taxation

related

to

income

received,

capital

gains

on

the

sale

of

securities

and

certain

foreign

currency

transactions

in

the

foreign

jurisdictions

in

which it

invests.

Foreign

taxes,

if

any,

are

recorded

based

on

the

tax

regulations

and

rates

that

exist

in

the

foreign

markets

in

which

the

Fund

invests.

When

a

capital

gain

tax

is

determined

to

apply,

the

Fund

records

an

estimated

deferred

tax

liability

in

an

amount

that

would

be

payable

if

the

securities

were

disposed

of

on

the

valuation

date.

The Fund

may

recognize

an

income

tax

liability

related

to

its

uncertain

tax

positions

under

U.S.

GAAP

when

the

uncertain

tax

position

has

a

less

than

50%

probability

that

it

will

be

sustained

upon

examination

by

the

tax

authorities

based

on

its

technical

merits.

As

of

December

31,

2025, the Fund

has

determined

that

no

tax

liability

is

required

in

its

financial

statements

related

to

uncertain

tax

positions

for

any

open

tax

years

(or

expected

to

be

taken

in

future

tax

years).

The

Fund's

federal

and

state

income

and

federal

excise

tax

returns

for

the

prior

three

fiscal

years

are

subject

to

examination

by

the

Internal

Revenue

Service

and

state

departments

of

revenue.

d. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
Security

transactions

are

accounted

for

on

trade

date.

Realized

gains

and

losses

on

security

transactions

are

determined

on

a

specific

identification

basis.

Interest

income

(including

interest

income

from

payment-in-kind

securities,

if

any)

and

estimated

expenses

are

accrued

daily. Dividend

income

and

capital

gain

distributions

are

recorded

on

the

ex-dividend

date

except

for

certain

dividends

from

securities

where

the

dividend

rate

is

not

available.

In

such

cases,

the

dividend

is

recorded

as

soon

as

the

information

is

received

by

the

Fund.

Distributions

to

shareholders

are

recorded

on

the

ex-dividend

date. Distributable

earnings

are

determined

according

to

income

tax

regulations

(tax

basis)

and

may

differ

from

earnings

recorded

in

accordance

with

U.S.

GAAP.

These

differences

may

be

permanent

or

temporary.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

a. #### Financial

#### Instrument

#### Valuation
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Large

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

Permanent

differences

are

reclassified

among

capital

accounts

to

reflect

their

tax

character.

These

reclassifications

have

no

impact

on

net

assets

or

the

results

of

operations.

Temporary

differences

are

not

reclassified,

as

they

may

reverse

in

subsequent

periods.

Common

expenses

incurred

by

the

Trust

are

allocated

among

the

Funds

based

on

the

ratio

of

net

assets

of

each

Fund

to

the

combined

net

assets

of

the

Trust

or

based

on

the

ratio

of

number

of

shareholders

of

each

Fund

to

the

combined

number

of

shareholders

of

the

Trust.

Fund

specific

expenses

are

charged

directly

to

the

Fund

that

incurred

the

expense.

Realized

and

unrealized

gains

and

losses

and

net

investment

income,

excluding

class

specific

expenses,

are

allocated

daily

to

each

class

of

shares

based

upon

the

relative

proportion

of

net

assets

of

each

class.

Differences

in

per

share

distributions

by

class

are

generally

due

to

differences

in

class

specific

expenses.

e. #### Accounting

#### Estimates
The

preparation

of

financial

statements

in

accordance

with

U.S.

GAAP

requires

management

to

make

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

amounts

of

income

and

expenses

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

f. #### Guarantees

#### and

#### Indemnifications
Under

the Trust's

organizational

documents,

its

officers

and trustees

are

indemnified

by

the Trust against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Trust.

Additionally,

in

the

normal

course

of

business,

the Trust,

on

behalf

of

the

Fund, enters

into

contracts

with

service

providers

that

contain

general

indemnification

clauses.

The Trust's

maximum

exposure

under

these

arrangements

is

unknown

as

this

would

involve

future

claims

that

may

be

made

against

the Trust

that

have

not

yet

occurred.

Currently,

the Trust

expects

the

risk

of

loss

to

be

remote.

2. #### Shares

#### of

#### Beneficial

#### Interest
At

December

31,

2025,

there

were

an

unlimited

number

of

shares

authorized

(without

par

value).

Transactions

in

the

Fund's

shares

were

as

follows:

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### 1

#### Shares:
Shares

sold

...................................

—

$—

80,966

$1,749,269

Shares

issued

in

reinvestment

of

distributions

..........

74,783

1,408,160

33,989

728,733

Shares

redeemed

...............................

(298,901)

(5,743,261)

(6,569)

(140,644)

Net

increase

(decrease)

..........................

(224,118)

$(4,335,101)

108,386

$2,337,358

#### Class

#### 2

#### Shares:
Shares

sold

...................................

215,997

$3,989,213

146,909

$2,994,621

Shares

issued

in

reinvestment

of

distributions

..........

1,002,196

17,057,371

514,203

10,181,219

Shares

redeemed

...............................

(1,044,576)

(19,520,629)

(1,076,530)

(21,852,437)

Net

increase

(decrease)

..........................

173,617

$1,525,955

(415,418)

$(8,676,597)

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

d. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Large

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

3. #### Transactions

#### with

#### Affiliates
Franklin

Resources,

Inc.

is

the

holding

company

for

various

subsidiaries

that

together

are

referred

to

as

Franklin

Templeton.

Certain

officers

and trustees

of

the Fund are

also

officers

and/or directors

of

the

following

subsidiaries:

a. #### Management

#### Fees
The

Fund

pays

an

investment

management fee,

calculated daily and

paid

monthly,

to

Advisers based

on the

average

daily net

assets

of

the

Fund

as

follows:

For

the

year

ended

December

31,

2025,

the

gross

effective

investment

management

fee

rate

was 0.750%

of

the

Fund's

average daily

net

assets.

b. #### Administrative

#### Fees
Under

an

agreement

with

Advisers,

FT

Services

provides

administrative

services

to

the

Fund.

The

fee

is

paid

by Advisers

based

on

the Fund's

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Fund.

c. #### Distribution

#### Fees
The

Board

has

adopted

a

distribution

plan

for

Class

2 shares

pursuant

to

Rule

12b-1

under

the

1940

Act.

Under

the

Fund's

compensation

distribution

plan,

the

Fund

pays

Distributors

for

costs

incurred

in

connection

with

the

servicing,

sale

and

distribution

of

the

Fund's

shares

up

to

0.35%

per

year

of

its

average

daily

net

assets.

The

Board

has

agreed

to

limit

the

current

rate

to

0.25%

per

year

for

Class

2. The

plan

year,

for

purposes

of

monitoring

compliance

with

the

maximum

annual

plan

rate,

is

February

through

January

31. d. #### Transfer

#### Agent

#### Fees
Investor

Services,

under

terms

of

an

agreement,

performs

shareholder

servicing

for

the

Fund and

is

not

paid

by

the Fund

for

the

services.

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
The

Fund

invests

in

one

or

more

affiliated

management

investment

companies.

As

defined

in

the

1940

Act,

an

investment

is

deemed

to

be

a

"Controlled

Affiliate"

of

a

fund

when

a

fund

owns,

either

directly

or

indirectly,

25%

or

more

of

the

affiliated

fund's

outstanding

shares

or

has

the

power

to

exercise

control

over

management

or

policies

of

such

fund.

The

Fund

does

not

invest

for

purposes

of

exercising

a

controlling

influence

over

the

management

or

policies.

Management

fees

paid

by

the

Fund

are

waived

on

assets

invested

in

the

affiliated

management

investment

companies,

as

noted

in

the

Statement

of

Operations,

in

an

amount

not

to

exceed

the

management

and

administrative

fees,

if

applicable, paid

directly

or

indirectly

by

each

affiliate.

During

the

year

ended

December

31,

2025,

the

Fund

held

investments

in

affiliated

management

investment

companies

as

follows:

#### Subsidiary

#### Affiliation
Franklin

Advisers,

Inc.

(Advisers)

Investment

manager

Franklin

Templeton

Services,

LLC

(FT

Services)

Administrative

manager

Franklin

Distributors,

LLC

(Distributors)

Principal

underwriter

Franklin

Templeton

Investor

Services,

LLC

(Investor

Services)

Transfer

agent

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
0.750%

Up

to

and

including

$500

million

0.625%

Over

$500

million,

up

to

and

including

$1

billion

0.500%

In

excess

of

$1

billion

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Large

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

4. #### Income

#### Taxes
The

tax

character

of

distributions

paid

during

the

years

ended

December

31,

2025

and

2024,

was

as

follows:

At

December

31,

2025,

the

cost

of

investments,

net

unrealized

appreciation

(depreciation)

and

undistributed

long

term

capital

gains for

income

tax

purposes

were

as

follows:

Differences

between

income

and/or

capital

gains

as

determined

on

a

book

basis

and

a

tax

basis

are

primarily

due

to

differing

treatments

of

wash

sales

and

net

operating

losses.

5. #### Investment

#### Transactions
Purchases

and

sales

of

investments (excluding

short

term

securities) for

the

year

ended

December

31,

2025,

aggregated

$31,352,637 and

$54,041,476,

respectively.

6. #### Credit

#### Facility
The

Fund,

together

with

other

U.S.

registered

and

foreign

investment

funds

(collectively,

Borrowers),

managed

by

Franklin

Templeton,

are

borrowers

in

a

joint

syndicated

senior

unsecured

credit

facility

totaling

$2.995

billion

(Global

Credit

Facility)

which

matured

on

January

30,

2026. This

Global

Credit

Facility

provides

a

source

of

funds

to

the

Borrowers

for

temporary

#### &nbsp;&nbsp;&nbsp;&nbsp;aa

#### Value

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### Sales

#### Realized

#### Gain
(Loss)

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### Value

#### at

#### End

#### of

#### Year

#### Number

#### of

#### Shares

#### Held

#### at

#### End

#### of

#### Year

#### Investment

#### Income

#### a&nbsp;&nbsp;&nbsp;&nbsp;

#### a

#### Franklin

#### Large

#### Cap

#### Growth

#### VIP

#### Fund

#### Non-Controlled

#### Affiliates
Dividends

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

............

$—

$5,344,683

$(4,194,579)

$—

$—

$1,150,104

1,150,104

$5,192

#### Total

#### Affiliated

#### Securities

#### ...
$—

$5,344,683

$(4,194,579)

$—

$—

$1,150,104

$5,192

#### 2025

#### 2024
Distributions

paid

from:

Long

term

capital

gain

......................................................

$18,465,531

$10,909,952

Cost

of

investments

..........................................................................

$36,002,100

Unrealized

appreciation

........................................................................

$49,338,243

Unrealized

depreciation

........................................................................

(1,161,711)

Net

unrealized

appreciation

(depreciation)

..........................................................

$48,176,532

Distributable

earnings:

Undistributed

long

term

capital

gains

..............................................................

20,684,750

3. #### Transactions

#### with

#### Affiliates
(continued)

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Large

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

and

emergency

purposes,

including

the

ability

to

meet

future

unanticipated

or

unusually

large

redemption

requests.

Effective

January

30,

2026,

the

Borrowers

renewed

the

Global

Credit

Facility

for

a

one-year

term,

maturing

January

29,

2027,

for

a

total

of

$2.995

billion.

Under

the

terms

of

the

Global

Credit

Facility,

the

Fund

may,

in

addition

to

interest

charged

on

any

borrowings

made

by

the

Fund

and

other

costs

incurred

by

the

Fund,

pay

its

share

of

fees

and

expenses

incurred

in

connection

with

the

implementation

and

maintenance

of

the

Global

Credit

Facility,

based

upon

its

relative

share

of

the

aggregate

net

assets

of

all

of

the

Borrowers,

including

an

annual

commitment

fee

of

0.15%

based

upon

the

unused

portion

of

the

Global

Credit

Facility.

These

fees

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

During

the

year

ended

December

31,

2025,

the Fund

did

not

use

the

Global

Credit

Facility.

7. #### Fair

#### Value

#### Measurements
The

Fund

follows

a

fair

value

hierarchy

that

distinguishes

between

market

data

obtained

from

independent

sources

(observable

inputs)

and

the Fund's

own

market

assumptions

(unobservable

inputs).

These

inputs

are

used

in

determining

the

value

of

the

Fund's financial

instruments

and

are

summarized

in

the

following

fair

value

hierarchy:

Level

–

quoted

prices

in

active

markets

for

identical

financial

instruments

Level

–

other

significant

observable

inputs

(including

quoted

prices

for

similar

financial

instruments,

interest

rates,

prepayment

speed,

credit

risk,

etc.)

Level

–

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

financial

instruments)

The

input

levels

are

not

necessarily

an

indication

of

the

risk

or

liquidity

associated

with

financial

instruments

at

that

level.

At

December

31,

2025,

all

of

the Fund's

investments

in

financial

instruments

carried

at

fair

value

were

valued

using

Level 1

inputs.

8. #### Operating

#### Segments
The Fund operates

as

a

single

operating

segment,

which

is

an

investment

portfolio.

The

portfolio

managers

assigned

to

the

Fund

within

the

Fund's

Investment

manager serve

as

the

Chief

Operating

Decision

Maker

("CODM")

and

are

responsible

for

evaluating

the

Fund's

operating

results

and

allocating

resources

in

accordance

with

the

Fund's

investment

strategy.

Internal

reporting

provided

to

the

CODM

aligns

with

the

accounting

policies

and

measurement

principles

used

in

the financial

statements.

For

information

regarding

segment

assets,

segment

profit

or

loss,

and

significant

expenses,

refer

to

the Statement

of

Assets

and

Liabilities

and

the Statement

of

Operations,

along

with

the

related

notes

to

the financial

statements.

The Schedule

of

Investments

provides

details

of

the Fund's investments

that

generate

returns

such

as

interest,

dividends,

and

realized

and

unrealized

gains

or

losses.

Performance

metrics,

including

portfolio

turnover

and

expense

ratios,

are

disclosed

in

the Financial

Highlights.

9. #### Subsequent

#### Events
The Fund

has

evaluated

subsequent

events

through

the

issuance

of

the

financial

statements

and

determined

that

no

events

have

occurred

that

require

disclosure

other

than

those

already

disclosed

in

the

financial

statements.

6. #### Credit

#### Facility
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Large

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

#### Abbreviations

#### Selected

#### Portfolio

#### ADR
American

Depositary

Receipt

Franklin

Templeton

Variable

Insurance

Products

Trust

Report

of

Independent

Registered

Public

Accounting

Firm

franklintempleton.com

Annual

Report

To

the

Board

of

Trustees

of

Franklin

Templeton

Variable

Insurance

Products

Trust

and

Shareholders

of

Franklin

Large

Cap

Growth

VIP

Fund

#### Opinion

#### on

#### the

#### Financial

#### Statements
We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

investments,

of

Franklin

Large

Cap

Growth

VIP

Fund

(one

of

the

funds

constituting

Franklin

Templeton

Variable

Insurance

Products

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2025,

the

related

statement

of

operations

for

the

year

ended

December

31,

2025,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

(collectively

referred

to

as

the

"financial

statements").

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2025,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

#### Basis

#### for

#### Opinion
These

financial

statements

are

the

responsibility

of

the

Fund's

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund's

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2025

by

correspondence

with

the

custodian,

transfer

agent

and

broker.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/PricewaterhouseCoopers

LLP

San

Francisco,

California

February

19,

2026

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Franklin

Templeton

Group

of

Funds

since

1948. Franklin

Templeton

Variable

Insurance

Products

Trust

Tax

Information

(unaudited)

franklintempleton.com

Annual

Report

#### Franklin

#### Large

#### Cap

#### Growth

#### VIP

#### Fund
By

mid-February,

tax

information

related

to

a

shareholder's

proportionate

share

of

distributions

paid

during

the

preceding

calendar

year

will

be

received,

if

applicable.

Please

also

refer

to

www.franklintempleton.com

for

per

share

tax

information

related

to

any

distributions

paid

during

the

preceding

calendar

year.

Shareholders

are

advised

to

consult

with

their

tax

advisors

for

further

information

on

the

treatment

of

these

amounts

on

their

tax

returns.

The

following

tax

information

for

the

Fund

is

required

to

be

furnished

to

shareholders

with

respect

to

income

earned

and

distributions

paid

during

its

fiscal

year.

The

Fund

hereby

reports

the

following

amounts,

or

if

subsequently

determined

to

be

different,

the

maximum

allowable

amounts,

for

the

fiscal

year

ended

December

31,

2025:

#### Pursuant

#### to:

#### Amount

#### Reported
Long-Term

Capital

Gain

Dividends

Distributed

§852(b)(3)(C)

$18,465,532

Income

Eligible

for

Dividends

Received

Deduction

(DRD)

§854(b)(1)(A)

$351,379

Franklin

Templeton

Variable

Insurance

Products

Trust

franklintempleton.com

Annual

Report

#### Changes

#### In

#### and

#### Disagreements

#### with

#### Accountants
For

the

period

covered

by

this

report

Not

applicable.

#### Results

#### of

#### Meeting(s)

#### of

#### Shareholders
For

the

period

covered

by

this

report

Not

applicable.

#### Remuneration

#### Paid

#### to

#### Directors,

#### Officers

#### and

#### Others
For

the

period

covered

by

this

report

Refer

to

the

financial

statements

included

herein.

Remuneration

to

officers

is

paid

by

the

Fund's

investment

manager

according

to

the

terms

of

the

agreement.

#### Board

#### Approval

#### of

#### Management

#### and

#### Subadvisory

#### Agreements
For

the

period

covered

by

this

report

Not

applicable.

4843-AFSOI

02/26©

2026

Franklin

Templeton.

All

rights

reserved.

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund

#### Financial

#### Statements

#### and

#### Other

#### Important

#### Information

#### Annual
\|

December

31,

2025

#### Table

#### of

#### Contents
franklintempleton.com

Financial

Statements

and

Other

Important

Information—Annual

Financial

Highlights

and

Schedule

of

Investments

#### 2
Financial

Statements

#### 9
Notes

to

Financial

Statements

#### 12
Report

of

Independent

Registered

Public

Accounting

Firm

#### 24
Tax

Information

#### 25
Changes

In

and

Disagreements

with

Accountants

#### 26
Results

of

Meeting(s)

of

Shareholders

Remuneration

Paid

to

Directors,

Officers

and

Others

Board

Approval

of

Management

and

Subadvisory

Agreements

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 1

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$18.37

$19.16

$17.28

$20.32

$17.50

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.40 0.41 0.35 0.39 0.25 Net

realized

and

unrealized

gains

(losses)

...........

3.84 0.62 3.03 (1.53)

3.14 Total

from

investment

operations

....................

4.24 1.03 3.38 (1.14)

3.39 Less

distributions

from:

Net

investment

income

..........................

(0.43)

(0.39)

(0.50)

(0.32)

(0.57)

Net

realized

gains

.............................

(2.10)

(1.43)

(1.00)

(1.58)

—

Total

distributions

...............................

(2.53)

(1.82)

(1.50)

(1.90)

(0.57)

Net

asset

value,

end

of

year

.......................

$20.08

$18.37

$19.16

$17.28

$20.32

Total

return

c

...................................

23.62%

4.98%

20.55%

(4.52)%

19.43%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

d

....................................

0.91%

e

0.90%

0.90%

e,f

0.89%

e,f

0.98%

e,f

Expenses

-

incurred

in

connection

with

securities

sold

short

—%

—%

—%

g

—%

g

0.02%

Net

investment

income

...........................

2.00%

2.10%

1.87%

2.05%

1.29%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$9,034

$5,257

$4,436

$3,851

$4,166

Portfolio

turnover

rate

............................

43.81%

33.69%

34.68%

55.49%

41.58%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Includes

dividends

and/or

interest

expense

on

securities

sold

short

and

security

borrowing

fees,

if

any.

See

below

for

the

ratios

of

such

expenses

to

average

net

assets

for

the

periods

presented.

See

Note

1(d).

e

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

f

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

g

Rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 2

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$17.54

$18.38

$16.62

$19.61

$16.91

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.35 0.36 0.29 0.33 0.20 Net

realized

and

unrealized

gains

(losses)

...........

3.65 0.57 2.92 (1.48)

3.02 Total

from

investment

operations

....................

4.00 0.93 3.21 (1.15)

3.22 Less

distributions

from:

Net

investment

income

..........................

(0.38)

(0.34)

(0.45)

(0.26)

(0.52)

Net

realized

gains

.............................

(2.10)

(1.43)

(1.00)

(1.58)

—

Total

distributions

...............................

(2.48)

(1.77)

(1.45)

(1.84)

(0.52)

Net

asset

value,

end

of

year

.......................

$19.06

$17.54

$18.38

$16.62

$19.61

Total

return

c

...................................

23.34%

4.66%

20.31%

(4.75)%

19.13%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

d

....................................

1.16%

e

1.15%

1.15%

e,f

1.14%

e,f

1.22%

e,f

Expenses

-

incurred

in

connection

with

securities

sold

short

—%

—%

—%

g

—%

g

0.02%

Net

investment

income

...........................

1.84%

1.90%

1.62%

1.80%

1.05%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$416,837

$380,330

$413,438

$398,802

$477,214

Portfolio

turnover

rate

............................

43.81%

33.69%

34.68%

55.49%

41.58%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Includes

dividends

and/or

interest

expense

on

securities

sold

short

and

security

borrowing

fees,

if

any.

See

below

for

the

ratios

of

such

expenses

to

average

net

assets

for

the

periods

presented.

See

Note

1(d).

e

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

f

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

g

Rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 4

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$18.18

$18.98

$17.12

$20.12

$17.34

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.34 0.35 0.28 0.32 0.19 Net

realized

and

unrealized

gains

(losses)

...........

3.79 0.59 3.01 (1.51)

3.09 Total

from

investment

operations

....................

4.13 0.94 3.29 (1.19)

3.28 Less

distributions

from:

Net

investment

income

..........................

(0.35)

(0.31)

(0.43)

(0.23)

(0.50)

Net

realized

gains

.............................

(2.10)

(1.43)

(1.00)

(1.58)

—

Total

distributions

...............................

(2.45)

(1.74)

(1.43)

(1.81)

(0.50)

Net

asset

value,

end

of

year

.......................

$19.86

$18.18

$18.98

$17.12

$20.12

Total

return

c

...................................

23.25%

4.58%

20.13%

(4.85)%

18.98%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

d

....................................

1.26%

e

1.25%

1.25%

e,f

1.25%

e,f

1.32%

e,f

Expenses

-

incurred

in

connection

with

securities

sold

short

—%

—%

—%

g

—%

g

0.02%

Net

investment

income

...........................

1.74%

1.81%

1.52%

1.71%

0.95%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$19,507

$18,159

$20,592

$20,123

$25,930

Portfolio

turnover

rate

............................

43.81%

33.69%

34.68%

55.49%

41.58%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Includes

dividends

and/or

interest

expense

on

securities

sold

short

and

security

borrowing

fees,

if

any.

See

below

for

the

ratios

of

such

expenses

to

average

net

assets

for

the

periods

presented.

See

Note

1(d).

e

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

f

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

g

Rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments,

December

31,

2025

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund
franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks

#### 95.3%

#### Aerospace

#### &

#### Defense

#### 2.1%
Airbus

SE

.........................................

France

40,082

$

9,308,002

#### Automobile

#### Components

#### 1.1%
Denso

Corp.

.......................................

Japan

350,710

4,844,048

#### Automobiles

#### 2.9%
Stellantis

NV

.......................................

United

States

464,291

5,084,314

Toyota

Motor

Corp.

..................................

Japan

360,473

7,741,914

12,826,228

#### Banks

#### 9.2%
Bank

of

America

Corp.

...............................

United

States

162,259

8,924,245

BNP

Paribas

SA

....................................

France

113,459

10,734,020

DBS

Group

Holdings

Ltd.

.............................

Singapore

159,310

6,978,520

JPMorgan

Chase

&

Co.

...............................

United

States

18,241

5,877,615

Wells

Fargo

&

Co.

...................................

United

States

89,892

8,377,934

40,892,334

#### Beverages

#### 1.8%
Heineken

NV

......................................

Netherlands

94,683

7,812,003

#### Broadline

#### Retail

#### 1.5%
Pan

Pacific

International

Holdings

Corp.

..................

Japan

1,144,125

6,815,443

#### Building

#### Products

#### 1.6%
Cie

de

Saint-Gobain

SA

..............................

France

70,361

7,155,144

#### Capital

#### Markets

#### 3.3%
BlackRock,

Inc.

.....................................

United

States

6,454

6,907,974

Deutsche

Bank

AG

..................................

Germany

196,262

7,563,768

14,471,742

#### Chemicals

#### 3.3%
BASF

SE

.........................................

Germany

150,493

7,918,731

PPG

Industries,

Inc.

.................................

United

States

67,612

6,927,526

14,846,257

#### Consumer

#### Finance

#### 1.7%
Capital

One

Financial

Corp.

...........................

United

States

31,824

7,712,865

#### Containers

#### &

#### Packaging

#### 1.8%
International

Paper

Co.

...............................

United

States

200,031

7,879,221

#### Diversified

#### Telecommunication

#### Services

#### 2.0%
Deutsche

Telekom

AG

................................

Germany

280,097

9,117,453

#### Electrical

#### Equipment

#### 1.3%
Mitsubishi

Electric

Corp.

..............................

Japan

195,939

5,712,965

#### Energy

#### Equipment

#### &

#### Services

#### 1.4%
SLB

Ltd.

..........................................

United

States

165,231

6,341,566

#### Entertainment

#### 1.8%
Walt

Disney

Co.

(The)

................................

United

States

70,264

7,993,935

#### Financial

#### Services

#### 1.9%
a

Fiserv,

Inc.

........................................

United

States

62,841

4,221,030

Global

Payments,

Inc.

................................

United

States

57,115

4,420,701

8,641,731

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Food

#### Products

#### 3.0%
Danone

SA

........................................

France

68,525

$

6,180,893

Mondelez

International,

Inc.

,

A

..........................

United

States

132,033

7,107,336

13,288,229

#### Ground

#### Transportation

#### 1.6%
Union

Pacific

Corp.

..................................

United

States

30,376

7,026,576

#### Health

#### Care

#### Equipment

#### &

#### Supplies

#### 3.5%
Medtronic

plc

......................................

United

States

85,936

8,255,012

Zimmer

Biomet

Holdings,

Inc.

..........................

United

States

80,992

7,282,801

15,537,813

#### Health

#### Care

#### Providers

#### &

#### Services

#### 4.7%
CVS

Health

Corp.

...................................

United

States

85,436

6,780,201

Elevance

Health,

Inc.

................................

United

States

21,909

7,680,200

Fresenius

SE

&

Co.

KGaA

.............................

Germany

113,943

6,527,999

20,988,400

#### Household

#### Products

#### 1.8%
Reckitt

Benckiser

Group

plc

...........................

United

Kingdom

100,396

8,123,979

#### Industrial

#### Conglomerates

#### 1.1%
Siemens

AG

.......................................

Germany

17,497

4,900,500

#### Insurance

#### 1.9%
Prudential

plc

......................................

Hong

Kong

543,282

8,357,349

#### Interactive

#### Media

#### &

#### Services

#### 6.0%
Alphabet,

Inc.

,

A

....................................

United

States

38,892

12,173,196

Meta

Platforms,

Inc.

,

A

...............................

United

States

10,376

6,849,094

b

Tencent

Holdings

Ltd.

................................

China

99,745

7,654,784

26,677,074

#### IT

#### Services

#### 2.0%
Capgemini

SE

......................................

France

52,332

8,689,636

#### Media

#### 1.3%
a

Charter

Communications,

Inc.

,

A

........................

United

States

27,698

5,781,958

#### Metals

#### &

#### Mining

#### 1.4%
Rio

Tinto

plc

.......................................

Australia

77,694

6,258,333

#### Multi-Utilities

#### 1.2%
National

Grid

plc

....................................

United

Kingdom

350,985

5,383,577

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 4.8%
BP

plc

............................................

United

States

1,317,054

7,681,011

EOG

Resources,

Inc.

................................

United

States

62,159

6,527,317

Shell

plc

..........................................

United

States

197,581

7,281,305

21,489,633

#### Pharmaceuticals

#### 8.6%
Haleon

plc

........................................

United

States

1,790,608

9,048,625

Merck

&

Co.,

Inc.

...................................

United

States

86,529

9,108,042

Novartis

AG

,

ADR

...................................

United

States

73,936

10,193,556

Roche

Holding

AG

..................................

United

States

23,925

9,880,314

38,230,537

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 1.5%
a

Renesas

Electronics

Corp.

............................

Japan

496,966

6,806,870

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Software

#### 1.8%
a

Adobe,

Inc.

........................................

United

States

22,426

$

7,848,876

#### Specialized

#### REITs

#### 1.5%
American

Tower

Corp.

................................

United

States

38,017

6,674,645

#### Technology

#### Hardware,

#### Storage

#### &

#### Peripherals

#### 1.7%
Samsung

Electronics

Co.

Ltd.

..........................

South

Korea

92,284

7,734,774

#### Textiles,

#### Apparel

#### &

#### Luxury

#### Goods

#### 1.9%
Cie

Financiere

Richemont

SA

..........................

Switzerland

39,631

8,546,467

#### Tobacco

#### 2.0%
British

American

Tobacco

plc

...........................

United

Kingdom

159,694

9,053,158

#### Trading

#### Companies

#### &

#### Distributors

#### 3.3%
AerCap

Holdings

NV

.................................

Ireland

63,039

9,062,487

Ferguson

Enterprises,

Inc.

............................

United

States

25,230

5,616,955

14,679,442

#### Total

#### Common

#### Stocks

#### (Cost

#### $

#### 316,160,682

####)
...................................

#### 424,448,763

#### Principal

#### Amount

#### \*

#### Corporate

#### Bonds

#### 0.5%

#### Commercial

#### Services

#### &

#### Supplies

#### 0.2%
c

Neptune

Bidco

US,

Inc.

,

Senior

Secured

Note

,

144A,

10.375 %

,

5/15/31

.........................................

United

States

962,000

986,926

#### Specialty

#### Retail

#### 0.3%
c

Michaels

Cos.,

Inc.

(The)

,

Senior

Note

,

144A,

7.875 %

,

5/01/29

.

United

States

1,138,000

1,052,031

#### Total

#### Corporate

#### Bonds

#### (Cost

#### $

#### 1,728,754

####)
.....................................

#### 2,038,957
d

#### Senior

#### Floating

#### Rate

#### Interests

#### 1.8%
e

#### Commercial

#### Services

#### &

#### Supplies

#### 0.9%
Neptune

Bidco

US,

Inc.,

First

Lien,

CME

Term

Loan,

A

,

8.762 %

,

(3-month

SOFR

+

4.75 %),

10/11/28

....................

United

States

2,332,883

2,307,571

Neptune

Bidco

US,

Inc.,

First

Lien,

Dollar

CME

Term

Loan,

B

,

9.012 %

,

(3-month

SOFR

+

%),

4/11/29

.................

United

States

1,760,539

1,744,914

4,052,485

a

a

a

a

a

a

#### Professional

#### Services

#### 0.4%
e

CoreLogic,

Inc.,

First

Lien,

Initial

CME

Term

Loan

,

7.331 %

,

(1-month

SOFR

+

3.5 %),

6/02/28

......................

United

States

1,942,088

1,946,496

#### Specialty

#### Retail

#### 0.5%
e

Michaels

Cos.,

Inc.

(The),

First

Lien,

CME

Term

Loan,

B

,

8.184 %

,

(3-month

SOFR

+

4.25 %),

4/17/28

.....................

United

States

2,282,120

2,212,150

#### Total

#### Senior

#### Floating

#### Rate

#### Interests

#### (Cost

#### $

#### 7,665,071

####)
.........................

#### 8,211,131

#### Shares
a

#### Companies

#### in

#### Liquidation

#### 0.0%
a,f,g

Walter

Energy,

Inc.,

Litigation

Trust,

Contingent

Distribution

....

United

States

966,000

—

#### Total

#### Companies

#### in

#### Liquidation

#### (Cost

#### $

#### –

####)
....................................

#### —

#### Total

#### Long

#### Term

#### Investments

#### (Cost

#### $

#### 325,554,507

####)
.............................

#### 434,698,851

#### a
Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

See

Abbreviations

on

.

#### Short

#### Term

#### Investments

#### 1.9%
a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Money

#### Market

#### Funds

#### 1.9%
h,i

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

.........................................

United

States

8,550,178

$

8,550,178

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $

#### 8,550,178

####)
.................................

#### 8,550,178

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $

#### 8,550,178

####)
...............................

#### 8,550,178

#### a

#### Total

#### Investments

#### (Cost

#### $

#### 334,104,685

####)
99.5 #### %
.................................

#### $443,249,029

#### Other

#### Assets,

#### less

#### Liabilities
0.5 #### %
...........................................

#### 2,129,145

#### Net

#### Assets

#### 100.0%

#### .........................................................

#### $445,378,174

#### a
\*

The

principal

amount

is

stated

in

U.S.

dollars

unless

otherwise

indicated.

a

Non-income

producing.

b

Variable

interest

entity

(VIE).

See

Note

regarding

investments

made

through

a

VIE

structure.

At

December

31,

2025,

the

value

of

this

security

was

$7,654,784,

represent-

ing

1.7%

of

net

assets.

c

Security

was

purchased

pursuant

to

Rule

144A

or

Regulation

S

under

the

Securities

Act

of

1933. 144A

securities

may

be

sold

in

transactions

exempt

from

registration

only

to

qualified

institutional

buyers

or

in

a

public

offering

registered

under

the

Securities

Act

of

1933. Regulation

S

securities

cannot

be

sold

in

the

United

States

without

either

an

effective

registration

statement

filed

pursuant

to

the

Securities

Act

of

1933,

or

pursuant

to

an

exemption

from

registration.

At

December

31,

2025,

the

aggregate

value

of

these

securities

was

$2,038,957,

representing

0.5%

of

net

assets.

d

See

Note

1(f)

regarding

senior

floating

rate

interests.

e

The

coupon

rate

shown

represents

the

rate

inclusive

of

any

caps

or

floors,

if

applicable,

in

effect

at

period

end.

f

Fair

valued

using

significant

unobservable

inputs.

See

Note

regarding

fair

value

measurements.

g

Contingent

distributions

represent

the

right

to

receive

additional

distributions,

if

any,

during

the

reorganization

of

the

underlying

company.

Shares

represent

total

underlying

principal

of

debt

securities.

h

See

Note

3(e)

regarding

investments

in

affiliated

management

investment

companies.

i

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Assets

and

Liabilities

December

31,

2025

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund
Assets:

Investments

in

securities:

Cost

-

Unaffiliated

issuers

...................................................................

$325,554,507

Cost

-

Non-controlled

affiliates

(Note

e)

........................................................

8,550,178

Value

-

Unaffiliated

issuers

..................................................................

$434,698,851

Value

-

Non-controlled

affiliates

(Note

e)

.......................................................

8,550,178

Cash

....................................................................................

531,898

Receivables:

Investment

securities

sold

...................................................................

1,672,142

Capital

shares

sold

........................................................................

747,638

Dividends

and

interest

.....................................................................

1,267,150

European

Union

tax

reclaims

(Note

g)

.........................................................

334,747

Total

assets

..........................................................................

447,802,604

Liabilities:

Payables:

Investment

securities

purchased

..............................................................

1,489,034

Capital

shares

redeemed

...................................................................

430,457

Management

fees

.........................................................................

327,977

Distribution

fees

..........................................................................

93,934

Trustees'

fees

and

expenses

.................................................................

Accrued

expenses

and

other

liabilities

...........................................................

82,969

Total

liabilities

.........................................................................

2,424,430

Net

assets,

at

value

.................................................................

$445,378,174

Net

assets

consist

of:

Paid-in

capital

.............................................................................

$289,621,529

Total

distributable

earnings

(losses)

.............................................................

155,756,645

Net

assets,

at

value

.................................................................

$445,378,174

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund

#### Class

#### 1:
Net

assets,

at

value

.......................................................................

$9,034,385

Shares

outstanding

........................................................................

449,878

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$20.08

#### Class

#### 2:
Net

assets,

at

value

.......................................................................

$416,836,722

Shares

outstanding

........................................................................

21,865,497

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$19.06

#### Class

#### 4:
Net

assets,

at

value

.......................................................................

$19,507,067

Shares

outstanding

........................................................................

982,281

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$19.86

a

Net

asset

value

per

share

may

not

recalculate

due

to

rounding.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Operations

for

the

year

ended

December

31,

2025

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund
Investment

income:

Dividends:

(net

of

foreign

taxes

of

$361,082)

Unaffiliated

issuers

........................................................................

$10,932,232

Non-controlled

affiliates

(Note

e)

.............................................................

220,813

Interest:

Unaffiliated

issuers

........................................................................

1,640,959

Income

from

securities

loaned:

Unaffiliated

entities

(net

of

fees

and

rebates)

.....................................................

(3,573)

Non-controlled

affiliates

(Note

e)

.............................................................

4,005

Other

income

(Note

g)

......................................................................

9,157

Total

investment

income

...................................................................

12,803,593

Expenses:

Management

fees

(Note

a)

...................................................................

3,731,611

Distribution

fees:

(Note

3c)

Class

................................................................................

1,003,090

Class

................................................................................

66,343

Custodian

fees

............................................................................

14,368

Reports

to

shareholders

fees

..................................................................

19,850

Professional

fees

...........................................................................

88,055

Trustees'

fees

and

expenses

..................................................................

4,747

Other

....................................................................................

34,419

Total

expenses

.........................................................................

4,962,483

Expenses

waived/paid

by

affiliates

(Note

e)

...................................................

(9,317)

Net

expenses

.........................................................................

4,953,166

Net

investment

income

................................................................

7,850,427

Realized

and

unrealized

gains

(losses):

Net

realized

gain

(loss)

from:

Investments:

Unaffiliated

issuers

......................................................................

44,466,112

Foreign

currency

transactions

................................................................

52,404

Forward

exchange

contracts

.................................................................

(1,305,392)

Futures

contracts

.........................................................................

(795,263)

Net

realized

gain

(loss)

..................................................................

42,417,861

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments:

Unaffiliated

issuers

......................................................................

40,210,523

Translation

of

other

assets

and

liabilities

denominated

in

foreign

currencies

..............................

75,606

Forward

exchange

contracts

.................................................................

(1,127,091)

Futures

contracts

.........................................................................

(205,145)

Net

change

in

unrealized

appreciation

(depreciation)

............................................

38,953,893

Net

realized

and

unrealized

gain

(loss)

............................................................

81,371,754

Net

increase

(decrease)

in

net

assets

resulting

from

operations

..........................................

$89,222,181

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statements

of

Changes

in

Net

Assets

December

31,

2025

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024
Increase

(decrease)

in

net

assets:

Operations:

Net

investment

income

.................................................

$7,850,427

$8,158,676

Net

realized

gain

(loss)

.................................................

42,417,861

41,706,794

Net

change

in

unrealized

appreciation

(depreciation)

...........................

38,953,893

(29,207,713)

Net

increase

(decrease)

in

net

assets

resulting

from

operations

................

89,222,181

20,657,757

Distributions

to

shareholders:

Class

.............................................................

(943,638)

(475,761)

Class

.............................................................

(49,293,852)

(35,999,643)

Class

.............................................................

(2,221,460)

(1,651,779)

Total

distributions

to

shareholders

..........................................

(52,458,950)

(38,127,183)

Capital

share

transactions:

(Note

2)

Class

.............................................................

3,448,020

1,093,247

Class

.............................................................

1,796,298

(16,599,193)

Class

.............................................................

(374,472)

(1,746,150)

Total

capital

share

transactions

............................................

4,869,846

(17,252,096)

Net

increase

(decrease)

in

net

assets

...................................

41,633,077

(34,721,522)

Net

assets:

Beginning

of

year

.......................................................

403,745,097

438,466,619

End

of

year

...........................................................

$445,378,174

$403,745,097

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund

franklintempleton.com

Annual

Report

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
Franklin

Templeton

Variable

Insurance

Products

Trust

(Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-end

management

investment

company,

consisting

of seventeen separate

funds.

The Trust

follows the

accounting

and

reporting

guidance

in

Financial

Accounting

Standards

Board

(FASB)

Accounting

Standards

Codification

Topic

946,

Financial

Services

–

Investment

Companies

(ASC

946)

and

applies

the

specialized

accounting

and

reporting

guidance

in

U.S.

Generally

Accepted

Accounting

Principles

(U.S.

GAAP),

including,

but

not

limited

to,

ASC

946. Franklin

Mutual

Global

Discovery

VIP

Fund

(Fund)

is

included

in

this

report.

Shares

of

the

Fund

are

generally

sold

only

to

insurance

company

separate

accounts

to

fund

the

benefits

of

variable

life

insurance

policies

or

variable

annuity

contracts. At

December

31,

2025,

43.6%

of

the

Fund's

shares

were

held

through

one

insurance

company.

Investment

activities

of

these

insurance

company

separate

accounts

could

have

a

material

impact

on

the

Fund.

The

Fund

offers three classes

of

shares:

Class

1,

Class

and

Class

4. Each

class

of

shares

may

differ

by

its

distribution

fees,

voting

rights

on

matters

affecting

a

single

class

and

its

exchange

privilege.

The

following

summarizes

the Fund's

significant

accounting

policies.

a. #### Financial

#### Instrument

#### Valuation
The

Fund's

investments

in

financial

instruments

are

carried

at

fair

value

daily.

Fair

value

is

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

market

participants

on

the

measurement

date.

The

Fund

calculates

the

net

asset

value

(NAV)

per

share

each business

day as

of

p.m.

Eastern

time

or

the

regularly

scheduled

close

of

the

New

York

Stock

Exchange

(NYSE),

whichever

is

earlier.

Under

compliance

policies

and

procedures

approved

by

the Trust's

Board

of

Trustees

(the

Board),

the

Board

has

designated

the

Fund's

investment

manager

as

the

valuation

designee

and

has

responsibility

for

oversight

of

valuation.

The

investment

manager

is

assisted

by

the

Fund's

administrator

in

performing

this

responsibility,

including

leading

the

cross-

functional

Valuation

Committee

(VC).

The

Fund

may

utilize

independent

pricing

services,

quotations

from

securities

and

financial

instrument

dealers,

and

other

market

sources

to

determine

fair

value.

Equity

securities

and

derivative

financial instruments listed

on

an

exchange

or

on

the

NASDAQ

National

Market

System

are

valued

at

the

last

quoted

sale

price

or

the

official

closing

price of

the

day,

respectively. Foreign

equity

securities

are

valued

as

of

the

close

of

trading

on

the

foreign

stock

exchange

on

which

the

security

is

primarily

traded,

or

as

of

p.m.

Eastern

time.

The

value

is

then

converted

into

its

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

p.m.

Eastern

time

on

the

day

that

the

value

of

the

security

is

determined.

Over-the-counter

(OTC)

securities

are

valued

within

the

range

of

the

most

recent

quoted

bid

and

ask

prices.

Securities

that

trade

in

multiple

markets

or

on

multiple

exchanges

are

valued

according

to

the

broadest

and

most

representative

market.

Certain

equity

securities

are

valued

based

upon

fundamental

characteristics

or

relationships

to

similar

securities.

Debt

securities

generally

trade

in

the OTC

market

rather

than

on

a

securities

exchange.

The

Fund's

pricing

services

use

multiple

valuation

techniques

to

determine

fair

value.

In

instances

where

sufficient

market

activity

exists,

the

pricing

services

may

utilize

a

market-based

approach

through

which

quotes

from

market

makers

are

used

to

determine

fair

value.

In

instances

where

sufficient

market

activity

may

not

exist

or

is

limited,

the

pricing

services

also

utilize

proprietary

valuation

models

which

may

consider

market

characteristics

such

as

benchmark

yield

curves,

credit

spreads,

estimated

default

rates,

anticipated

market

interest

rate

volatility,

coupon

rates,

anticipated

timing

of

principal

repayments,

underlying

collateral,

and

other

unique

security

features

in

order

to

estimate

the

relevant

cash

flows,

which

are

then

discounted

to

calculate

the

fair

value.

Investments

in open-end mutual

funds

are

valued

at

the

closing

NAV.

Certain

derivative

financial

instruments

trade

in

the

OTC

market.

The

Fund's

pricing

services

use

various

techniques

including

industry

standard

option

pricing

models

and

proprietary

discounted

cash

flow

models

to

determine

the

fair

value

of

those

instruments.

The

Fund's

net

benefit

or

obligation

under

the

derivative

contract,

as

measured

by

the

fair

value

of

the

contract,

is

included

in

net

assets.

The

Fund

has

procedures

to

determine

the

fair

value

of

financial

instruments

for

which

market

prices

are

not

reliable

or

readily

available.

Under

these

procedures,

the Fund

primarily

employs

a

market-based

approach

which

may

use

related

or

comparable

assets

or

liabilities,

recent

transactions,

market

multiples,

and

other

relevant

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund
(continued)

information

for

the

investment

to

determine

the

fair

value

of

the

investment.

An

income-based

valuation

approach

may

also

be

used

in

which

the

anticipated

future

cash

flows

of

the

investment

are

discounted

to

calculate

fair

value.

Discounts

may

also

be

applied

due

to

the

nature

or

duration

of

any

restrictions

on

the

disposition

of

the

investments.

Due

to

the

inherent

uncertainty

of

valuations

of

such

investments,

the

fair

values

may

differ

significantly

from

the

values

that

would

have

been

used

had

an

active

market

existed.

Trading

in

securities

on

foreign

securities

stock

exchanges

and

OTC

markets

may

be

completed

before

p.m.

Eastern

time.

In

addition,

trading

in

certain

foreign

markets

may

not

take

place

on

every

Fund's

business

day. Events

can occur

between

the

time

at

which

trading

in

a

foreign

security

is

completed

and

p.m.

Eastern

time

that

might

call

into

question

the

reliability

of

the

value

of

a

portfolio

security

held

by

the

Fund.

As

a

result,

differences

may

arise

between

the

value

of

the

Fund's

portfolio

securities

as

determined

at

the

foreign

market

close

and

the

latest

indications

of

value

at

p.m.

Eastern

time. In

order

to

minimize

the

potential

for

these

differences,

an

independent

pricing

service

may

be

used

to

adjust

the

value

of

the

Fund's

portfolio

securities

to

the

latest

indications

of

fair

value

at

p.m.

Eastern

time.

At

December

31,

2025,

certain

securities

may

have

been

fair

valued

using

these

procedures,

in

which

case

the

securities

were

categorized

as

Level

within

the

fair

value

hierarchy

(referred

to

as

"market

level

fair

value").

See

the

Fair

Value

Measurements

note

for

more

information.

When

the

last

day

of

the

reporting

period

is

a

non-business

day,

certain

foreign

markets

may

be

open

on

those

days

that

the

Fund's

NAV

is

not

calculated,

which

could

result

in

differences

between

the

value

of

the

Fund's

portfolio

securities

on

the

last

business

day

and

the

last

calendar

day

of

the

reporting

period.

Any

security

valuation

changes

due

to

an

open

foreign

market

are

adjusted

and

reflected

by

the

Fund

for

financial

reporting

purposes.

b. #### Foreign

#### Currency

#### Translation
Portfolio

securities

and

other

assets

and

liabilities

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

based

on

the

exchange

rate

of

such

currencies

against

U.S.

dollars

on

the

date

of

valuation.

The

Fund

may

enter

into

foreign

currency

exchange

contracts

to

facilitate

transactions

denominated

in

a

foreign

currency.

Purchases

and

sales

of

securities,

income

and

expense

items

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

at

the

exchange

rate

in

effect

on

the

transaction

date.

Portfolio

securities

and

assets

and

liabilities

denominated

in

foreign

currencies

contain

risks

that

those

currencies

will

decline

in

value

relative

to

the

U.S.

dollar.

Occasionally,

events

may

impact

the

availability

or

reliability

of

foreign

exchange

rates

used

to

convert

the

U.S.

dollar

equivalent

value.

If

such

an

event

occurs,

the

foreign

exchange

rate

will

be

valued

at

fair

value

using

procedures

established

and

approved

by

the

Board.

The

Fund

does

not

separately

report

the

effect

of

changes

in

foreign

exchange

rates

from

changes

in

market

prices

on

securities

held.

Such

changes

are

included

in

net

realized

and

unrealized

gain

or

loss

from

investments

in

the

Statement of

Operations.

Realized

foreign

exchange

gains

or

losses

arise

from

sales

of

foreign

currencies,

currency

gains

or

losses

realized

between

the

trade

and

settlement

dates

on

securities

transactions

and

the

difference

between

the

recorded

amounts

of

dividends,

interest,

and

foreign

withholding

taxes

and

the

U.S.

dollar

equivalent

of

the

amounts

actually

received

or

paid.

Net

unrealized

foreign

exchange

gains

and

losses

arise

from

changes

in

foreign

exchange

rates

on

foreign

denominated

assets

and

liabilities

other

than

investments

in

securities

held

at

the

end

of

the

reporting

period.

c. #### Derivative

#### Financial

#### Instruments
The

Fund invested

in

derivative

financial

instruments

in

order

to

manage

risk

or

gain

exposure

to

various

other

investments

or

markets.

Derivatives

are

financial

contracts

based

on

an

underlying

or

notional

amount,

require

no

initial

investment

or

an

initial

net

investment

that

is

smaller

than

would

normally

be

required

to

have

a

similar

response

to

changes

in

market

factors,

and

require

or

permit

net

settlement.

Derivatives

contain

various

risks

including

the

potential

inability

of

the

counterparty

to

fulfill

their

obligations

under

the

terms

of

the

contract,

the

potential

for

an

illiquid

secondary

market,

and/or

the

potential

for

market

movements

which

expose

the

Fund

to

gains

or

losses

in

excess

of

the

amounts

shown

in

the

Statement

of

Assets

and

Liabilities.

Realized

gain

and

loss

and

unrealized

appreciation

and

depreciation

on

these

contracts

for

the

period

are

included

in

the

Statement

of

Operations.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

a. #### Financial

#### Instrument

#### Valuation
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund
(continued)

Derivative

counterparty

credit

risk

is

managed

through

a

formal

evaluation

of

the

creditworthiness

of

all

potential

counterparties.

The

Fund

attempts

to

reduce

its

exposure

to

counterparty

credit

risk

on

OTC

derivatives,

whenever

possible,

by

entering

into

International

Swaps

and

Derivatives

Association

(ISDA)

master

agreements

with

certain

counterparties.

These

agreements

contain

various

provisions,

including

but

not

limited

to

collateral

requirements,

events

of

default,

or

early

termination.

Termination

events

applicable

to

the

counterparty

include

certain

deteriorations

in

the

credit

quality

of

the

counterparty.

Termination

events

applicable

to

the

Fund

include

failure

of

the

Fund

to

maintain

certain

net

asset

levels

and/or

limit

the

decline

in

net

assets

over

various

periods

of

time.

In

the

event

of

default

or

early

termination,

the

ISDA

master

agreement

gives

the

non-defaulting

party

the

right

to

net

and

close-out

all

transactions

traded,

whether

or

not

arising

under

the

ISDA

agreement,

to

one

net

amount

payable

by

one

counterparty

to

the

other.

However,

absent

an

event

of

default

or

early

termination,

OTC

derivative

assets

and

liabilities

are

presented

gross

and

not

offset

in

the

Statement

of

Assets

and

Liabilities.

Early

termination

by

the

counterparty

may

result

in

an

immediate

payment

by

the

Fund

of

any

net

liability

owed

to

that

counterparty

under

the

ISDA

agreement.

At

December

31,

2025,

the

Fund

had

no

OTC

derivatives

in

a

net

liability

position

for

such

contracts.

Collateral

requirements

differ

by

type

of

derivative.

Collateral

or

initial

margin

requirements

are

set

by

the

broker

or

exchange

clearing

house

for

exchange

traded

and

centrally

cleared

derivatives.

Initial

margin

deposited

is

held

at

the

exchange

or

at

the

broker and

can

be

in

the

form

of

cash

and/or

securities.

For

OTC

derivatives

traded

under

an

ISDA

master

agreement,

posting

of

collateral

is

required

by

either

the

Fund

or

the

applicable

counterparty

if

the

total

net

exposure

of

all

OTC

derivatives

with

the

applicable

counterparty

exceeds

the

minimum

transfer

amount,

which

typically

ranges

from

$100,000

to

$250,000,

and

can

vary

depending

on

the

counterparty

and

the

type

of agreement.

Generally,

collateral

is

determined

at

the

close

of

Fund

business

each

day

and

any

additional

collateral

required

due

to

changes

in

derivative

values

may

be

delivered

by

the

Fund

or

the

counterparty

the

next

business

day,

or

within

a

few

business

days.

Collateral

pledged

and/or

received

by

the

Fund

for

OTC

derivatives,

if

any,

is

held

in

segregated

accounts

with

the

Fund's

custodian/counterparty

broker

and

can

be

in

the

form

of

cash

and/or

securities.

Unrestricted

cash

may

be

invested

according

to

the

Fund's

investment

objectives.

To

the

extent

that

the

amounts

due

to

the

Fund

from

its

counterparties

are

not

subject

to

collateralization

or

are

not

fully

collateralized,

the

Fund

bears

the

risk

of

loss

from

counterparty

non-performance.

The

Fund

entered

into

exchange

traded

futures

contracts

primarily

to

manage

and/or

gain

exposure

to

certain

foreign

currencies.

A

futures

contract

is

an

agreement

between

the

Fund

and

a

counterparty

to

buy

or

sell

an

asset

at

a

specified

price

on

a

future

date.

Required

initial

margins

are

pledged

by

the

Fund,

and

the

daily

change

in

fair

value

is

accounted

for

as

a

variation

margin

payable

or

receivable

in

the

Statement

of

Assets

and

Liabilities.

Futures

contracts

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

The

Fund entered

into

OTC

forward

exchange

contracts

primarily

to

manage

and/or

gain exposure

to

certain

foreign

currencies.

A

forward

exchange

contract

is

an

agreement

between

the

Fund

and

a

counterparty

to

buy

or

sell

a

foreign

currency at

a

specific

exchange

rate

on

a

future

date.

Forward

exchange

contracts

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

See

Note

regarding

other

derivative

information.

d. #### Securities

#### Sold

#### Short
The

Fund

is engaged

in

selling

securities

short,

which

obligates

the

Fund

to

replace

a

borrowed

security

with

the

same

security

at

current

fair

value.

The

Fund

incurs

a

loss

if

the

price

of

the

security

increases

between

the

date

of

the

short

sale

and

the

date

on

which

the

Fund

replaces

the

borrowed

security.

The

Fund

realizes

a

gain

if

the

price

of

the

security

declines

between

those

dates.

Gains

are

limited

to

the

price

at

which

the

Fund

sold

the

security

short,

while

losses

are

potentially

unlimited

in

size.

The

Fund

is

required

to

establish

a

margin

account

with

the

broker

lending

the

security

sold

short.

While

the

short

sale

is

outstanding,

the

broker

retains

the

proceeds

of

the

short

sale

to

the

extent

necessary

to

meet

margin

requirements

until

the

short

position

is

closed

out.

A

deposit

must

also

be

maintained

with

the

Fund's

custodian/counterparty

broker

consisting

of

cash

and/or

securities

having

a

value

equal

to

a

specified

percentage

of

the

value

of

the

securities

sold

short.

The

Fund

may

receive

income

from

the

investment

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

c. #### Derivative

#### Financial

#### Instruments
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund
(continued)

of

cash

collateral.

The

Fund

is

obligated

to

pay

fees

for

borrowing

the

securities

sold

short

and

is

required

to

pay

the

counterparty

any

dividends

and/or

interest

due

on

securities

sold

short.

Such

dividends

and/or

interest

and

any

security

borrowing

fees

are

recorded

as

an

expense

to

the

Fund.

At

December

31,

2025,

the

Fund

had

no

securities

sold

short.

e. #### Securities

#### Lending
The

Fund

participates

in

an

agency

based

securities

lending

program

to

earn

additional

income.

The

Fund

receives

collateral

in

the

form

of

cash

and/or

U.S.

Government

and

Agency

securities

against

the

loaned

securities

in

an

amount

equal

to

at

least

102%

of

the

fair

value

of

the

loaned

securities.

Collateral

is

maintained

over

the

life

of

the

loan

in

an

amount

not

less

than

100%

of

the

fair

value

of

loaned

securities,

as

determined

at

the

close

of

Fund

business

each

day;

any

additional

collateral

required

due

to

changes

in

security

values

is

delivered

to

the

Fund

on

the

next

business

day.

The

Fund

may

receive

income

from

the

investment

of

cash

collateral,

in

addition

to

lending

fees

paid

by

the

borrower.

Income

from

securities

loaned,

net

of

fees

paid

to

the

securities

lending

agent

and/or

third-party

vendor,

is

reported

separately

in

the

Statement

of

Operations.

The

Fund

bears

the

market

risk

with

respect

to any

cash collateral

investment,

securities

loaned,

and

the

risk

that

the

agent

may

default

on

its

obligations

to

the

Fund.

If

the

borrower

defaults

on

its

obligation

to

return

the

securities

loaned,

the

Fund

has

the

right

to

repurchase

the

securities

in

the

open

market

using

the

collateral

received.

The

securities

lending

agent

has

agreed

to

indemnify

the

Fund

in

the

event

of

default

by

a

third

party

borrower.

Securities

on

loan

outstanding

at

period

end,

if

any,

are

listed

in

the

Funds'

Schedule

of

Investments.

f. #### Senior

#### Floating

#### Rate

#### Interests
The

Fund

invests

in

senior

secured

corporate

loans

that

pay

interest

at

rates

which

are

periodically

reset

by

reference

to

a

base

lending

rate

plus

a

spread.

These

base

lending

rates

are

generally

the

prime

rate

offered

by

a

designated

U.S.

bank

or

the

Secured

Overnight

Financing

Rate

(SOFR).

Senior

secured

corporate

loans

often

require

prepayment

of

principal

from

excess

cash

flows

or

at

the

discretion

of

the

borrower.

As

a

result,

actual

maturity

may

be

substantially

less

than

the

stated

maturity.

Senior

secured

corporate

loans

in

which

the Fund

invests

are

generally

readily

marketable,

but

may

be

subject

to

certain

restrictions

on

resale.

g. #### Income

#### and

#### Deferred

#### Taxes
It

is the Fund's

policy

to

qualify

as

a

regulated

investment

company

under

the

Internal

Revenue

Code. The Fund

intends

to

distribute

to

shareholders

substantially

all

of

its

taxable

income

and

net

realized

gains

to

relieve

it

from

federal

income

and if

applicable,

excise

taxes.

As

a

result,

no

provision

for

U.S.

federal

income

taxes

is

required.

The

Fund

may

be

subject

to

foreign

taxation

related

to

income

received,

capital

gains

on

the

sale

of

securities

and

certain

foreign

currency

transactions

in

the

foreign

jurisdictions

in

which

it

invests.

Foreign

taxes,

if

any,

are

recorded

based

on

the

tax

regulations

and

rates

that

exist

in

the

foreign

markets

in

which

the

Fund

invests.

When

a

capital

gain

tax

is

determined

to

apply,

the

Fund

records

an

estimated

deferred

tax

liability

in

an

amount

that

would

be

payable

if

the

securities

were

disposed

of

on

the

valuation

date.

As

a

result

of

several

court

cases,

in

certain

countries

across

the

European

Union,

the

Fund

filed

additional

tax

reclaims

for

previously

withheld

taxes

on

dividends

earned

in

those

countries

(EU

reclaims). Income

recognized,

if

any,

for

EU

reclaims

is

reflected

as

other

income

in

the

Statement

of

Operations

and

any

related

receivable,

if

any,

is

reflected

as

European

Union

tax

reclaims

in

the

Statement

of

Assets

and

Liabilities.

Any

fees

associated

with

these

filings

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

When

uncertainty

exists

as

to

the

ultimate

resolution

of

these

proceedings,

the

likelihood

of

receipt

of

these

EU

reclaims,

and

the

potential

timing

of

payment,

no

amounts

are

reflected

in

the

financial

statements.

For

U.S.

income

tax

purposes,

when

EU

reclaims

are

received

by

the

Fund

and

the

Fund

previously

passed

foreign

tax

credit

on

to

its

shareholders,

the

Fund

will

enter

into

a

closing

agreement

with

the

Internal

Revenue

Service

(IRS)

in

order

to

pay

the

associated

tax

liability

on

behalf

of

the

Fund's

shareholders.

The Fund

may

recognize

an

income

tax

liability

related

to

its

uncertain

tax

positions

under

U.S.

GAAP

when

the

uncertain

tax

position

has

a

less

than

50%

probability

that

it

will

be

sustained

upon

examination

by

the

tax

authorities

based

on

its

technical

merits.

As

of

December

31,

2025, the Fund

has

determined

that

no

tax

liability

is

required

in

its

financial

statements

related

to

uncertain

tax

positions

for

any

open

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

d. #### Securities

#### Sold

#### Short
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund
(continued)

tax

years

(or

expected

to

be

taken

in

future

tax

years).

The

Fund's

federal

and

state

income

and

federal

excise

tax

returns

for

the

prior

three

fiscal

years

are

subject

to

examination

by

the

Internal

Revenue

Service

and

state

departments

of

revenue.

h. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
Security

transactions

are

accounted

for

on

trade

date.

Realized

gains

and

losses

on

security

transactions

are

determined

on

a

specific

identification

basis.

Interest

income

(including

interest

income

from

payment-in-kind

securities,

if

any)

and

estimated

expenses

are

accrued

daily.

Amortization

of

premium

and

accretion

of

discount

on

debt

securities

are

included

in

interest

income.

Paydown

gains

and

losses

are

recorded

as

an

adjustment

to

interest

income.

The

Fund

may

receive

other

income

from

investments

in

senior

secured

corporate

loans

or

unfunded

commitments,

including

amendment

fees,

consent

fees

or

commitment

fees.

These

fees

are

recorded

as

income

when

received

by

the

Fund. Facility

fees

are

recognized

as

income

over

the

expected

term

of

the

loan. Dividend

income

and

dividends

declared

on

securities

sold

short

are

recorded

on

the

ex-

dividend

date

except

for

certain

dividends

from

securities

where

the

dividend

rate

is

not

available.

In

such

cases,

the

dividend

is

recorded

as

soon

as

the

information

is

received

by

the

Fund.

Distributions

to

shareholders

are

recorded

on

the ex-dividend

date.

Distributable

earnings

are

determined

according

to

income

tax

regulations

(tax

basis)

and

may

differ

from

earnings

recorded

in

accordance

with

U.S.

GAAP.

These

differences

may

be

permanent

or

temporary.

Permanent

differences

are

reclassified

among

capital

accounts

to

reflect

their

tax

character.

These

reclassifications

have

no

impact

on

net

assets

or

the

results

of

operations.

Temporary

differences

are

not

reclassified,

as

they

may

reverse

in

subsequent

periods.

Common

expenses

incurred

by

the

Trust

are

allocated

among

the

Funds

based

on

the

ratio

of

net

assets

of

each

Fund

to

the

combined

net

assets

of

the

Trust

or

based

on

the

ratio

of

number

of

shareholders

of

each

Fund

to

the

combined

number

of

shareholders

of

the

Trust.

Fund

specific

expenses

are

charged

directly

to

the

Fund

that

incurred

the

expense.

Realized

and

unrealized

gains

and

losses

and

net

investment

income,

excluding

class

specific

expenses,

are

allocated

daily

to

each

class

of

shares

based

upon

the

relative

proportion

of

net

assets

of

each

class.

Differences

in

per

share

distributions

by

class

are

generally

due

to

differences

in

class

specific

expenses.

i. #### Accounting

#### Estimates
The

preparation

of

financial

statements

in

accordance

with

U.S.

GAAP

requires

management

to

make

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

amounts

of

income

and

expenses

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

j. #### Guarantees

#### and

#### Indemnifications
Under

the Trust's

organizational

documents,

its

officers

and trustees

are

indemnified

by

the Trust against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Trust.

Additionally,

in

the

normal

course

of

business,

the Trust,

on

behalf

of

the

Fund, enters

into

contracts

with

service

providers

that

contain

general

indemnification

clauses.

The Trust's

maximum

exposure

under

these

arrangements

is

unknown

as

this

would

involve

future

claims

that

may

be

made

against

the Trust

that

have

not

yet

occurred.

Currently,

the Trust

expects

the

risk

of

loss

to

be

remote.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

g. #### Income

#### and

#### Deferred

#### Taxes
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund
(continued)

2. #### Shares

#### of

#### Beneficial

#### Interest
At

December

31,

2025,

there

were

an

unlimited

number

of

shares

authorized

(without

par

value).

Transactions

in

the

Fund's

shares

were

as

follows:

3. #### Transactions

#### with

#### Affiliates
Franklin

Resources,

Inc.

is

the

holding

company

for

various

subsidiaries

that

together

are

referred

to

as

Franklin

Templeton.

Certain

officers

and trustees

of

the Fund are

also

officers

and/or directors

of

the

following

subsidiaries:

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### 1

#### Shares:
Shares

sold

...................................

253,918

$5,121,041

77,967

$1,534,206

Shares

issued

in

reinvestment

of

distributions

..........

48,741

943,638

24,818

475,761

Shares

redeemed

...............................

(139,015)

(2,616,659)

(48,034)

(916,720)

Net

increase

(decrease)

..........................

163,644

$3,448,020

54,751

$1,093,247

#### Class

#### 2

#### Shares:
Shares

sold

...................................

744,555

$14,162,039

473,002

$8,816,674

Shares

issued

in

reinvestment

of

distributions

..........

2,680,470

49,293,852

1,965,046

35,999,643

Shares

redeemed

...............................

(3,241,552)

(61,659,593)

(3,253,096)

(61,415,510)

Net

increase

(decrease)

..........................

183,473

$1,796,298

(815,048)

$(16,599,193)

#### Class

#### 4

#### Shares:
Shares

sold

...................................

72,986

$1,440,099

27,437

$527,112

Shares

issued

in

reinvestment

of

distributions

..........

115,943

2,221,460

86,936

1,651,779

Shares

redeemed

...............................

(205,344)

(4,036,031)

(200,358)

(3,925,041)

Net

increase

(decrease)

..........................

(16,415)

$(374,472)

(85,985)

$(1,746,150)

#### Subsidiary

#### Affiliation
Franklin

Mutual

Advisers,

LLC

(Franklin

Mutual)

Investment

manager

Franklin

Templeton

Services,

LLC

(FT

Services)

Administrative

manager

Franklin

Distributors,

LLC

(Distributors)

Principal

underwriter

Franklin

Templeton

Investor

Services,

LLC

(Investor

Services)

Transfer

agent

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund
(continued)

a. #### Management

#### Fees
The

Fund

pays

an

investment

management fee,

calculated

daily and

paid

monthly,

to

Franklin

Mutual

based

on the

average

daily

net

assets

of

the

Fund

as

follows:

For

the

year

ended

December

31,

2025,

the

gross

effective

investment

management

fee

rate

was 0.875%

of

the

Fund's

average daily

net

assets.

b. #### Administrative

#### Fees
Under

an

agreement

with

Franklin

Mutual,

FT

Services

provides

administrative

services

to

the

Fund.

The

fee

is

paid

by

Franklin

Mutual

based

on

the

Fund's

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Fund.

c. #### Distribution

#### Fees
The

Board

has

adopted distribution

plans

for

Class

2 and

Class

shares

pursuant

to

Rule

12b-1

under

the

1940

Act.

Under

the

Fund's

compensation

distribution

plans,

the

Fund

pays

Distributors

for

costs

incurred

in

connection

with

the

servicing,

sale

and

distribution

of

the

Fund's

shares

up

to

0.35%

per

year

of

its

average

daily

net

assets

of

each

class.

The

Board

has

agreed

to

limit

the

current

rate

to

0.25%

per

year

for

Class

2. The

plan

year,

for

purposes

of

monitoring

compliance

with

the

maximum

annual

plan

rates,

is

February

through

January

31. d. #### Transfer

#### Agent

#### Fees
Investor

Services,

under

terms

of

an

agreement,

performs

shareholder

servicing

for

the

Fund and

is

not

paid

by

the Fund

for

the

services.

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
The

Fund

invests

in

one

or

more

affiliated

management

investment

companies.

As

defined

in

the

1940

Act,

an

investment

is

deemed

to

be

a

"Controlled

Affiliate"

of

a

fund

when

a

fund

owns,

either

directly

or

indirectly,

25%

or

more

of

the

affiliated

fund's

outstanding

shares

or

has

the

power

to

exercise

control

over

management

or

policies

of

such

fund.

The

Fund

does

not

invest

for

purposes

of

exercising

a

controlling

influence

over

the

management

or

policies.

Management

fees

paid

by

the

Fund

are

waived

on

assets

invested

in

the

affiliated

management

investment

companies,

as

noted

in

the

Statement

of

Operations,

in

an

amount

not

to

exceed

the

management

and

administrative

fees,

if

applicable, paid

directly

or

indirectly

by

each

affiliate.

During

the

year

ended

December

31,

2025,

the

Fund

held

investments

in

affiliated

management

investment

companies

as

follows:

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
0.875%

Up

to

and

including

$4

billion

0.845%

Over

$4

billion,

up

to

and

including

$7

billion

0.825%

Over

$7

billion,

up

to

and

including

$10

billion

0.805%

Over

$10

billion,

up

to

and

including

$13

billion

0.785%

Over

$13

billion,

up

to

and

including

$16

billion

0.765%

Over

$16

billion,

up

to

and

including

$19

billion

0.745%

Over

$19

billion,

up

to

and

including

$22

billion

0.725%

Over

$22

billion,

up

to

and

including

$25

billion

0.705%

Over

$25

billion,

up

to

and

including

$28

billion

0.685%

In

excess

of

$28

billion

3. #### Transactions

#### with

#### Affiliates
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund
(continued)

4. #### Income

#### Taxes
The

tax

character

of

distributions

paid

during

the

years

ended

December

31,

2025

and

2024,

was

as

follows:

At

December

31,

2025,

the

cost

of

investments,

net

unrealized

appreciation

(depreciation)

,

undistributed

ordinary

income

and

undistributed

long

term

capital

gains

for

income

tax

purposes

were

as

follows:

Differences

between

income

and/or

capital

gains

as

determined

on

a

book

basis

and

a

tax

basis

are

primarily

due

to

differing

treatments

of

wash

sales,

EU

reclaims

and

tax

straddles.

#### &nbsp;&nbsp;&nbsp;&nbsp;aa

#### Value

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### Sales

#### Realized

#### Gain
(Loss)

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### Value

#### at

#### End

#### of

#### Year

#### Number

#### of

#### Shares

#### Held

#### at

#### End

#### of

#### Year

#### Investment

#### Income

#### a&nbsp;&nbsp;&nbsp;&nbsp;

#### a

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund

#### Non-Controlled

#### Affiliates
Dividends

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$—

$59,317,439

$(50,767,261)

$—

$—

$8,550,178

8,550,178

$220,813

#### Non-Controlled

#### Affiliates
Income

from

securities

loaned

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$—

$10,001,000

$(10,001,000)

$—

$—

$—

—

$4,005

#### Total

#### Affiliated

#### Securities

#### ...
$—

$69,318,439

$(60,768,261)

$—

$—

$8,550,178

$224,818

#### 2025

#### 2024
Distributions

paid

from:

Ordinary

income

..........................................................

$16,649,203

$19,125,748

Long

term

capital

gain

......................................................

35,809,747

19,001,435

$52,458,950

$38,127,183

Cost

of

investments

..........................................................................

$336,800,496

Unrealized

appreciation

........................................................................

$120,969,385

Unrealized

depreciation

........................................................................

(14,520,852)

Net

unrealized

appreciation

(depreciation)

..........................................................

$106,448,533

Distributable

earnings:

Undistributed

ordinary

income

...................................................................

$12,627,092

Undistributed

long

term

capital

gains

..............................................................

36,325,919

Total

distributable

earnings

.....................................................................

$48,953,011

3. #### Transactions

#### with

#### Affiliates
(continued)

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund
(continued)

5. #### Investment

#### Transactions
Purchases

and

sales

of

investments

(excluding

short

term

securities

and

securities

sold

short) for

the

year

ended

December

31,

2025,

aggregated

$182,268,243 and

$225,783,328,

respectively.

6. #### Credit

#### Risk

#### and

#### Defaulted

#### Securities
The

Fund

may

purchase

the

pre-default

or

defaulted

debt

of

distressed

companies.

Distressed

companies

are

financially

troubled

and

could

be

or

are

already

involved

in

financial

restructuring

or

bankruptcy.

Risks

associated

with

purchasing

these

securities

include

the

possibility

that

the

bankruptcy

or

other

restructuring

process

takes

longer

than

expected,

or

that

distributions

in

restructuring

are

less

than

anticipated,

either

or

both

of

which

may

result

in

unfavorable

consequences

to

the

Fund.

If

it

becomes

probable

that

the

income

on

debt

securities,

including

those

of

distressed

companies,

will

not

be

collected,

the

Fund

discontinues

accruing

income

and

recognizes

an

adjustment

for

uncollectible

interest.

At

December

31,

2025,

the

Fund

did

not

hold

any

distressed

company

securities

for

which

interest

recognition

has

been

discontinued.

7. #### Concentration

#### of

#### Risk
Investing

in

foreign

securities

may

include

certain

risks

and

considerations

not

typically

associated

with

investing

in

U.S.

securities,

such

as

fluctuating

currency

values

and

changing

local,

regional

and

global

economic,

political

and

social

conditions,

which

may

result

in

greater

market

volatility.

Political

and

financial

uncertainty

in

many

foreign

regions

may

increase

market

volatility

and

the

economic

risk

of

investing

in

foreign

securities.

In

addition,

certain

foreign

securities

may

not

be

as

liquid

as

U.S.

securities.

Certain

investments

in

Chinese

companies

are

made

through

a

special

structure

known

as

a

VIE.

In

a

VIE

structure,

foreign

investors,

such

as

the

Fund,

will

only

own

stock

in

a

shell

company

rather

than

directly

in

the

VIE,

which

must

be

owned

by

Chinese

nationals

(and/or

Chinese

companies)

to

obtain

the

licenses

and/or

assets

required

to

operate

in

a

restricted

or

prohibited

sector

in

China.

The

value

of

the

shell

company

is

derived

from

its

ability

to

consolidate

the

VIE

into

its

financials

pursuant

to

contractual

arrangements

that

allow

the

shell

company

to

exert

a

degree

of

control

over,

and

obtain

economic

benefits

arising

from,

the

VIE

without

formal

legal

ownership.

While

VIEs

are

a

longstanding

industry

practice

and

are

well

known

by

Chinese

officials

and

regulators,

the

structure

historically

has

not

been

formally

recognized

under

Chinese

law

and

it

is

uncertain

whether

Chinese

officials

or

regulators

will

withdraw

their

implicit

acceptance

of

the

structure.

It

is

also

uncertain

whether

the

contractual

arrangements,

which

may

be

subject

to

conflicts

of

interest

between

the

legal

owners

of

the

VIE

and

foreign

investors,

would

be

enforced

by

Chinese

courts

or

arbitration

bodies.

Prohibitions

of

these

structures

by

the

Chinese

government,

or

the

inability

to

enforce

such

contracts,

from

which

the

shell

company

derives

its

value,

would

likely

cause

the

VIE-structured

holding(s)

to

suffer

significant,

detrimental,

and

possibly

permanent

losses,

and

in

turn,

adversely

affect

the

Fund's

returns

and

net

asset

value.

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund
(continued)

8. #### Other

#### Derivative

#### Information
For

the

year

ended

December

31,

2025,

the

effect

of

derivative

contracts

in

the Statement

of

Operations

was

as

follows:

For

the

year

ended

December

31,

2025,

the

average

month

end

notional

amount

of

futures

contracts

represented

$3,111,281. The

average

month

end

contract

value

of

forward

exchange

contracts

was

$20,436,520.

See

Note

1(c) regarding

derivative

financial

instruments.

9. #### Credit

#### Facility
The

Fund,

together

with

other

U.S.

registered

and

foreign

investment

funds

(collectively,

Borrowers),

managed

by

Franklin

Templeton,

are

borrowers

in

a

joint

syndicated

senior

unsecured

credit

facility

totaling

$2.995

billion

(Global

Credit

Facility)

which

matured

on

January

30,

2026. This

Global

Credit

Facility

provides

a

source

of

funds

to

the

Borrowers

for

temporary

and

emergency

purposes,

including

the

ability

to

meet

future

unanticipated

or

unusually

large

redemption

requests.

Effective

January

30,

2026,

the

Borrowers

renewed

the

Global

Credit

Facility

for

a

one-year

term,

maturing

January

29,

2027,

for

a

total

of

$2.995

billion.

Under

the

terms

of

the

Global

Credit

Facility,

the

Fund

may,

in

addition

to

interest

charged

on

any

borrowings

made

by

the

Fund

and

other

costs

incurred

by

the

Fund,

pay

its

share

of

fees

and

expenses

incurred

in

connection

with

the

implementation

and

maintenance

of

the

Global

Credit

Facility,

based

upon

its

relative

share

of

the

aggregate

net

assets

of

all

of

the

Borrowers,

including

an

annual

commitment

fee

of

0.15%

based

upon

the

unused

portion

of

the

Global

Credit

Facility.

These

fees

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

During

the

year

ended

December

31,

2025,

the Fund

did

not

use

the

Global

Credit

Facility.

10. #### Fair

#### Value

#### Measurements
The

Fund

follows

a

fair

value

hierarchy

that

distinguishes

between

market

data

obtained

from

independent

sources

(observable

inputs)

and

the Fund's

own

market

assumptions

(unobservable

inputs).

These

inputs

are

used

in

determining

the

value

of

the

Fund's financial

instruments

and

are

summarized

in

the

following

fair

value

hierarchy:

Level

–

quoted

prices

in

active

markets

for

identical

financial

instruments

Level

–

other

significant

observable

inputs

(including

quoted

prices

for

similar

financial

instruments,

interest

rates,

prepayment

speed,

credit

risk,

etc.)

Level

–

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

financial

instruments)

#### Derivative

#### Contracts

#### Not

#### Accounted

#### for

#### as

#### Hedging

#### Instruments

#### Statement

#### of

#### Operations

#### Location

#### Net

#### Realized

#### Gain
(Loss)

#### for

#### the

#### Year

#### Statement

#### of

#### Operations

#### Location

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### for

#### the

#### Year

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund
Net

realized

gain

(loss)

from:

Net

change

in

unrealized

&nbsp;&nbsp;&nbsp;&nbsp;appreciation

(depreciation)

on:

Foreign

exchange

contracts

.....

Futures

contracts

$(795,263)

Futures

contracts

$(205,145)

Forward

exchange

contracts

(1,305,392)

Forward

exchange

contracts

(1,127,091)

Total

.......................

$(2,100,655)

$(1,332,236)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund
(continued)

The

input

levels

are

not

necessarily

an

indication

of

the

risk

or

liquidity

associated

with

financial

instruments

at

that

level.

A

summary

of

inputs

used

as

of

December

31,

2025,

in

valuing

the

Fund's assets carried

at

fair

value,

is

as

follows:

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund

#### Assets:
Investments

in

Securities:

a

Common

Stocks

:

Aerospace

&

Defense

...................

$

—

$

9,308,002

$

—

$

9,308,002

Automobile

Components

.................

—

4,844,048

—

4,844,048

Automobiles

..........................

—

12,826,228

—

12,826,228

Banks

...............................

23,179,794

17,712,540

—

40,892,334

Beverages

...........................

—

7,812,003

—

7,812,003

Broadline

Retail

.......................

—

6,815,443

—

6,815,443

Building

Products

......................

—

7,155,144

—

7,155,144

Capital

Markets

........................

6,907,974

7,563,768

—

14,471,742

Chemicals

...........................

6,927,526

7,918,731

—

14,846,257

Consumer

Finance

.....................

7,712,865

—

—

7,712,865

Containers

&

Packaging

.................

7,879,221

—

—

7,879,221

Diversified

Telecommunication

Services

.....

—

9,117,453

—

9,117,453

Electrical

Equipment

....................

—

5,712,965

—

5,712,965

Energy

Equipment

&

Services

.............

6,341,566

—

—

6,341,566

Entertainment

.........................

7,993,935

—

—

7,993,935

Financial

Services

......................

8,641,731

—

—

8,641,731

Food

Products

........................

7,107,336

6,180,893

—

13,288,229

Ground

Transportation

..................

7,026,576

—

—

7,026,576

Health

Care

Equipment

&

Supplies

.........

15,537,813

—

—

15,537,813

Health

Care

Providers

&

Services

..........

14,460,401

6,527,999

—

20,988,400

Household

Products

....................

—

8,123,979

—

8,123,979

Industrial

Conglomerates

................

—

4,900,500

—

4,900,500

Insurance

............................

—

8,357,349

—

8,357,349

Interactive

Media

&

Services

..............

19,022,290

7,654,784

—

26,677,074

IT

Services

...........................

—

8,689,636

—

8,689,636

Media

...............................

5,781,958

—

—

5,781,958

Metals

&

Mining

.......................

—

6,258,333

—

6,258,333

Multi-Utilities

..........................

—

5,383,577

—

5,383,577

Oil,

Gas

&

Consumable

Fuels

.............

6,527,317

14,962,316

—

21,489,633

Pharmaceuticals

.......................

19,301,598

18,928,939

—

38,230,537

Semiconductors

&

Semiconductor

Equipment

.

—

6,806,870

—

6,806,870

Software

.............................

7,848,876

—

—

7,848,876

Specialized

REITs

......................

6,674,645

—

—

6,674,645

Technology

Hardware,

Storage

&

Peripherals

.

—

7,734,774

—

7,734,774

Textiles,

Apparel

&

Luxury

Goods

..........

—

8,546,467

—

8,546,467

Tobacco

.............................

—

9,053,158

—

9,053,158

Trading

Companies

&

Distributors

..........

14,679,442

—

—

14,679,442

Corporate

Bonds

........................

—

2,038,957

—

2,038,957

Senior

Floating

Rate

Interests

...............

—

8,211,131

—

8,211,131

Companies

in

Liquidation

..................

—

—

—

b

—

Short

Term

Investments

...................

8,550,178

—

—

8,550,178

Total

Investments

in

Securities

...........

$208,103,042

$235,145,987

c

$—

$443,249,029

a

For

detailed

categories,

see

the

accompanying

Schedule

of

Investments.

b

Includes

financial

instruments

determined

to

have

no

value.

c

Includes

foreign

securities

valued

at

$224,895,899,

which

were

categorized

as

Level

as

a

result

of

the

application

of

market

level

fair

value

procedures.

See

the

Financial

Instrument

Valuation

note

for

more

information.

10. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund
(continued)

A

reconciliation

in

which

Level

inputs

are

used

in

determining

fair

value

is

presented

when

there

are

significant

Level

assets

and/or

liabilities

at

the

beginning

and/or

end

of

the

year

.

11. #### Operating

#### Segments
The Fund operates

as

a

single

operating

segment,

which

is

an

investment

portfolio.

The

portfolio

managers

assigned

to

the

Fund

within

the

Fund's

Investment

manager serve

as

the

Chief

Operating

Decision

Maker

("CODM")

and

are

responsible

for

evaluating

the

Fund's

operating

results

and

allocating

resources

in

accordance

with

the

Fund's

investment

strategy.

Internal

reporting

provided

to

the

CODM

aligns

with

the

accounting

policies

and

measurement

principles

used

in

the financial

statements.

For

information

regarding

segment

assets,

segment

profit

or

loss,

and

significant

expenses,

refer

to

the Statement

of

Assets

and

Liabilities

and

the Statement

of

Operations,

along

with

the

related

notes

to

the financial

statements.

The Schedule

of

Investments

provides

details

of

the Fund's investments

that

generate

returns

such

as

interest,

dividends,

and

realized

and

unrealized

gains

or

losses.

Performance

metrics,

including

portfolio

turnover

and

expense

ratios,

are

disclosed

in

the Financial

Highlights.

12. #### Subsequent

#### Events
The Fund

has

evaluated

subsequent

events

through

the

issuance

of

the

financial

statements

and

determined

that

no

events

have

occurred

that

require

disclosure

other

than

those

already

disclosed

in

the

financial

statements.

#### Abbreviations

#### Selected

#### Portfolio

#### ADR
American

Depositary

Receipt

#### CME
Chicago

Mercantile

Exchange

#### REIT
Real

Estate

Investment

Trust

#### SOFR
Secured

Overnight

Financing

Rate

10. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Report

of

Independent

Registered

Public

Accounting

Firm

franklintempleton.com

Annual

Report

To

the

Board

of

Trustees

of

Franklin

Templeton

Variable

Insurance

Products

Trust

and

Shareholders

of

Franklin

Mutual

Global

Discovery

VIP

Fund

#### Opinion

#### on

#### the

#### Financial

#### Statements
We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

investments,

of

Franklin

Mutual

Global

Discovery

VIP

Fund

(one

of

the

funds

constituting

Franklin

Templeton

Variable

Insurance

Products

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2025,

the

related

statement

of

operations

for

the

year

ended

December

31,

2025,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

(collectively

referred

to

as

the

"financial

statements").

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2025,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

#### Basis

#### for

#### Opinion
These

financial

statements

are

the

responsibility

of

the

Fund's

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund's

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2025

by

correspondence

with

the

custodian,

transfer

agent,

agent

banks

and

brokers;

when

replies

were

not

received

from

an

agent

bank

or

brokers,

we

performed

other

auditing

procedures.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/PricewaterhouseCoopers

LLP

San

Francisco,

California

February

19,

2026

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Franklin

Templeton

Group

of

Funds

since

1948. Franklin

Templeton

Variable

Insurance

Products

Trust

Tax

Information

(unaudited)

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Global

#### Discovery

#### VIP

#### Fund
By

mid-February,

tax

information

related

to

a

shareholder's

proportionate

share

of

distributions

paid

during

the

preceding

calendar

year

will

be

received,

if

applicable.

Please

also

refer

to

www.franklintempleton.com

for

per

share

tax

information

related

to

any

distributions

paid

during

the

preceding

calendar

year.

Shareholders

are

advised

to

consult

with

their

tax

advisors

for

further

information

on

the

treatment

of

these

amounts

on

their

tax

returns.

The

following

tax

information

for

the

Fund

is

required

to

be

furnished

to

shareholders

with

respect

to

income

earned

and

distributions

paid

during

its

fiscal

year.

The

Fund

hereby

reports

the

following

amounts,

or

if

subsequently

determined

to

be

different,

the

maximum

allowable

amounts,

for

the

fiscal

year

ended

December

31,

2025:

Note

(1) -

The

Law

varies

in

each

state

as

to

whether

and

what

percentage

of

dividend

income

attributable

to

Federal

obligations

is

exempt

from

state

income

tax.

Shareholders

are

advised

to

consult

with

their

tax

advisors

to

determine

if

any

portion

of

the

dividends

received

is

exempt

from

state

income

taxes.

Under

Section

853

of

the

Internal

Revenue

Code,

the

Fund

intends

to

elect

to

pass

through

to

its

shareholders

the

following

amounts,

or

amounts

as

finally

determined,

of

foreign

taxes

paid

and

foreign

source

income

earned

by

the

Fund

during

the

fiscal

year

ended

December

31,

2025:

#### Pursuant

#### to:

#### Amount

#### Reported
Long-Term

Capital

Gain

Dividends

Distributed

§852(b)(3)(C)

$35,809,747

Income

Eligible

for

Dividends

Received

Deduction

(DRD)

§854(b)(1)(A)

$2,689,259

Interest

Earned

from

Federal

Obligations

Note

(1) $194,163

#### Amount

#### Reported
Foreign

Taxes

Paid

$360,903

Foreign

Source

Income

Earned

$6,088,689

Franklin

Templeton

Variable

Insurance

Products

Trust

franklintempleton.com

Annual

Report

#### Changes

#### In

#### and

#### Disagreements

#### with

#### Accountants
For

the

period

covered

by

this

report

Not

applicable.

#### Results

#### of

#### Meeting(s)

#### of

#### Shareholders
For

the

period

covered

by

this

report

Not

applicable.

#### Remuneration

#### Paid

#### to

#### Directors,

#### Officers

#### and

#### Others
For

the

period

covered

by

this

report

Refer

to

the

financial

statements

included

herein.

Remuneration

to

officers

is

paid

by

the

Fund's

investment

manager

according

to

the

terms

of

the

agreement.

#### Board

#### Approval

#### of

#### Management

#### and

#### Subadvisory

#### Agreements
For

the

period

covered

by

this

report

Not

applicable.

4845-AFSOI

02/26©

2026

Franklin

Templeton.

All

rights

reserved.

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund

#### Financial

#### Statements

#### and

#### Other

#### Important

#### Information

#### Annual
\|

December

31,

2025

#### Table

#### of

#### Contents
franklintempleton.com

Financial

Statements

and

Other

Important

Information—Annual

Financial

Highlights

and

Schedule

of

Investments

#### 2
Financial

Statements

#### 9
Notes

to

Financial

Statements

#### 12
Report

of

Independent

Registered

Public

Accounting

Firm

#### 23
Tax

Information

#### 24
Changes

In

and

Disagreements

with

Accountants

#### 25
Results

of

Meeting(s)

of

Shareholders

Remuneration

Paid

to

Directors,

Officers

and

Others

Board

Approval

of

Management

and

Subadvisory

Agreements

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 1

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$16.84

$15.74

$15.53

$19.62

$16.93

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.33 0.36 0.35 0.32 0.27 Net

realized

and

unrealized

gains

(losses)

...........

1.58 1.47 1.60 (1.99)

3.02 Total

from

investment

operations

....................

1.91 1.83 1.95 (1.67)

3.29 Less

distributions

from:

Net

investment

income

..........................

(0.40)

(0.38)

(0.35)

(0.40)

(0.60)

Net

realized

gains

.............................

(1.75)

(0.35)

(1.39)

(2.02)

—

Total

distributions

...............................

(2.15)

(0.73)

(1.74)

(2.42)

(0.60)

Net

asset

value,

end

of

year

.......................

$16.60

$16.84

$15.74

$15.53

$19.62

Total

return

c

...................................

11.81%

11.50%

13.73%

(7.15)%

19.52%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

d

....................................

0.69%

e

0.69%

0.68%

e,f

0.66%

e,f

0.73%

e,f

Expenses

-

incurred

in

connection

with

securities

sold

short

—%

—%

—%

g

—%

g

0.02%

Net

investment

income

...........................

1.91%

2.14%

2.24%

1.82%

1.44%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$146,323

$131,681

$121,126

$105,334

$116,861

Portfolio

turnover

rate

............................

56.84%

32.95%

50.67%

59.99%

47.31%

h

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Includes

dividends

and/or

interest

expense

on

securities

sold

short

and

security

borrowing

fees,

if

any.

See

below

for

the

ratios

of

such

expenses

to

average

net

assets

for

the

periods

presented.

See

Note

1(d).

e

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

f

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

g

Rounds

to

less

than

0.01%.

h

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 2

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$16.39

$15.33

$15.16

$19.20

$16.59

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.28 0.31 0.31 0.27 0.22 Net

realized

and

unrealized

gains

(losses)

...........

1.53 1.43 1.56 (1.95)

2.95 Total

from

investment

operations

....................

1.81 1.74 1.87 (1.68)

3.17 Less

distributions

from:

Net

investment

income

..........................

(0.35)

(0.33)

(0.31)

(0.34)

(0.56)

Net

realized

gains

.............................

(1.75)

(0.35)

(1.39)

(2.02)

—

Total

distributions

...............................

(2.10)

(0.68)

(1.70)

(2.36)

(0.56)

Net

asset

value,

end

of

year

.......................

$16.10

$16.39

$15.33

$15.16

$19.20

Total

return

c

...................................

11.52%

11.27%

13.46%

(7.43)%

19.17%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

d

....................................

0.94%

e

0.94%

0.93%

e,f

0.91%

e,f

0.98%

e,f

Expenses

-

incurred

in

connection

with

securities

sold

short

—%

—%

—%

g

—%

g

0.02%

Net

investment

income

...........................

1.67%

1.89%

1.99%

1.55%

1.17%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$1,720,465

$1,765,869

$1,882,088

$1,786,501

$2,517,899

Portfolio

turnover

rate

............................

56.84%

32.95%

50.67%

59.99%

47.31%

h

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Includes

dividends

and/or

interest

expense

on

securities

sold

short

and

security

borrowing

fees,

if

any.

See

below

for

the

ratios

of

such

expenses

to

average

net

assets

for

the

periods

presented.

See

Note

1(d).

e

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

f

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

g

Rounds

to

less

than

0.01%.

h

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 4

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$16.61

$15.53

$15.34

$19.39

$16.75

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.26 0.30 0.29 0.26 0.20 Net

realized

and

unrealized

gains

(losses)

...........

1.57 1.45 1.58 (1.97)

2.98 Total

from

investment

operations

....................

1.83 1.75 1.87 (1.71)

3.18 Less

distributions

from:

Net

investment

income

..........................

(0.34)

(0.32)

(0.29)

(0.32)

(0.54)

Net

realized

gains

.............................

(1.75)

(0.35)

(1.39)

(2.02)

—

Total

distributions

...............................

(2.09)

(0.67)

(1.68)

(2.34)

(0.54)

Net

asset

value,

end

of

year

.......................

$16.35

$16.61

$15.53

$15.34

$19.39

Total

return

c

...................................

11.45%

11.16%

13.31%

(7.47)%

19.06%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

d

....................................

1.04%

e

1.04%

1.03%

e,f

1.01%

e,f

1.08%

e,f

Expenses

-

incurred

in

connection

with

securities

sold

short

—%

—%

—%

g

—%

g

0.02%

Net

investment

income

...........................

1.57%

1.79%

1.88%

1.47%

1.06%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$107,441

$102,461

$103,475

$99,603

$120,424

Portfolio

turnover

rate

............................

56.84%

32.95%

50.67%

59.99%

47.31%

h

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Includes

dividends

and/or

interest

expense

on

securities

sold

short

and

security

borrowing

fees,

if

any.

See

below

for

the

ratios

of

such

expenses

to

average

net

assets

for

the

periods

presented.

See

Note

1(d).

e

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

f

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

g

Rounds

to

less

than

0.01%.

h

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments,

December

31,

2025

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks

#### 96.3%

#### Automobiles

#### 1.9%
General

Motors

Co.

..................................

United

States

448,836

$

36,499,344

#### Banks

#### 8.5%
Bank

of

America

Corp.

...............................

United

States

767,131

42,192,205

JPMorgan

Chase

&

Co.

...............................

United

States

139,468

44,939,379

PNC

Financial

Services

Group,

Inc.

(The)

.................

United

States

187,872

39,214,522

Wells

Fargo

&

Co.

...................................

United

States

435,125

40,553,650

166,899,756

#### Broadline

#### Retail

#### 2.9%
a

Amazon.com,

Inc.

...................................

United

States

247,655

57,163,727

#### Building

#### Products

#### 2.3%
Johnson

Controls

International

plc

.......................

United

States

379,301

45,421,295

#### Capital

#### Markets

#### 1.9%
BlackRock,

Inc.

.....................................

United

States

35,037

37,501,503

#### Chemicals

#### 1.7%
PPG

Industries,

Inc.

.................................

United

States

319,757

32,762,302

#### Communications

#### Equipment

#### 1.8%
Cisco

Systems,

Inc.

.................................

United

States

452,707

34,872,020

#### Consumer

#### Finance

#### 1.9%
Capital

One

Financial

Corp.

...........................

United

States

153,490

37,199,836

#### Consumer

#### Staples

#### Distribution

#### &

#### Retail

#### 2.3%
Dollar

General

Corp.

.................................

United

States

342,587

45,485,276

#### Containers

#### &

#### Packaging

#### 1.7%
International

Paper

Co.

...............................

United

States

827,569

32,597,943

#### Diversified

#### Telecommunication

#### Services

#### 0.2%
a,b,c

Uniti

Group,

Inc.

....................................

United

States

643,835

4,400,995

#### Electric

#### Utilities

#### 3.6%
Entergy

Corp.

......................................

United

States

354,607

32,776,325

PPL

Corp.

.........................................

United

States

1,117,536

39,136,111

71,912,436

#### Electronic

#### Equipment,

#### Instruments

#### &

#### Components

#### 1.1%
a

Flex

Ltd.

..........................................

United

States

359,223

21,704,254

#### Energy

#### Equipment

#### &

#### Services

#### 1.5%
SLB

Ltd.

..........................................

United

States

796,652

30,575,504

#### Entertainment

#### 2.3%
Walt

Disney

Co.

(The)

................................

United

States

391,027

44,487,142

#### Financial

#### Services

#### 2.8%
Apollo

Global

Management,

Inc.

........................

United

States

238,701

34,554,357

a

Fiserv,

Inc.

........................................

United

States

313,177

21,036,099

55,590,456

#### Food

#### Products

#### 1.6%
Nestle

SA

.........................................

United

States

318,753

31,639,143

#### Ground

#### Transportation

#### 1.5%
Union

Pacific

Corp.

..................................

United

States

130,072

30,088,255

#### Health

#### Care

#### Equipment

#### &

#### Supplies

#### 4.2%
a

Cooper

Cos.,

Inc.

(The)

...............................

United

States

374,487

30,692,954

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Health

#### Care

#### Equipment

#### &

#### Supplies
(continued)

Medtronic

plc

......................................

United

States

341,901

$

32,843,010

Zimmer

Biomet

Holdings,

Inc.

..........................

United

States

210,203

18,901,454

82,437,418

#### Health

#### Care

#### Providers

#### &

#### Services

#### 0.9%
Elevance

Health,

Inc.

................................

United

States

48,149

16,878,632

#### Household

#### Products

#### 2.1%
Colgate-Palmolive

Co.

...............................

United

States

531,398

41,991,070

#### Insurance

#### 4.6%
Hartford

Insurance

Group,

Inc.

(The)

.....................

United

States

345,197

47,568,146

Progressive

Corp.

(The)

..............................

United

States

188,983

43,035,209

90,603,355

#### Interactive

#### Media

#### &

#### Services

#### 3.6%
Alphabet,

Inc.

,

A

....................................

United

States

224,342

70,219,046

#### Life

#### Sciences

#### Tools

#### &

#### Services

#### 2.4%
Thermo

Fisher

Scientific,

Inc.

..........................

United

States

82,981

48,083,340

#### Machinery

#### 2.4%
Dover

Corp.

.......................................

United

States

243,652

47,570,616

#### Metals

#### &

#### Mining

#### 2.0%
Reliance,

Inc.

......................................

United

States

139,071

40,173,440

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 4.0%
Chevron

Corp.

.....................................

United

States

278,394

42,430,030

EOG

Resources,

Inc.

................................

United

States

344,612

36,187,706

78,617,736

#### Personal

#### Care

#### Products

#### 1.9%
Estee

Lauder

Cos.,

Inc.

(The)

,

A

........................

United

States

357,996

37,489,341

#### Pharmaceuticals

#### 8.4%
Haleon

plc

........................................

United

States

9,998,685

50,527,166

Merck

&

Co.,

Inc.

...................................

United

States

296,595

31,219,590

Novartis

AG

,

ADR

...................................

United

States

308,563

42,541,581

Roche

Holding

AG

..................................

United

States

102,516

42,336,061

166,624,398

#### Professional

#### Services

#### 2.5%
KBR,

Inc.

.........................................

United

States

509,104

20,465,981

SS&C

Technologies

Holdings,

Inc.

.......................

United

States

335,666

29,343,921

49,809,902

#### Retail

#### REITs

#### 1.9%
Brixmor

Property

Group,

Inc.

...........................

United

States

1,418,819

37,201,434

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 1.5%
NXP

Semiconductors

NV

.............................

Netherlands

140,096

30,409,238

#### Software

#### 3.4%
a

Adobe,

Inc.

........................................

United

States

108,079

37,826,569

Gen

Digital,

Inc.

....................................

United

States

1,091,294

29,672,284

67,498,853

#### Specialized

#### REITs

#### 1.7%
American

Tower

Corp.

................................

United

States

186,064

32,667,256

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Specialty

#### Retail

#### 2.0%
a

Ulta

Beauty,

Inc.

....................................

United

States

65,301

$

39,507,758

#### Tobacco

#### 1.7%
British

American

Tobacco

plc

...........................

United

Kingdom

608,660

34,505,334

#### Trading

#### Companies

#### &

#### Distributors

#### 3.6%
AerCap

Holdings

NV

.................................

Ireland

212,856

30,600,178

Ferguson

Enterprises,

Inc.

............................

United

States

184,552

41,086,812

71,686,990

#### Total

#### Common

#### Stocks

#### (Cost

#### $

#### 1,433,484,587

####)
..................................

#### 1,900,776,344

#### Preferred

#### Stocks

#### 0.2%

#### Diversified

#### Telecommunication

#### Services

#### 0.2%
a,b,c

Uniti

Group,

Inc.

....................................

United

States

4,107

4,051,140

#### Total

#### Preferred

#### Stocks

#### (Cost

#### $

#### 3,575,413

####)
.....................................

#### 4,051,140

#### Warrants

#### 0.0%

#### †

#### Diversified

#### Telecommunication

#### Services

#### 0.0%

#### †
a,b,c

Uniti

Group,

Inc.

,

8/01/35

.............................

United

States

125,422

757,801

#### Total

#### Warrants

#### (Cost

#### $

#### 602,026

####)
..............................................

#### 757,801

#### Principal

#### Amount

#### \*

#### Corporate

#### Bonds

#### 0.6%

#### Commercial

#### Services

#### &

#### Supplies

#### 0.2%
d

Neptune

Bidco

US,

Inc.

,

Senior

Secured

Note

,

144A,

10.375 %

,

5/15/31

.........................................

United

States

4,833,000

4,958,228

#### Specialty

#### Retail

#### 0.4%
d

Michaels

Cos.,

Inc.

(The)

,

Senior

Note

,

144A,

7.875 %

,

5/01/29

.

United

States

7,895,000

7,298,579

#### Total

#### Corporate

#### Bonds

#### (Cost

#### $

#### 10,246,511

####)
....................................

#### 12,256,807
e

#### Senior

#### Floating

#### Rate

#### Interests

#### 2.0%
f

#### Commercial

#### Services

#### &

#### Supplies

#### 1.0%
Neptune

Bidco

US,

Inc.,

First

Lien,

CME

Term

Loan,

A

,

8.762 %

,

(3-month

SOFR

+

4.75 %),

10/11/28

....................

United

States

11,011,260

10,891,788

Neptune

Bidco

US,

Inc.,

First

Lien,

Dollar

CME

Term

Loan,

B

,

9.012 %

,

(3-month

SOFR

+

%),

4/11/29

.................

United

States

8,388,813

8,314,362

19,206,150

a

a

a

a

a

a

#### Professional

#### Services

#### 0.4%
f

CoreLogic,

Inc.,

First

Lien,

Initial

CME

Term

Loan

,

7.331 %

,

(1-month

SOFR

+

3.5 %),

6/02/28

......................

United

States

8,771,145

8,791,056

#### Specialty

#### Retail

#### 0.6%
f

Michaels

Cos.,

Inc.

(The),

First

Lien,

CME

Term

Loan,

B

,

8.184 %

,

(3-month

SOFR

+

4.25 %),

4/17/28

.....................

United

States

11,623,120

11,266,755

#### Total

#### Senior

#### Floating

#### Rate

#### Interests

#### (Cost

#### $

#### 36,519,110

####)
........................

#### 39,263,961
Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

See

Abbreviations

on

.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Companies

#### in

#### Liquidation

#### 0.0%
a,b,g

Bosgen

Liquidating

Trust

c/o

Verdolino

and

Lowey

P.C.,

Contingent

Distribution

..............................

Netherlands

347,093

$

—

a,b,g

Walter

Energy,

Inc.,

Litigation

Trust,

Contingent

Distribution

....

United

States

6,301,000

—

#### Total

#### Companies

#### in

#### Liquidation

#### (Cost

#### $

#### –

####)
....................................

#### —

#### Total

#### Long

#### Term

#### Investments

#### (Cost

#### $

#### 1,484,427,647

####)
...........................

#### 1,957,106,053

#### a

#### Short

#### Term

#### Investments

#### 0.0%

#### †
a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Money

#### Market

#### Funds

#### 0.0%

#### †
h,i

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

.........................................

United

States

254,301

254,301

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $

#### 254,301

####)
...................................

#### 254,301

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $

#### 254,301

####)
................................

#### 254,301

#### a

#### Total

#### Investments

#### (Cost

#### $

#### 1,484,681,948

####)
99.1 #### %
................................

#### $1,957,360,354

#### Other

#### Assets,

#### less

#### Liabilities
0.9 #### %
...........................................

#### 16,869,179

#### Net

#### Assets

#### 100.0%

#### .........................................................

#### $1,974,229,533

#### a
\*

The

principal

amount

is

stated

in

U.S.

dollars

unless

otherwise

indicated.

†

Rounds

to

less

than

0.1%

of

net

assets.

a

Non-income

producing.

b

Fair

valued

using

significant

unobservable

inputs.

See

Note

regarding

fair

value

measurements.

c

See

Note

regarding

restricted

securities.

d

Security

was

purchased

pursuant

to

Rule

144A

or

Regulation

S

under

the

Securities

Act

of

1933. 144A

securities

may

be

sold

in

transactions

exempt

from

registration

only

to

qualified

institutional

buyers

or

in

a

public

offering

registered

under

the

Securities

Act

of

1933. Regulation

S

securities

cannot

be

sold

in

the

United

States

without

either

an

effective

registration

statement

filed

pursuant

to

the

Securities

Act

of

1933,

or

pursuant

to

an

exemption

from

registration.

At

December

31,

2025,

the

aggregate

value

of

these

securities

was

$12,256,807,

representing

0.6%

of

net

assets.

e

See

Note

1(e)

regarding

senior

floating

rate

interests.

f

The

coupon

rate

shown

represents

the

rate

inclusive

of

any

caps

or

floors,

if

applicable,

in

effect

at

period

end.

g

Contingent

distributions

represent

the

right

to

receive

additional

distributions,

if

any,

during

the

reorganization

of

the

underlying

company.

Shares

represent

total

underlying

principal

of

debt

securities.

h

See

Note

3(e)

regarding

investments

in

affiliated

management

investment

companies.

i

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Assets

and

Liabilities

December

31,

2025

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
Assets:

Investments

in

securities:

Cost

-

Unaffiliated

issuers

...................................................................

$1,484,427,647

Cost

-

Non-controlled

affiliates

(Note

e)

........................................................

254,301

Value

-

Unaffiliated

issuers

..................................................................

$1,957,106,053

Value

-

Non-controlled

affiliates

(Note

e)

.......................................................

254,301

Cash

....................................................................................

470,579

Receivables:

Investment

securities

sold

...................................................................

14,949,750

Capital

shares

sold

........................................................................

48,241

Dividends

and

interest

.....................................................................

3,380,521

European

Union

tax

reclaims

(Note

f)

.........................................................

428,138

Total

assets

..........................................................................

1,976,637,583

Liabilities:

Payables:

Capital

shares

redeemed

...................................................................

760,226

Management

fees

.........................................................................

1,130,995

Distribution

fees

..........................................................................

398,054

Trustees'

fees

and

expenses

.................................................................

Accrued

expenses

and

other

liabilities

...........................................................

118,609

Total

liabilities

.........................................................................

2,408,050

Net

assets,

at

value

.................................................................

$1,974,229,533

Net

assets

consist

of:

Paid-in

capital

.............................................................................

$1,340,864,371

Total

distributable

earnings

(losses)

.............................................................

633,365,162

Net

assets,

at

value

.................................................................

$1,974,229,533

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund

#### Class

#### 1:
Net

assets,

at

value

.......................................................................

$146,322,951

Shares

outstanding

........................................................................

8,814,749

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$16.60

#### Class

#### 2:
Net

assets,

at

value

.......................................................................

$1,720,465,429

Shares

outstanding

........................................................................

106,866,215

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$16.10

#### Class

#### 4:
Net

assets,

at

value

.......................................................................

$107,441,153

Shares

outstanding

........................................................................

6,573,226

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$16.35

a

Net

asset

value

per

share

may

not

recalculate

due

to

rounding.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Operations

for

the

year

ended

December

31,

2025

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
Investment

income:

Dividends:

(net

of

foreign

taxes

of

$694,610)

Unaffiliated

issuers

........................................................................

$41,935,841

Non-controlled

affiliates

(Note

e)

.............................................................

970,630

Interest:

Unaffiliated

issuers

........................................................................

7,718,834

Other

income

(Note

f)

.......................................................................

11,841

Total

investment

income

...................................................................

50,637,146

Expenses:

Management

fees

(Note

a)

...................................................................

13,131,211

Distribution

fees:

(Note

3c)

Class

................................................................................

4,268,506

Class

................................................................................

359,088

Custodian

fees

............................................................................

16,267

Reports

to

shareholders

fees

..................................................................

70,100

Professional

fees

...........................................................................

98,045

Trustees'

fees

and

expenses

..................................................................

21,266

Other

....................................................................................

42,118

Total

expenses

.........................................................................

18,006,601

Expenses

waived/paid

by

affiliates

(Note

e)

...................................................

(40,310)

Net

expenses

.........................................................................

17,966,291

Net

investment

income

................................................................

32,670,855

Realized

and

unrealized

gains

(losses):

Net

realized

gain

(loss)

from:

Investments:

Unaffiliated

issuers

......................................................................

146,784,396

Foreign

currency

transactions

................................................................

65,762

Forward

exchange

contracts

.................................................................

(2,990,178)

Futures

contracts

.........................................................................

(439,569)

Net

realized

gain

(loss)

..................................................................

143,420,411

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments:

Unaffiliated

issuers

......................................................................

30,052,963

Translation

of

other

assets

and

liabilities

denominated

in

foreign

currencies

..............................

54,009

Forward

exchange

contracts

.................................................................

(330,304)

Futures

contracts

.........................................................................

(170,174)

Net

change

in

unrealized

appreciation

(depreciation)

............................................

29,606,494

Net

realized

and

unrealized

gain

(loss)

............................................................

173,026,905

Net

increase

(decrease)

in

net

assets

resulting

from

operations

..........................................

$205,697,760

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statements

of

Changes

in

Net

Assets

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024
Increase

(decrease)

in

net

assets:

Operations:

Net

investment

income

.................................................

$32,670,855

$39,943,824

Net

realized

gain

(loss)

.................................................

143,420,411

202,502,530

Net

change

in

unrealized

appreciation

(depreciation)

...........................

29,606,494

(14,540,612)

Net

increase

(decrease)

in

net

assets

resulting

from

operations

................

205,697,760

227,905,742

Distributions

to

shareholders:

Class

.............................................................

(16,559,815)

(5,489,691)

Class

.............................................................

(204,545,510)

(73,854,793)

Class

.............................................................

(12,051,556)

(4,076,319)

Total

distributions

to

shareholders

..........................................

(233,156,881)

(83,420,803)

Capital

share

transactions:

(Note

2)

Class

.............................................................

15,796,754

2,009,309

Class

.............................................................

(19,860,122)

(245,014,763)

Class

.............................................................

5,741,608

(8,157,788)

Total

capital

share

transactions

............................................

1,678,240

(251,163,242)

Net

increase

(decrease)

in

net

assets

...................................

(25,780,881)

(106,678,303)

Net

assets:

Beginning

of

year

.......................................................

2,000,010,414

2,106,688,717

End

of

year

...........................................................

$1,974,229,533

$2,000,010,414

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund

franklintempleton.com

Annual

Report

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
Franklin

Templeton

Variable

Insurance

Products

Trust

(Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-end

management

investment

company,

consisting

of seventeen separate

funds.

The Trust

follows the

accounting

and

reporting

guidance

in

Financial

Accounting

Standards

Board

(FASB)

Accounting

Standards

Codification

Topic

946,

Financial

Services

–

Investment

Companies

(ASC

946)

and

applies

the

specialized

accounting

and

reporting

guidance

in

U.S.

Generally

Accepted

Accounting

Principles

(U.S.

GAAP),

including,

but

not

limited

to,

ASC

946. Franklin

Mutual

Shares

VIP

Fund

(Fund)

is

included

in

this

report.

Shares

of

the

Fund

are

generally

sold

only

to

insurance

company

separate

accounts

to

fund

the

benefits

of

variable

life

insurance

policies

or

variable

annuity

contracts. The

Fund

offers three classes

of

shares:

Class

1,

Class

and

Class

4. Each

class

of

shares

may

differ

by

its

distribution

fees,

voting

rights

on

matters

affecting

a

single

class

and

its

exchange

privilege.

The

following

summarizes

the Fund's

significant

accounting

policies.

a. #### Financial

#### Instrument

#### Valuation
The

Fund's

investments

in

financial

instruments

are

carried

at

fair

value

daily.

Fair

value

is

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

market

participants

on

the

measurement

date.

The

Fund

calculates

the

net

asset

value

(NAV)

per

share

each business

day as

of

p.m.

Eastern

time

or

the

regularly

scheduled

close

of

the

New

York

Stock

Exchange

(NYSE),

whichever

is

earlier.

Under

compliance

policies

and

procedures

approved

by

the Trust's

Board

of

Trustees

(the

Board),

the

Board

has

designated

the

Fund's

investment

manager

as

the

valuation

designee

and

has

responsibility

for

oversight

of

valuation.

The

investment

manager

is

assisted

by

the

Fund's

administrator

in

performing

this

responsibility,

including

leading

the

cross-

functional

Valuation

Committee

(VC).

The

Fund

may

utilize

independent

pricing

services,

quotations

from

securities

and

financial

instrument

dealers,

and

other

market

sources

to

determine

fair

value.

Equity

securities

and

derivative

financial instruments listed

on

an

exchange

or

on

the

NASDAQ

National

Market

System

are

valued

at

the

last

quoted

sale

price

or

the

official

closing

price of

the

day,

respectively. Foreign

equity

securities

are

valued

as

of

the

close

of

trading

on

the

foreign

stock

exchange

on

which

the

security

is

primarily

traded,

or

as

of

p.m.

Eastern

time.

The

value

is

then

converted

into

its

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

p.m.

Eastern

time

on

the

day

that

the

value

of

the

security

is

determined.

Over-the-counter

(OTC)

securities

are

valued

within

the

range

of

the

most

recent

quoted

bid

and

ask

prices.

Securities

that

trade

in

multiple

markets

or

on

multiple

exchanges

are

valued

according

to

the

broadest

and

most

representative

market.

Certain

equity

securities

are

valued

based

upon

fundamental

characteristics

or

relationships

to

similar

securities.

Debt

securities

generally

trade

in

the OTC

market

rather

than

on

a

securities

exchange.

The

Fund's

pricing

services

use

multiple

valuation

techniques

to

determine

fair

value.

In

instances

where

sufficient

market

activity

exists,

the

pricing

services

may

utilize

a

market-based

approach

through

which

quotes

from

market

makers

are

used

to

determine

fair

value.

In

instances

where

sufficient

market

activity

may

not

exist

or

is

limited,

the

pricing

services

also

utilize

proprietary

valuation

models

which

may

consider

market

characteristics

such

as

benchmark

yield

curves,

credit

spreads,

estimated

default

rates,

anticipated

market

interest

rate

volatility,

coupon

rates,

anticipated

timing

of

principal

repayments,

underlying

collateral,

and

other

unique

security

features

in

order

to

estimate

the

relevant

cash

flows,

which

are

then

discounted

to

calculate

the

fair

value.

Investments

in open-end mutual

funds

are

valued

at

the

closing

NAV.

Certain

derivative

financial

instruments

trade

in

the

OTC

market.

The

Fund's

pricing

services

use

various

techniques

including

industry

standard

option

pricing

models

and

proprietary

discounted

cash

flow

models

to

determine

the

fair

value

of

those

instruments.

The

Fund's

net

benefit

or

obligation

under

the

derivative

contract,

as

measured

by

the

fair

value

of

the

contract,

is

included

in

net

assets.

The

Fund

has

procedures

to

determine

the

fair

value

of

financial

instruments

for

which

market

prices

are

not

reliable

or

readily

available.

Under

these

procedures,

the Fund

primarily

employs

a

market-based

approach

which

may

use

related

or

comparable

assets

or

liabilities,

recent

transactions,

market

multiples,

and

other

relevant

information

for

the

investment

to

determine

the

fair

value

of

the

investment.

An

income-based

valuation

approach

may

also

be

used

in

which

the

anticipated

future

cash

flows

of

the

investment

are

discounted

to

calculate

fair

value.

Discounts

may

also

be

applied

due

to

the

nature

or

duration

of

any

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
(continued)

restrictions

on

the

disposition

of

the

investments.

Due

to

the

inherent

uncertainty

of

valuations

of

such

investments,

the

fair

values

may

differ

significantly

from

the

values

that

would

have

been

used

had

an

active

market

existed.

Trading

in

securities

on

foreign

securities

stock

exchanges

and

OTC

markets

may

be

completed

before

p.m.

Eastern

time.

In

addition,

trading

in

certain

foreign

markets

may

not

take

place

on

every

Fund's

business

day. Events

can occur

between

the

time

at

which

trading

in

a

foreign

security

is

completed

and

p.m.

Eastern

time

that

might

call

into

question

the

reliability

of

the

value

of

a

portfolio

security

held

by

the

Fund.

As

a

result,

differences

may

arise

between

the

value

of

the

Fund's

portfolio

securities

as

determined

at

the

foreign

market

close

and

the

latest

indications

of

value

at

p.m.

Eastern

time. In

order

to

minimize

the

potential

for

these

differences,

an

independent

pricing

service

may

be

used

to

adjust

the

value

of

the

Fund's

portfolio

securities

to

the

latest

indications

of

fair

value

at

p.m.

Eastern

time.

At

December

31,

2025,

certain

securities

may

have

been

fair

valued

using

these

procedures,

in

which

case

the

securities

were

categorized

as

Level

within

the

fair

value

hierarchy

(referred

to

as

"market

level

fair

value").

See

the

Fair

Value

Measurements

note

for

more

information.

When

the

last

day

of

the

reporting

period

is

a

non-business

day,

certain

foreign

markets

may

be

open

on

those

days

that

the

Fund's

NAV

is

not

calculated,

which

could

result

in

differences

between

the

value

of

the

Fund's

portfolio

securities

on

the

last

business

day

and

the

last

calendar

day

of

the

reporting

period.

Any

security

valuation

changes

due

to

an

open

foreign

market

are

adjusted

and

reflected

by

the

Fund

for

financial

reporting

purposes.

b. #### Foreign

#### Currency

#### Translation
Portfolio

securities

and

other

assets

and

liabilities

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

based

on

the

exchange

rate

of

such

currencies

against

U.S.

dollars

on

the

date

of

valuation.

The

Fund

may

enter

into

foreign

currency

exchange

contracts

to

facilitate

transactions

denominated

in

a

foreign

currency.

Purchases

and

sales

of

securities,

income

and

expense

items

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

at

the

exchange

rate

in

effect

on

the

transaction

date.

Portfolio

securities

and

assets

and

liabilities

denominated

in

foreign

currencies

contain

risks

that

those

currencies

will

decline

in

value

relative

to

the

U.S.

dollar.

Occasionally,

events

may

impact

the

availability

or

reliability

of

foreign

exchange

rates

used

to

convert

the

U.S.

dollar

equivalent

value.

If

such

an

event

occurs,

the

foreign

exchange

rate

will

be

valued

at

fair

value

using

procedures

established

and

approved

by

the

Board.

The

Fund

does

not

separately

report

the

effect

of

changes

in

foreign

exchange

rates

from

changes

in

market

prices

on

securities

held.

Such

changes

are

included

in

net

realized

and

unrealized

gain

or

loss

from

investments

in

the

Statement of

Operations.

Realized

foreign

exchange

gains

or

losses

arise

from

sales

of

foreign

currencies,

currency

gains

or

losses

realized

between

the

trade

and

settlement

dates

on

securities

transactions

and

the

difference

between

the

recorded

amounts

of

dividends,

interest,

and

foreign

withholding

taxes

and

the

U.S.

dollar

equivalent

of

the

amounts

actually

received

or

paid.

Net

unrealized

foreign

exchange

gains

and

losses

arise

from

changes

in

foreign

exchange

rates

on

foreign

denominated

assets

and

liabilities

other

than

investments

in

securities

held

at

the

end

of

the

reporting

period.

c. #### Derivative

#### Financial

#### Instruments
The

Fund invested

in

derivative

financial

instruments

in

order

to

manage

risk

or

gain

exposure

to

various

other

investments

or

markets.

Derivatives

are

financial

contracts

based

on

an

underlying

or

notional

amount,

require

no

initial

investment

or

an

initial

net

investment

that

is

smaller

than

would

normally

be

required

to

have

a

similar

response

to

changes

in

market

factors,

and

require

or

permit

net

settlement.

Derivatives

contain

various

risks

including

the

potential

inability

of

the

counterparty

to

fulfill

their

obligations

under

the

terms

of

the

contract,

the

potential

for

an

illiquid

secondary

market,

and/or

the

potential

for

market

movements

which

expose

the

Fund

to

gains

or

losses

in

excess

of

the

amounts

shown

in

the

Statement

of

Assets

and

Liabilities.

Realized

gain

and

loss

and

unrealized

appreciation

and

depreciation

on

these

contracts

for

the

period

are

included

in

the

Statement

of

Operations.

Derivative

counterparty

credit

risk

is

managed

through

a

formal

evaluation

of

the

creditworthiness

of

all

potential

counterparties.

The

Fund

attempts

to

reduce

its

exposure

to

counterparty

credit

risk

on

OTC

derivatives,

whenever

possible,

by

entering

into

International

Swaps

and

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

a. #### Financial

#### Instrument

#### Valuation
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
(continued)

Derivatives

Association

(ISDA)

master

agreements

with

certain

counterparties.

These

agreements

contain

various

provisions,

including

but

not

limited

to

collateral

requirements,

events

of

default,

or

early

termination.

Termination

events

applicable

to

the

counterparty

include

certain

deteriorations

in

the

credit

quality

of

the

counterparty.

Termination

events

applicable

to

the

Fund

include

failure

of

the

Fund

to

maintain

certain

net

asset

levels

and/or

limit

the

decline

in

net

assets

over

various

periods

of

time.

In

the

event

of

default

or

early

termination,

the

ISDA

master

agreement

gives

the

non-defaulting

party

the

right

to

net

and

close-out

all

transactions

traded,

whether

or

not

arising

under

the

ISDA

agreement,

to

one

net

amount

payable

by

one

counterparty

to

the

other.

However,

absent

an

event

of

default

or

early

termination,

OTC

derivative

assets

and

liabilities

are

presented

gross

and

not

offset

in

the

Statement

of

Assets

and

Liabilities.

Early

termination

by

the

counterparty

may

result

in

an

immediate

payment

by

the

Fund

of

any

net

liability

owed

to

that

counterparty

under

the

ISDA

agreement.

At

December

31,

2025,

the

Fund

had

no

OTC

derivatives

in

a

net

liability

position

for

such

contracts.

Collateral

requirements

differ

by

type

of

derivative.

Collateral

or

initial

margin

requirements

are

set

by

the

broker

or

exchange

clearing

house

for

exchange

traded

and

centrally

cleared

derivatives.

Initial

margin

deposited

is

held

at

the

exchange

or

at

the

broker and

can

be

in

the

form

of

cash

and/or

securities.

For

OTC

derivatives

traded

under

an

ISDA

master

agreement,

posting

of

collateral

is

required

by

either

the

Fund

or

the

applicable

counterparty

if

the

total

net

exposure

of

all

OTC

derivatives

with

the

applicable

counterparty

exceeds

the

minimum

transfer

amount,

which

typically

ranges

from

$100,000

to

$250,000,

and

can

vary

depending

on

the

counterparty

and

the

type

of agreement.

Generally,

collateral

is

determined

at

the

close

of

Fund

business

each

day

and

any

additional

collateral

required

due

to

changes

in

derivative

values

may

be

delivered

by

the

Fund

or

the

counterparty

the

next

business

day,

or

within

a

few

business

days.

Collateral

pledged

and/or

received

by

the

Fund

for

OTC

derivatives,

if

any,

is

held

in

segregated

accounts

with

the

Fund's

custodian/counterparty

broker

and

can

be

in

the

form

of

cash

and/or

securities.

Unrestricted

cash

may

be

invested

according

to

the

Fund's

investment

objectives.

To

the

extent

that

the

amounts

due

to

the

Fund

from

its

counterparties

are

not

subject

to

collateralization

or

are

not

fully

collateralized,

the

Fund

bears

the

risk

of

loss

from

counterparty

non-performance.

The

Fund

entered

into

exchange

traded

futures

contracts

primarily

to

manage

and/or

gain

exposure

to

certain

foreign

currencies.

A

futures

contract

is

an

agreement

between

the

Fund

and

a

counterparty

to

buy

or

sell

an

asset

at

a

specified

price

on

a

future

date.

Required

initial

margins

are

pledged

by

the

Fund,

and

the

daily

change

in

fair

value

is

accounted

for

as

a

variation

margin

payable

or

receivable

in

the

Statement

of

Assets

and

Liabilities.

Futures

contracts

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

The

Fund entered

into

OTC

forward

exchange

contracts

primarily

to

manage

and/or

gain

exposure

to

certain

foreign

currencies.

A

forward

exchange

contract

is

an

agreement

between

the

Fund

and

a

counterparty

to

buy

or

sell

a

foreign

currency at

a

specific

exchange

rate

on

a

future

date.

Forward

exchange

contracts

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

See

Note

8 regarding

other

derivative

information.

d. #### Securities

#### Sold

#### Short
The

Fund

is engaged

in

selling

securities

short,

which

obligates

the

Fund

to

replace

a

borrowed

security

with

the

same

security

at

current

fair

value.

The

Fund

incurs

a

loss

if

the

price

of

the

security

increases

between

the

date

of

the

short

sale

and

the

date

on

which

the

Fund

replaces

the

borrowed

security.

The

Fund

realizes

a

gain

if

the

price

of

the

security

declines

between

those

dates.

Gains

are

limited

to

the

price

at

which

the

Fund

sold

the

security

short,

while

losses

are

potentially

unlimited

in

size.

The

Fund

is

required

to

establish

a

margin

account

with

the

broker

lending

the

security

sold

short.

While

the

short

sale

is

outstanding,

the

broker

retains

the

proceeds

of

the

short

sale

to

the

extent

necessary

to

meet

margin

requirements

until

the

short

position

is

closed

out.

A

deposit

must

also

be

maintained

with

the

Fund's

custodian/counterparty

broker

consisting

of

cash

and/or

securities

having

a

value

equal

to

a

specified

percentage

of

the

value

of

the

securities

sold

short.

The

Fund

may

receive

income

from

the

investment

of

cash

collateral.

The

Fund

is

obligated

to

pay

fees

for

borrowing

the

securities

sold

short

and

is

required

to

pay

the

counterparty

any

dividends

and/or

interest

due

on

securities

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

c. #### Derivative

#### Financial

#### Instruments
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
(continued)

sold

short.

Such

dividends

and/or

interest

and

any

security

borrowing

fees

are

recorded

as

an

expense

to

the

Fund.

At

December

31,

2025,

the

Fund

had

no

securities

sold

short.

e. #### Senior

#### Floating

#### Rate

#### Interests
The

Fund

invests

in

senior

secured

corporate

loans

that

pay

interest

at

rates

which

are

periodically

reset

by

reference

to

a

base

lending

rate

plus

a

spread.

These

base

lending

rates

are

generally

the

prime

rate

offered

by

a

designated

U.S.

bank

or

the

Secured

Overnight

Financing

Rate

(SOFR).

Senior

secured

corporate

loans

often

require

prepayment

of

principal

from

excess

cash

flows

or

at

the

discretion

of

the

borrower.

As

a

result,

actual

maturity

may

be

substantially

less

than

the

stated

maturity.

Senior

secured

corporate

loans

in

which

the Fund

invests

are

generally

readily

marketable,

but

may

be

subject

to

certain

restrictions

on

resale.

f. #### Income

#### and

#### Deferred

#### Taxes
It

is the Fund's

policy

to

qualify

as

a

regulated

investment

company

under

the

Internal

Revenue

Code. The Fund

intends

to

distribute

to

shareholders

substantially

all

of

its

taxable

income

and

net

realized

gains

to

relieve

it

from

federal

income

and if

applicable,

excise

taxes.

As

a

result,

no

provision

for

U.S.

federal

income

taxes

is

required.

The

Fund

may

be

subject

to

foreign

taxation

related

to

income

received,

capital

gains

on

the

sale

of

securities

and

certain

foreign

currency

transactions

in

the

foreign

jurisdictions

in

which

it

invests.

Foreign

taxes,

if

any,

are

recorded

based

on

the

tax

regulations

and

rates

that

exist

in

the

foreign

markets

in

which

the

Fund

invests.

When

a

capital

gain

tax

is

determined

to

apply,

the

Fund

records

an

estimated

deferred

tax

liability

in

an

amount

that

would

be

payable

if

the

securities

were

disposed

of

on

the

valuation

date.

As

a

result

of

several

court

cases,

in

certain

countries

across

the

European

Union,

the

Fund

filed

additional

tax

reclaims

for

previously

withheld

taxes

on

dividends

earned

in

those

countries

(EU

reclaims). Income

recognized,

if

any,

for

EU

reclaims

is

reflected

as

other

income

in

the

Statement

of

Operations

and

any

related

receivable,

if

any,

is

reflected

as

European

Union

tax

reclaims

in

the

Statement

of

Assets

and

Liabilities.

Any

fees

associated

with

these

filings

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

When

uncertainty

exists

as

to

the

ultimate

resolution

of

these

proceedings,

the

likelihood

of

receipt

of

these

EU

reclaims,

and

the

potential

timing

of

payment,

no

amounts

are

reflected

in

the

financial

statements.

For

U.S.

income

tax

purposes,

when

EU

reclaims

are

received

by

the

Fund

and

the

Fund

previously

passed

foreign

tax

credit

on

to

its

shareholders,

the

Fund

will

enter

into

a

closing

agreement

with

the

Internal

Revenue

Service

(IRS)

in

order

to

pay

the

associated

tax

liability

on

behalf

of

the

Fund's

shareholders.

The Fund

may

recognize

an

income

tax

liability

related

to

its

uncertain

tax

positions

under

U.S.

GAAP

when

the

uncertain

tax

position

has

a

less

than

50%

probability

that

it

will

be

sustained

upon

examination

by

the

tax

authorities

based

on

its

technical

merits.

As

of

December

31,

2025, the Fund

has

determined

that

no

tax

liability

is

required

in

its

financial

statements

related

to

uncertain

tax

positions

for

any

open

tax

years

(or

expected

to

be

taken

in

future

tax

years).

The

Fund's

federal

and

state

income

and

federal

excise

tax

returns

for

the

prior

three

fiscal

years

are

subject

to

examination

by

the

Internal

Revenue

Service

and

state

departments

of

revenue.

g. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
Security

transactions

are

accounted

for

on

trade

date.

Realized

gains

and

losses

on

security

transactions

are

determined

on

a

specific

identification

basis.

Interest

income

(including

interest

income

from

payment-in-kind

securities,

if

any)

and

estimated

expenses

are

accrued

daily.

Amortization

of

premium

and

accretion

of

discount

on

debt

securities

are

included

in

interest

income.

Paydown

gains

and

losses

are

recorded

as

an

adjustment

to

interest

income.

Certain

or

all

Funds

may

receive

other

income

from

investments

in

senior

secured

corporate

loans

or

unfunded

commitments,

including

amendment

fees,

consent

fees

or

commitment

fees.

These

fees

are

recorded

as

income

when

received

by

the

Funds. Facility

fees

are

recognized

as

income

over

the

expected

term

of

the

loan. Dividend

income

and

dividends

declared

on

securities

sold

short

are

recorded

on

the

ex-

dividend

date

except

for

certain

dividends

from

securities

where

the

dividend

rate

is

not

available.

In

such

cases,

the

dividend

is

recorded

as

soon

as

the

information

is

received

by

the

Fund.

Distributions

to

shareholders

are

recorded

on

the ex-dividend

date.

Distributable

earnings

are

determined

according

to

income

tax

regulations

(tax

basis)

and

may

differ

from

earnings

recorded

in

accordance

with

U.S.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

d. #### Securities

#### Sold

#### Short
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
(continued)

GAAP.

These

differences

may

be

permanent

or

temporary.

Permanent

differences

are

reclassified

among

capital

accounts

to

reflect

their

tax

character.

These

reclassifications

have

no

impact

on

net

assets

or

the

results

of

operations.

Temporary

differences

are

not

reclassified,

as

they

may

reverse

in

subsequent

periods.

Common

expenses

incurred

by

the

Trust

are

allocated

among

the

Funds

based

on

the

ratio

of

net

assets

of

each

Fund

to

the

combined

net

assets

of

the

Trust

or

based

on

the

ratio

of

number

of

shareholders

of

each

Fund

to

the

combined

number

of

shareholders

of

the

Trust.

Fund

specific

expenses

are

charged

directly

to

the

Fund

that

incurred

the

expense.

Realized

and

unrealized

gains

and

losses

and

net

investment

income,

excluding

class

specific

expenses,

are

allocated

daily

to

each

class

of

shares

based

upon

the

relative

proportion

of

net

assets

of

each

class.

Differences

in

per

share

distributions

by

class

are

generally

due

to

differences

in

class

specific

expenses.

h. #### Accounting

#### Estimates
The

preparation

of

financial

statements

in

accordance

with

U.S.

GAAP

requires

management

to

make

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

amounts

of

income

and

expenses

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

i. #### Guarantees

#### and

#### Indemnifications
Under

the Trust's

organizational

documents,

its

officers

and trustees

are

indemnified

by

the Trust against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Trust.

Additionally,

in

the

normal

course

of

business,

the Trust,

on

behalf

of

the

Fund, enters

into

contracts

with

service

providers

that

contain

general

indemnification

clauses.

The Trust's

maximum

exposure

under

these

arrangements

is

unknown

as

this

would

involve

future

claims

that

may

be

made

against

the Trust

that

have

not

yet

occurred.

Currently,

the Trust

expects

the

risk

of

loss

to

be

remote.

2. #### Shares

#### of

#### Beneficial

#### Interest
At

December

31,

2025,

there

were

an

unlimited

number

of

shares

authorized

(without

par

value).

Transactions

in

the

Fund's

shares

were

as

follows:

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### 1

#### Shares:
Shares

sold

...................................

448,898

$7,631,548

274,966

$4,592,561

Shares

issued

in

reinvestment

of

distributions

..........

1,033,696

16,559,815

320,472

5,489,691

Shares

redeemed

...............................

(487,902)

(8,394,609)

(472,908)

(8,072,943)

Net

increase

(decrease)

..........................

994,692

$15,796,754

122,530

$2,009,309

#### Class

#### 2

#### Shares:
Shares

sold

...................................

8,231,236

$138,749,672

1,283,854

$20,713,624

Shares

issued

in

reinvestment

of

distributions

..........

13,154,052

204,545,510

4,427,746

73,854,793

Shares

redeemed

...............................

(22,285,172)

(363,155,304)

(20,711,479)

(339,583,180)

Net

increase

(decrease)

..........................

(899,884)

$(19,860,122)

(14,999,879)

$(245,014,763)

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

g. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
(continued)

3. #### Transactions

#### with

#### Affiliates
Franklin

Resources,

Inc.

is

the

holding

company

for

various

subsidiaries

that

together

are

referred

to

as

Franklin

Templeton.

Certain

officers

and trustees

of

the Fund are

also

officers

and/or directors

of

the

following

subsidiaries:

a. #### Management

#### Fees
The

Fund

pays

an

investment

management fee,

calculated

daily and

paid

monthly,

to

Franklin

Mutual

based

on the

average

daily

net

assets

of

the

Fund

as

follows:

For

the

year

ended

December

31,

2025,

the

gross

effective

investment

management

fee

rate

was 0.675%

of

the

Fund's

average daily

net

assets.

b. #### Administrative

#### Fees
Under

an

agreement

with

Franklin

Mutual,

FT

Services

provides

administrative

services

to

the

Fund.

The

fee

is

paid

by

Franklin

Mutual

based

on

the

Fund's

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Fund.

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### 4

#### Shares:
Shares

sold

...................................

502,789

$8,215,940

381,981

$6,285,760

Shares

issued

in

reinvestment

of

distributions

..........

763,240

12,051,556

241,060

4,076,319

Shares

redeemed

...............................

(861,992)

(14,525,888)

(1,115,523)

(18,519,867)

Net

increase

(decrease)

..........................

404,037

$5,741,608

(492,482)

$(8,157,788)

#### Subsidiary

#### Affiliation
Franklin

Mutual

Advisers,

LLC

(Franklin

Mutual)

Investment

manager

Franklin

Templeton

Services,

LLC

(FT

Services)

Administrative

manager

Franklin

Distributors,

LLC

(Distributors)

Principal

underwriter

Franklin

Templeton

Investor

Services,

LLC

(Investor

Services)

Transfer

agent

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
0.675%

Up

to

and

including

$5

billion

0.645%

Over

$5

billion,

up

to

and

including

$10

billion

0.625%

Over

$10

billion,

up

to

and

including

$15

billion

0.595%

Over

$15

billion,

up

to

and

including

$20

billion

0.585%

Over

$20

billion,

up

to

and

including

$25

billion

0.565%

Over

$25

billion,

up

to

and

including

$30

billion

0.555%

Over

$30

billion,

up

to

and

including

$35

billion

0.545%

In

excess

of

$35

billion

2. #### Shares

#### of

#### Beneficial

#### Interest
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
(continued)

c. #### Distribution

#### Fees
The

Board

has

adopted distribution

plans

for

Class

2 and

Class

shares

pursuant

to

Rule

12b-1

under

the

1940

Act.

Under

the

Fund's

compensation

distribution

plans,

the

Fund

pays

Distributors

for

costs

incurred

in

connection

with

the

servicing,

sale

and

distribution

of

the

Fund's

shares

up

to

0.35%

per

year

of

its

average

daily

net

assets

of

each

class.

The

Board

has

agreed

to

limit

the

current

rate

to

0.25%

per

year

for

Class

2. The

plan

year,

for

purposes

of

monitoring

compliance

with

the

maximum

annual

plan

rates,

is

February

through

January

31. d. #### Transfer

#### Agent

#### Fees
Investor

Services,

under

terms

of

an

agreement,

performs

shareholder

servicing

for

the

Fund and

is

not

paid

by

the Fund

for

the

services.

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
The

Fund

invests

in

one

or

more

affiliated

management

investment

companies.

As

defined

in

the

1940

Act,

an

investment

is

deemed

to

be

a

"Controlled

Affiliate"

of

a

fund

when

a

fund

owns,

either

directly

or

indirectly,

25%

or

more

of

the

affiliated

fund's

outstanding

shares

or

has

the

power

to

exercise

control

over

management

or

policies

of

such

fund.

The

Fund

does

not

invest

for

purposes

of

exercising

a

controlling

influence

over

the

management

or

policies.

Management

fees

paid

by

the

Fund

are

waived

on

assets

invested

in

the

affiliated

management

investment

companies,

as

noted

in

the

Statement

of

Operations,

in

an

amount

not

to

exceed

the

management

and

administrative

fees,

if

applicable, paid

directly

or

indirectly

by

each

affiliate.

During

the

year

ended

December

31,

2025,

the

Fund

held

investments

in

affiliated

management

investment

companies

as

follows:

4. #### Income

#### Taxes
The

tax

character

of

distributions

paid

during

the

years

ended

December

31,

2025

and

2024,

was

as

follows:

#### &nbsp;&nbsp;&nbsp;&nbsp;aa

#### Value

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### Sales

#### Realized

#### Gain
(Loss)

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### Value

#### at

#### End

#### of

#### Year

#### Number

#### of

#### Shares

#### Held

#### at

#### End

#### of

#### Year

#### Investment

#### Income

#### a&nbsp;&nbsp;&nbsp;&nbsp;

#### a

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund

#### Non-Controlled

#### Affiliates
Dividends

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$—

$345,918,264

$(345,663,963)

$—

$—

$254,301

254,301

$970,630

#### Total

#### Affiliated

#### Securities

#### ...
$—

$345,918,264

$(345,663,963)

$—

$—

$254,301

$970,630

#### 2025

#### 2024
Distributions

paid

from:

Ordinary

income

..........................................................

$62,376,375

$44,094,570

Long

term

capital

gain

......................................................

170,780,506

39,326,233

$233,156,881

$83,420,803

3. #### Transactions

#### with

#### Affiliates
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
(continued)

At

December

31,

2025,

the

cost

of

investments,

net

unrealized

appreciation

(depreciation),

undistributed

ordinary

income

and

undistributed

long

term

capital

gains

for

income

tax

purposes

were

as

follows:

Differences

between

income

and/or

capital

gains

as

determined

on

a

book

basis

and

a

tax

basis

are

primarily

due

to

differing

treatment

of

wash

sales.

5. #### Investment

#### Transactions
Purchases

and

sales

of

investments

(excluding

short

term

securities

and

securities

sold

short) for

the

year

ended

December

31,

2025,

aggregated

$1,085,623,870 and

$1,272,076,781,

respectively.

6. #### Credit

#### Risk

#### and

#### Defaulted

#### Securities
The

Fund

may

purchase

the

pre-default

or

defaulted

debt

of

distressed

companies.

Distressed

companies

are

financially

troubled

and

could

be

or

are

already

involved

in

financial

restructuring

or

bankruptcy.

Risks

associated

with

purchasing

these

securities

include

the

possibility

that

the

bankruptcy

or

other

restructuring

process

takes

longer

than

expected,

or

that

distributions

in

restructuring

are

less

than

anticipated,

either

or

both

of

which

may

result

in

unfavorable

consequences

to

the

Fund.

If

it

becomes

probable

that

the

income

on

debt

securities,

including

those

of

distressed

companies,

will

not

be

collected,

the

Fund

discontinues

accruing

income

and

recognizes

an

adjustment

for

uncollectible

interest.

At

December

31,

2025,

the

Fund

did

not

hold

any

distressed

company

securities

for

which

interest

recognition

has

been

discontinued.

7. #### Restricted

#### Securities
The

Fund

invests

in

securities

that

are

restricted

under

the

Securities

Act

of

1933

(1933

Act).

Restricted

securities

are

often

purchased

in

private

placement

transactions,

and

cannot

be

sold

without

prior

registration

unless

the

sale

is

pursuant

to

an

exemption

under

the

1933

Act.

Disposal

of

these

securities

may

require

greater

effort

and

expense,

and

prompt

sale

at

an

acceptable

price

may

be

difficult.

The Fund

may

have

registration

rights

for

restricted

securities.

The

issuer

generally

incurs

all

registration

costs.

At

December

31,

2025,

investments

in

restricted

securities,

excluding

securities

exempt

from

registration

under

the

1933

Act,

were

as

follows:

Cost

of

investments

..........................................................................

$1,491,326,045

Unrealized

appreciation

........................................................................

$502,532,208

Unrealized

depreciation

........................................................................

(36,497,899)

Net

unrealized

appreciation

(depreciation)

..........................................................

$466,034,309

Distributable

earnings:

Undistributed

ordinary

income

...................................................................

$44,130,571

Undistributed

long

term

capital

gains

..............................................................

122,773,040

Total

distributable

earnings

.....................................................................

$166,903,611

4. #### Income

#### Taxes
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
(continued)

8. #### Other

#### Derivative

#### Information
For

the

year

ended

December

31,

2025,

the

effect

of

derivative

contracts

in

the Statement

of

Operations

was

as

follows:

For

the

year

ended

December

31,

2025

,

the

average

month

end

notional

amount

of

futures

contracts

represented

$2,713,038

. The

average

month

end

contract

value

of

forward

exchange

contracts

was

$29,460,677

.

See

Note

1(c)

regarding

derivative

financial

instruments.

9. #### Credit

#### Facility
The

Fund,

together

with

other

U.S.

registered

and

foreign

investment

funds

(collectively,

Borrowers),

managed

by

Franklin

Templeton,

are

borrowers

in

a

joint

syndicated

senior

unsecured

credit

facility

totaling

$2.995

billion

(Global

Credit

Facility)

which

matured

on

January

30,

2026. This

Global

Credit

Facility

provides

a

source

of

funds

to

the

Borrowers

for

temporary

and

emergency

purposes,

including

the

ability

to

meet

future

unanticipated

or

unusually

large

redemption

requests.

Effective

January

30,

2026,

the

Borrowers

renewed

the

Global

Credit

Facility

for

a

one-year

term,

maturing

January

29,

2027,

for

a

total

of

$2.995

billion.

Under

the

terms

of

the

Global

Credit

Facility,

the

Fund

may,

in

addition

to

interest

charged

on

any

borrowings

made

by

the

Fund

and

other

costs

incurred

by

the

Fund,

pay

its

share

of

fees

and

expenses

incurred

in

connection

with

the

implementation

and

maintenance

of

the

Global

Credit

Facility,

based

upon

its

relative

share

of

the

aggregate

net

assets

of

all

of

the

Borrowers,

including

an

annual

commitment

fee

of

0.15%

based

upon

the

unused

portion

of

the

Global

Credit

Facility.

These

fees

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

During

the

year

ended

December

31,

2025,

the Fund

did

not

use

the

Global

Credit

Facility.

#### Shares

#### /

#### Warrants

#### Issuer

#### Acquisition

#### Date

#### Cost

#### Value

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
4,107

Uniti

Group,

Inc.

.............................

8/04/25

$

3,575,413

$

4,051,140

125,422

Uniti

Group,

Inc.,

8/01/35

......................

8/04/25

602,026

757,801

643,835

Uniti

Group,

Inc..

............................

8/04/25

4,004,654

4,400,995

#### Total

#### Restricted

#### Securities
(Value

is

0.5%

of

Net

Assets)

#### ...............
$8,182,093

$9,209,936

#### Derivative

#### Contracts

#### Not

#### Accounted

#### for

#### as

#### Hedging

#### Instruments

#### Statement

#### of

#### Operations

#### Location

#### Net

#### Realized

#### Gain
(Loss)

#### for

#### the

#### Year

#### Statement

#### of

#### Operations

#### Location

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### for

#### the

#### Year

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
Net

realized

gain

(loss)

from:

Net

change

in

unrealized

&nbsp;&nbsp;&nbsp;&nbsp;appreciation

(depreciation)

on:

Foreign

exchange

contracts

.....

Futures

contracts

$(439,569)

Futures

contracts

$(170,174)

Forward

exchange

contracts

(2,990,178)

Forward

exchange

contracts

(330,304)

Total

.......................

$(3,429,747)

$(500,478)

7. #### Restricted

#### Securities
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
(continued)

10. #### Fair

#### Value

#### Measurements
The

Fund

follows

a

fair

value

hierarchy

that

distinguishes

between

market

data

obtained

from

independent

sources

(observable

inputs)

and

the Fund's

own

market

assumptions

(unobservable

inputs).

These

inputs

are

used

in

determining

the

value

of

the

Fund's financial

instruments

and

are

summarized

in

the

following

fair

value

hierarchy:

Level

–

quoted

prices

in

active

markets

for

identical

financial

instruments

Level

–

other

significant

observable

inputs

(including

quoted

prices

for

similar

financial

instruments,

interest

rates,

prepayment

speed,

credit

risk,

etc.)

Level

–

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

financial

instruments)

The

input

levels

are

not

necessarily

an

indication

of

the

risk

or

liquidity

associated

with

financial

instruments

at

that

level.

A

summary

of

inputs

used

as

of

December

31,

2025,

in

valuing

the

Fund's assets carried

at

fair

value,

is

as

follows:

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund

#### Assets:
Investments

in

Securities:

a

Common

Stocks

:

Automobiles

..........................

$

36,499,344

$

—

$

—

$

36,499,344

Banks

...............................

166,899,756

—

—

166,899,756

Broadline

Retail

.......................

57,163,727

—

—

57,163,727

Building

Products

......................

45,421,295

—

—

45,421,295

Capital

Markets

........................

37,501,503

—

—

37,501,503

Chemicals

...........................

32,762,302

—

—

32,762,302

Communications

Equipment

..............

34,872,020

—

—

34,872,020

Consumer

Finance

.....................

37,199,836

—

—

37,199,836

Consumer

Staples

Distribution

&

Retail

......

45,485,276

—

—

45,485,276

Containers

&

Packaging

.................

32,597,943

—

—

32,597,943

Diversified

Telecommunication

Services

.....

—

—

4,400,995

4,400,995

Electric

Utilities

........................

71,912,436

—

—

71,912,436

Electronic

Equipment,

Instruments

&

Components

........................

21,704,254

—

—

21,704,254

Energy

Equipment

&

Services

.............

30,575,504

—

—

30,575,504

Entertainment

.........................

44,487,142

—

—

44,487,142

Financial

Services

......................

55,590,456

—

—

55,590,456

Food

Products

........................

—

31,639,143

—

31,639,143

Ground

Transportation

..................

30,088,255

—

—

30,088,255

Health

Care

Equipment

&

Supplies

.........

82,437,418

—

—

82,437,418

Health

Care

Providers

&

Services

..........

16,878,632

—

—

16,878,632

Household

Products

....................

41,991,070

—

—

41,991,070

Insurance

............................

90,603,355

—

—

90,603,355

Interactive

Media

&

Services

..............

70,219,046

—

—

70,219,046

Life

Sciences

Tools

&

Services

............

48,083,340

—

—

48,083,340

Machinery

............................

47,570,616

—

—

47,570,616

Metals

&

Mining

.......................

40,173,440

—

—

40,173,440

Oil,

Gas

&

Consumable

Fuels

.............

78,617,736

—

—

78,617,736

Personal

Care

Products

.................

37,489,341

—

—

37,489,341

Pharmaceuticals

.......................

73,761,171

92,863,227

—

166,624,398

Professional

Services

...................

49,809,902

—

—

49,809,902

Retail

REITs

..........................

37,201,434

—

—

37,201,434

Semiconductors

&

Semiconductor

Equipment

.

30,409,238

—

—

30,409,238

Software

.............................

67,498,853

—

—

67,498,853

Specialized

REITs

......................

32,667,256

—

—

32,667,256

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
(continued)

A

reconciliation

in

which

Level

inputs

are

used

in

determining

fair

value

is

presented

when

there

are

significant

Level

assets

and/or

liabilities

at

the

beginning

and/or

end

of

the year.

11. #### Operating

#### Segments
The Fund operates

as

a

single

operating

segment,

which

is

an

investment

portfolio.

The

portfolio

managers

assigned

to

the

Fund

within

the

Fund's

Investment

manager serve

as

the

Chief

Operating

Decision

Maker

("CODM")

and

are

responsible

for

evaluating

the

Fund's

operating

results

and

allocating

resources

in

accordance

with

the

Fund's

investment

strategy.

Internal

reporting

provided

to

the

CODM

aligns

with

the

accounting

policies

and

measurement

principles

used

in

the financial

statements.

For

information

regarding

segment

assets,

segment

profit

or

loss,

and

significant

expenses,

refer

to

the Statement

of

Assets

and

Liabilities

and

the Statement

of

Operations,

along

with

the

related

notes

to

the financial

statements.

The Schedule

of

Investments

provides

details

of

the Fund's investments

that

generate

returns

such

as

interest,

dividends,

and

realized

and

unrealized

gains

or

losses.

Performance

metrics,

including

portfolio

turnover

and

expense

ratios,

are

disclosed

in

the Financial

Highlights.

12. #### Subsequent

#### Events
The Fund

has

evaluated

subsequent

events

through

the

issuance

of

the

financial

statements

and

determined

that

no

events

have

occurred

that

require

disclosure

other

than

those

already

disclosed

in

the

financial

statements.

#### Abbreviations

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
(continued)

#### Assets:
(continued)

Investments

in

Securities:

a

(continued)

Common

Stocks:

(continued)

Specialty

Retail

........................

$

39,507,758

$

—

$

—

$

39,507,758

Tobacco

.............................

—

34,505,334

—

34,505,334

Trading

Companies

&

Distributors

..........

71,686,990

—

—

71,686,990

Preferred

Stocks

.........................

—

—

4,051,140

4,051,140

Warrants

...............................

—

—

757,801

757,801

Corporate

Bonds

........................

—

12,256,807

—

12,256,807

Senior

Floating

Rate

Interests

...............

—

39,263,961

—

39,263,961

Companies

in

Liquidation

..................

—

—

—

b

—

Short

Term

Investments

...................

254,301

—

—

254,301

Total

Investments

in

Securities

...........

$1,737,621,946

$210,528,472

c

$9,209,936

$1,957,360,354

a

For

detailed

categories,

see

the

accompanying

Schedule

of

Investments.

b

Includes

financial

instruments

determined

to

have

no

value.

c

Includes

foreign

securities

valued

at

$159,007,704,

which

were

categorized

as

Level

as

a

result

of

the

application

of

market

level

fair

value

procedures.

See

the

Financial

Instrument

Valuation

note

for

more

information.

#### Selected

#### Portfolio

#### ADR
American

Depositary

Receipt

#### CME
Chicago

Mercantile

Exchange

#### REIT
Real

Estate

Investment

Trust

#### SOFR
Secured

Overnight

Financing

Rate

10. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Report

of

Independent

Registered

Public

Accounting

Firm

franklintempleton.com

Annual

Report

To

the

Board

of

Trustees

of

Franklin

Templeton

Variable

Insurance

Products

Trust

and

Shareholders

of

Franklin

Mutual

Shares

VIP

Fund

#### Opinion

#### on

#### the

#### Financial

#### Statements
We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

investments,

of

Franklin

Mutual

Shares

VIP

Fund

(one

of

the

funds

constituting

Franklin

Templeton

Variable

Insurance

Products

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2025,

the

related

statement

of

operations

for

the

year

ended

December

31,

2025,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

(collectively

referred

to

as

the

"financial

statements").

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2025,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

#### Basis

#### for

#### Opinion
These

financial

statements

are

the

responsibility

of

the

Fund's

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund's

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2025

by

correspondence

with

the

custodian,

transfer

agent,

private

placement

agents,

agent

banks

and

broker;

when

replies

were

not

received

from

agent

banks

or

a

private

placement

agent,

we

performed

other

auditing

procedures.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/PricewaterhouseCoopers

LLP

San

Francisco,

California

February

19,

2026

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Franklin

Templeton

Group

of

Funds

since

1948. Franklin

Templeton

Variable

Insurance

Products

Trust

Tax

Information

(unaudited)

franklintempleton.com

Annual

Report

#### Franklin

#### Mutual

#### Shares

#### VIP

#### Fund
By

mid-February,

tax

information

related

to

a

shareholder's

proportionate

share

of

distributions

paid

during

the

preceding

calendar

year

will

be

received,

if

applicable.

Please

also

refer

to

www.franklintempleton.com

for

per

share

tax

information

related

to

any

distributions

paid

during

the

preceding

calendar

year.

Shareholders

are

advised

to

consult

with

their

tax

advisors

for

further

information

on

the

treatment

of

these

amounts

on

their

tax

returns.

The

following

tax

information

for

the

Fund

is

required

to

be

furnished

to

shareholders

with

respect

to

income

earned

and

distributions

paid

during

its

fiscal

year.

The

Fund

hereby

reports

the

following

amounts,

or

if

subsequently

determined

to

be

different,

the

maximum

allowable

amounts,

for

the

fiscal

year

ended

December

31,

2025:

Note

(1) -

The

Law

varies

in

each

state

as

to

whether

and

what

percentage

of

dividend

income

attributable

to

Federal

obligations

is

exempt

from

state

income

tax.

Shareholders

are

advised

to

consult

with

their

tax

advisors

to

determine

if

any

portion

of

the

dividends

received

is

exempt

from

state

income

taxes.

#### Pursuant

#### to:

#### Amount

#### Reported
Long-Term

Capital

Gain

Dividends

Distributed

§852(b)(3)(C)

$170,780,506

Income

Eligible

for

Dividends

Received

Deduction

(DRD)

§854(b)(1)(A)

$28,244,538

Interest

Earned

from

Federal

Obligations

Note

(1) $716,547

FRANKLIN

TEMPLETON

VARIABLE

INSURANCE

PRODUCTS

TRUST

franklintempleton.com

Annual

Report

#### Changes

#### In

#### and

#### Disagreements

#### with

#### Accountants
For

the

period

covered

by

this

report

Not

applicable.

#### Results

#### of

#### Meeting(s)

#### of

#### Shareholders
For

the

period

covered

by

this

report

Not

applicable.

#### Remuneration

#### Paid

#### to

#### Directors,

#### Officers

#### and

#### Others
For

the

period

covered

by

this

report

Refer

to

the

financial

statements

included

herein.

Remuneration

to

officers

is

paid

by

the

Fund's

investment

manager

according

to

the

terms

of

the

agreement.

#### Board

#### Approval

#### of

#### Management

#### and

#### Subadvisory

#### Agreements
For

the

period

covered

by

this

report

Not

applicable.

4846-AFSOI

02/26©

2026

Franklin

Templeton.

All

rights

reserved.

#### Franklin

#### Rising

#### Dividends

#### VIP

#### Fund

#### Financial

#### Statements

#### and

#### Other

#### Important

#### Information

#### Annual
\|

December

31,

2025

#### Table

#### of

#### Contents
franklintempleton.com

Financial

Statements

and

Other

Important

Information—Annual

Financial

Highlights

and

Schedule

of

Investments

#### 2
Financial

Statements

#### 8
Notes

to

Financial

Statements

#### 11
Report

of

Independent

Registered

Public

Accounting

Firm

#### 18
Tax

Information

#### 19
Changes

In

and

Disagreements

with

Accountants

#### 20
Results

of

Meeting(s)

of

Shareholders

Remuneration

Paid

to

Directors,

Officers

and

Others

Board

Approval

of

Management

and

Subadvisory

Agreements

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Rising

#### Dividends

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 1

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$29.52

$28.23

$28.18

$36.74

$30.17

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.29 0.32 0.37 0.35 0.30 Net

realized

and

unrealized

gains

(losses)

...........

3.02 2.72 2.98 (4.55)

7.68 Total

from

investment

operations

....................

3.31 3.04 3.35 (4.20)

7.98 Less

distributions

from:

Net

investment

income

..........................

(0.31)

(0.36)

(0.33)

(0.35)

(0.35)

Net

realized

gains

.............................

(2.88)

(1.39)

(2.97)

(4.01)

(1.06)

Total

distributions

...............................

(3.19)

(1.75)

(3.30)

(4.36)

(1.41)

Net

asset

value,

end

of

year

.......................

$29.64

$29.52

$28.23

$28.18

$36.74

Total

return

c

...................................

12.05%

11.04%

12.39%

(10.34)%

27.10%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.63%

0.63%

0.65%

0.64%

0.63%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.63%

d

0.63%

d

0.63%

e

0.63%

e

0.63%

d,e

Net

investment

income

...........................

0.99%

1.09%

1.33%

1.18%

0.90%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$120,124

$119,065

$117,974

$114,787

$141,433

Portfolio

turnover

rate

............................

20.75%

15.36%

10.67%

12.59%

3.92%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Rising

#### Dividends

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 2

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$28.08

$26.93

$27.03

$35.42

$29.14

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.20 0.24 0.28 0.27 0.21 Net

realized

and

unrealized

gains

(losses)

...........

2.88 2.59 2.85 (4.40)

7.41 Total

from

investment

operations

....................

3.08 2.83 3.13 (4.13)

7.62 Less

distributions

from:

Net

investment

income

..........................

(0.24)

(0.29)

(0.26)

(0.25)

(0.28)

Net

realized

gains

.............................

(2.88)

(1.39)

(2.97)

(4.01)

(1.06)

Total

distributions

...............................

(3.12)

(1.68)

(3.23)

(4.26)

(1.34)

Net

asset

value,

end

of

year

.......................

$28.04

$28.08

$26.93

$27.03

$35.42

Total

return

c

...................................

11.80%

10.79%

12.08%

(10.57)%

26.79%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.88%

0.88%

0.90%

0.89%

0.88%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.88%

d

0.88%

d

0.88%

e

0.88%

e

0.88%

d,e

Net

investment

income

...........................

0.74%

0.84%

1.08%

0.92%

0.66%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$1,362,452

$1,289,854

$1,256,587

$1,211,909

$1,513,905

Portfolio

turnover

rate

............................

20.75%

15.36%

10.67%

12.59%

3.92%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Rising

#### Dividends

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 4

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$28.11

$26.96

$27.06

$35.49

$29.22

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.18 0.21 0.26 0.24 0.18 Net

realized

and

unrealized

gains

(losses)

...........

2.87 2.60 2.85 (4.41)

7.42 Total

from

investment

operations

....................

3.05 2.81 3.11 (4.17)

7.60 Less

distributions

from:

Net

investment

income

..........................

(0.22)

(0.27)

(0.24)

(0.25)

(0.27)

Net

realized

gains

.............................

(2.88)

(1.39)

(2.97)

(4.01)

(1.06)

Total

distributions

...............................

(3.10)

(1.66)

(3.21)

(4.26)

(1.33)

Net

asset

value,

end

of

year

.......................

$28.06

$28.11

$26.96

$27.06

$35.49

Total

return

c

...................................

11.66%

10.68%

11.99%

(10.68)%

26.63%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.98%

0.98%

1.00%

0.99%

0.98%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.98%

d

0.98%

d

0.98%

e

0.98%

e

0.98%

d,e

Net

investment

income

...........................

0.64%

0.74%

0.98%

0.84%

0.56%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$106,825

$95,479

$83,031

$70,696

$72,589

Portfolio

turnover

rate

............................

20.75%

15.36%

10.67%

12.59%

3.92%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments,

December

31,

2025

#### Franklin

#### Rising

#### Dividends

#### VIP

#### Fund
franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks

#### 98.2%

#### Aerospace

#### &

#### Defense

#### 3.4%
General

Dynamics

Corp.

..............................

United

States

63,734

$

21,456,689

RTX

Corp.

........................................

United

States

179,613

32,941,024

54,397,713

#### Banks

#### 3.3%
JPMorgan

Chase

&

Co.

...............................

United

States

162,535

52,372,028

#### Beverages

#### 1.2%
PepsiCo,

Inc.

......................................

United

States

134,329

19,278,898

#### Biotechnology

#### 1.8%
AbbVie,

Inc.

.......................................

United

States

122,145

27,908,911

#### Building

#### Products

#### 3.0%
Carlisle

Cos.,

Inc.

...................................

United

States

52,170

16,687,096

Johnson

Controls

International

plc

.......................

United

States

263,609

31,567,178

48,254,274

#### Capital

#### Markets

#### 8.8%
Ares

Management

Corp.

,

A

............................

United

States

155,130

25,073,662

Charles

Schwab

Corp.

(The)

...........................

United

States

319,959

31,967,103

Morgan

Stanley

.....................................

United

States

231,692

41,132,281

Nasdaq,

Inc.

.......................................

United

States

371,798

36,112,740

S&P

Global,

Inc.

....................................

United

States

9,312

4,866,358

139,152,144

#### Chemicals

#### 4.6%
Ecolab,

Inc.

........................................

United

States

75,385

19,790,070

Linde

plc

..........................................

United

States

97,501

41,573,451

Sherwin-Williams

Co.

(The)

............................

United

States

36,221

11,736,691

73,100,212

#### Commercial

#### Services

#### &

#### Supplies

#### 1.4%
Cintas

Corp.

.......................................

United

States

116,960

21,996,667

#### Communications

#### Equipment

#### 0.7%
Motorola

Solutions,

Inc.

...............................

United

States

29,807

11,425,619

#### Consumer

#### Staples

#### Distribution

#### &

#### Retail

#### 4.0%
Casey's

General

Stores,

Inc.

...........................

United

States

28,728

15,878,253

Walmart,

Inc.

......................................

United

States

426,891

47,559,926

63,438,179

#### Electric

#### Utilities

#### 1.0%
NextEra

Energy,

Inc.

.................................

United

States

207,309

16,642,767

#### Electrical

#### Equipment

#### 1.5%
nVent

Electric

plc

...................................

United

States

237,888

24,257,439

#### Financial

#### Services

#### 3.4%
Visa,

Inc.

,

A

........................................

United

States

151,827

53,247,247

#### Ground

#### Transportation

#### 0.5%
Old

Dominion

Freight

Line,

Inc.

.........................

United

States

51,029

8,001,347

#### Health

#### Care

#### Equipment

#### &

#### Supplies

#### 5.5%
Abbott

Laboratories

..................................

United

States

257,655

32,281,595

STERIS

plc

........................................

United

States

61,473

15,584,635

Stryker

Corp.

......................................

United

States

113,191

39,783,241

87,649,471

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Rising

#### Dividends

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Health

#### Care

#### Providers

#### &

#### Services

#### 0.7%
Humana,

Inc.

......................................

United

States

45,242

$

11,587,833

#### Hotels,

#### Restaurants

#### &

#### Leisure

#### 2.0%
McDonald's

Corp.

...................................

United

States

103,815

31,728,978

#### Household

#### Durables

#### 0.9%
DR

Horton,

Inc.

.....................................

United

States

94,708

13,640,793

#### Household

#### Products

#### 1.5%
Procter

&

Gamble

Co.

(The)

...........................

United

States

169,510

24,292,478

#### Industrial

#### Conglomerates

#### 1.0%
Honeywell

International,

Inc.

...........................

United

States

80,350

15,675,481

#### Insurance

#### 1.2%
Erie

Indemnity

Co.

,

A

.................................

United

States

24,776

7,102,041

Marsh

&

McLennan

Cos.,

Inc.

..........................

United

States

68,656

12,737,061

19,839,102

#### IT

#### Services

#### 1.2%
Accenture

plc

,

A

....................................

United

States

72,153

19,358,650

#### Life

#### Sciences

#### Tools

#### &

#### Services

#### 2.5%
Danaher

Corp.

.....................................

United

States

120,197

27,515,497

West

Pharmaceutical

Services,

Inc.

......................

United

States

45,069

12,400,285

39,915,782

#### Machinery

#### 1.6%
Parker-Hannifin

Corp.

................................

United

States

28,309

24,882,479

#### Multi-Utilities

#### 0.7%
WEC

Energy

Group,

Inc.

..............................

United

States

98,715

10,410,484

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 2.7%
Chevron

Corp.

.....................................

United

States

127,320

19,404,841

EOG

Resources,

Inc.

................................

United

States

83,225

8,739,457

Exxon

Mobil

Corp.

...................................

United

States

121,401

14,609,397

42,753,695

#### Pharmaceuticals

#### 4.9%
Eli

Lilly

&

Co.

......................................

United

States

41,114

44,184,394

Johnson

&

Johnson

.................................

United

States

161,140

33,347,923

77,532,317

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 11.1%
Analog

Devices,

Inc.

.................................

United

States

129,463

35,110,366

Applied

Materials,

Inc.

................................

United

States

78,292

20,120,261

Broadcom,

Inc.

.....................................

United

States

245,679

85,029,502

Texas

Instruments,

Inc.

...............................

United

States

210,570

36,531,789

176,791,918

#### Software

#### 12.9%
Intuit,

Inc.

.........................................

United

States

8,109

5,371,564

Microsoft

Corp.

.....................................

United

States

286,876

138,738,971

Oracle

Corp.

.......................................

United

States

211,593

41,241,591

Roper

Technologies,

Inc.

..............................

United

States

44,629

19,865,707

205,217,833

#### Specialty

#### Retail

#### 3.9%
Lowe's

Cos.,

Inc.

....................................

United

States

115,332

27,813,465

Ross

Stores,

Inc.

...................................

United

States

115,899

20,878,046

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Rising

#### Dividends

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Specialty

#### Retail
(continued)

Tractor

Supply

Co.

..................................

United

States

254,592

$

12,732,146

61,423,657

#### Technology

#### Hardware,

#### Storage

#### &

#### Peripherals

#### 3.9%
Apple,

Inc.

........................................

United

States

225,750

61,372,395

#### Trading

#### Companies

#### &

#### Distributors

#### 1.4%
WW

Grainger,

Inc.

...................................

United

States

22,653

22,858,010

#### Total

#### Common

#### Stocks

#### (Cost

#### $

#### 716,642,751

####)
...................................

#### 1,560,404,801

#### Short

#### Term

#### Investments

#### 2.0%
a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Money

#### Market

#### Funds

#### 2.0%
a,b

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

.........................................

United

States

32,190,480

32,190,480

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $

#### 32,190,480

####)
................................

#### 32,190,480

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $

#### 32,190,480

####)
..............................

#### 32,190,480

#### a

#### Total

#### Investments

#### (Cost

#### $

#### 748,833,231

####)
100.2 #### %
................................

#### $1,592,595,281

#### Other

#### Assets,

#### less

#### Liabilities

#### (0.2 ####)

#### %
.........................................

#### (3,194,027)

#### Net

#### Assets

#### 100.0%

#### .........................................................

#### $1,589,401,254

#### a
a

See

Note

3(e)

regarding

investments

in

affiliated

management

investment

companies.

b

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Assets

and

Liabilities

December

31,

2025

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Franklin

#### Rising

#### Dividends

#### VIP

#### Fund
Assets:

Investments

in

securities:

Cost

-

Unaffiliated

issuers

...................................................................

$716,642,751

Cost

-

Non-controlled

affiliates

(Note

e)

........................................................

32,190,480

Value

-

Unaffiliated

issuers

..................................................................

$1,560,404,801

Value

-

Non-controlled

affiliates

(Note

e)

.......................................................

32,190,480

Cash

....................................................................................

59,216

Receivables:

Investment

securities

sold

...................................................................

279,874

Capital

shares

sold

........................................................................

812,196

Dividends

...............................................................................

807,618

Total

assets

..........................................................................

1,594,554,185

Liabilities:

Payables:

Investment

securities

purchased

..............................................................

3,506,103

Capital

shares

redeemed

...................................................................

419,019

Management

fees

.........................................................................

834,762

Distribution

fees

..........................................................................

323,095

Accrued

expenses

and

other

liabilities

...........................................................

69,952

Total

liabilities

.........................................................................

5,152,931

Net

assets,

at

value

.................................................................

$1,589,401,254

Net

assets

consist

of:

Paid-in

capital

.............................................................................

$577,106,758

Total

distributable

earnings

(losses)

.............................................................

1,012,294,496

Net

assets,

at

value

.................................................................

$1,589,401,254

#### Franklin

#### Rising

#### Dividends

#### VIP

#### Fund

#### Class

#### 1:
Net

assets,

at

value

.......................................................................

$120,124,294

Shares

outstanding

........................................................................

4,052,301

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$29.64

#### Class

#### 2:
Net

assets,

at

value

.......................................................................

$1,362,452,295

Shares

outstanding

........................................................................

48,597,429

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$28.04

#### Class

#### 4:
Net

assets,

at

value

.......................................................................

$106,824,665

Shares

outstanding

........................................................................

3,806,417

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$28.06

a

Net

asset

value

per

share

may

not

recalculate

due

to

rounding.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Operations

for

the

year

ended

December

31,

2025

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Rising

#### Dividends

#### VIP

#### Fund
Investment

income:

Dividends:

Unaffiliated

issuers

........................................................................

$23,532,488

Non-controlled

affiliates

(Note

e)

.............................................................

1,186,792

Total

investment

income

...................................................................

24,719,280

Expenses:

Management

fees

(Note

a)

...................................................................

9,515,850

Distribution

fees:

(Note

3c)

&nbsp;&nbsp;&nbsp;&nbsp;Class

................................................................................

3,279,026

&nbsp;&nbsp;&nbsp;&nbsp;Class

................................................................................

344,018

Custodian

fees

............................................................................

8,642

Reports

to

shareholders

fees

..................................................................

9,643

Professional

fees

...........................................................................

97,392

Trustees'

fees

and

expenses

..................................................................

16,460

Other

....................................................................................

43,225

Total

expenses

.........................................................................

13,314,256

Expenses

waived/paid

by

affiliates

(Note

e)

...................................................

(76,272)

Net

expenses

.........................................................................

13,237,984

Net

investment

income

................................................................

11,481,296

Realized

and

unrealized

gains

(losses):

Net

realized

gain

(loss)

from:

Investments:

Unaffiliated

issuers

......................................................................

160,524,947

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments:

Unaffiliated

issuers

......................................................................

(3,304,272)

Net

realized

and

unrealized

gain

(loss)

............................................................

157,220,675

Net

increase

(decrease)

in

net

assets

resulting

from

operations

..........................................

$168,701,971

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statements

of

Changes

in

Net

Assets

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Franklin

#### Rising

#### Dividends

#### VIP

#### Fund

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024
Increase

(decrease)

in

net

assets:

Operations:

Net

investment

income

.................................................

$11,481,296

$12,941,764

Net

realized

gain

(loss)

.................................................

160,524,947

149,684,225

Net

change

in

unrealized

appreciation

(depreciation)

...........................

(3,304,272)

(8,771,489)

Net

increase

(decrease)

in

net

assets

resulting

from

operations

................

168,701,971

153,854,500

Distributions

to

shareholders:

Class

.............................................................

(12,107,990)

(7,002,257)

Class

.............................................................

(140,081,829)

(75,894,877)

Class

.............................................................

(10,107,041)

(4,949,380)

Total

distributions

to

shareholders

..........................................

(162,296,860)

(87,846,514)

Capital

share

transactions:

(Note

2)

Class

.............................................................

(347,758)

(4,421,272)

Class

.............................................................

68,245,208

(23,574,111)

Class

.............................................................

10,700,834

8,793,866

Total

capital

share

transactions

............................................

78,598,284

(19,201,517)

Net

increase

(decrease)

in

net

assets

...................................

85,003,395

46,806,469

Net

assets:

Beginning

of

year

.......................................................

1,504,397,859

1,457,591,390

End

of

year

...........................................................

$1,589,401,254

$1,504,397,859

Franklin

Templeton

Variable

Insurance

Products

Trust

franklintempleton.com

Annual

Report

Notes

to

Financial

Statements

#### Franklin

#### Rising

#### Dividends

#### VIP

#### Fund
1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
Franklin

Templeton

Variable

Insurance

Products

Trust

(Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-end

management

investment

company,

consisting

of seventeen separate

funds.

The Trust

follows the

accounting

and

reporting

guidance

in

Financial

Accounting

Standards

Board

(FASB)

Accounting

Standards

Codification

Topic

946,

Financial

Services

–

Investment

Companies

(ASC

946)

and

applies

the

specialized

accounting

and

reporting

guidance

in

U.S.

Generally

Accepted

Accounting

Principles

(U.S.

GAAP),

including,

but

not

limited

to,

ASC

946. Franklin

Rising

Dividends

VIP

Fund

(Fund)

is

included

in

this

report.

Shares

of

the

Fund

are

generally

sold

only

to

insurance

company

separate

accounts

to

fund

the

benefits

of

variable

life

insurance

policies

or

variable

annuity

contracts. The

Fund

offers three classes

of

shares:

Class

1,

Class

and

Class

4. Each

class

of

shares

may

differ

by

its

distribution

fees,

voting

rights

on

matters

affecting

a

single

class

and

its

exchange

privilege.

The

following

summarizes

the Fund's

significant

accounting

policies.

a. #### Financial

#### Instrument

#### Valuation
The

Fund's

investments

in

financial

instruments

are

carried

at

fair

value

daily.

Fair

value

is

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

market

participants

on

the

measurement

date.

The

Fund

calculates

the

net

asset

value

(NAV)

per

share

each business

day as

of

p.m.

Eastern

time

or

the

regularly

scheduled

close

of

the

New

York

Stock

Exchange

(NYSE),

whichever

is

earlier.

Under

compliance

policies

and

procedures

approved

by

the Trust's

Board

of

Trustees

(the

Board),

the

Board

has

designated

the

Fund's

investment

manager

as

the

valuation

designee

and

has

responsibility

for

oversight

of

valuation.

The

investment

manager

is

assisted

by

the

Fund's

administrator

in

performing

this

responsibility,

including

leading

the

cross-

functional

Valuation

Committee

(VC).

The

Fund

may

utilize

independent

pricing

services,

quotations

from

securities

and

financial

instrument

dealers,

and

other

market

sources

to

determine

fair

value.

Equity

securities

listed

on

an

exchange

or

on

the

NASDAQ

National

Market

System

are

valued

at

the

last

quoted

sale

price

or

the

official

closing

price of

the

day,

respectively.

Foreign

equity

securities

are

valued

as

of

the

close

of

trading

on

the

foreign

stock

exchange

on

which

the

security

is

primarily

traded,

or

as

of

p.m.

Eastern

time.

The

value

is

then

converted

into

its

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

p.m.

Eastern

time

on

the

day

that

the

value

of

the

security

is

determined.

Over-the-counter

(OTC)

securities

are

valued

within

the

range

of

the

most

recent

quoted

bid

and

ask

prices.

Securities

that

trade

in

multiple

markets

or

on

multiple

exchanges

are

valued

according

to

the

broadest

and

most

representative

market.

Certain

equity

securities

are

valued

based

upon

fundamental

characteristics

or

relationships

to

similar

securities.

Investments

in open-end mutual

funds

are

valued

at

the

closing

NAV.

The

Fund

has

procedures

to

determine

the

fair

value

of

financial

instruments

for

which

market

prices

are

not

reliable

or

readily

available.

Under

these

procedures,

the Fund

primarily

employs

a

market-based

approach

which

may

use

related

or

comparable

assets

or

liabilities,

recent

transactions,

market

multiples,

and

other

relevant

information

for

the

investment

to

determine

the

fair

value

of

the

investment.

An

income-based

valuation

approach

may

also

be

used

in

which

the

anticipated

future

cash

flows

of

the

investment

are

discounted

to

calculate

fair

value.

Discounts

may

also

be

applied

due

to

the

nature

or

duration

of

any

restrictions

on

the

disposition

of

the

investments.

Due

to

the

inherent

uncertainty

of

valuations

of

such

investments,

the

fair

values

may

differ

significantly

from

the

values

that

would

have

been

used

had

an

active

market

existed.

Trading

in

securities

on

foreign

securities

stock

exchanges

and

OTC

markets

may

be

completed

before

p.m.

Eastern

time.

In

addition,

trading

in

certain

foreign

markets

may

not

take

place

on

every

Fund's

business

day. Events

can occur

between

the

time

at

which

trading

in

a

foreign

security

is

completed

and

p.m.

Eastern

time

that

might

call

into

question

the

reliability

of

the

value

of

a

portfolio

security

held

by

the

Fund.

As

a

result,

differences

may

arise

between

the

value

of

the

Fund's

portfolio

securities

as

determined

at

the

foreign

market

close

and

the

latest

indications

of

value

at

p.m.

Eastern

time. In

order

to

minimize

the

potential

for

these

differences,

an

independent

pricing

service

may

be

used

to

adjust

the

value

of

the

Fund's

portfolio

securities

to

the

latest

indications

of

fair

value

at

p.m.

Eastern

time.

When

the

last

day

of

the

reporting

period

is

a

non-business

day,

certain

foreign

markets

may

be

open

on

those

days

that

the

Fund's

NAV

is

not

calculated,

which

could

result

in

differences

between

the

value

of

the

Fund's

portfolio

securities

on

the

last

business

day

and

the

last

calendar

day

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Rising

#### Dividends

#### VIP

#### Fund
(continued)

of

the

reporting

period.

Any

security

valuation

changes

due

to

an

open

foreign

market

are

adjusted

and

reflected

by

the

Fund

for

financial

reporting

purposes.

b. #### Foreign

#### Currency

#### Translation
Portfolio

securities

and

other

assets

and

liabilities

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

based

on

the

exchange

rate

of

such

currencies

against

U.S.

dollars

on

the

date

of

valuation.

The

Fund

may

enter

into

foreign

currency

exchange

contracts

to

facilitate

transactions

denominated

in

a

foreign

currency.

Purchases

and

sales

of

securities,

income

and

expense

items

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

at

the

exchange

rate

in

effect

on

the

transaction

date.

Portfolio

securities

and

assets

and

liabilities

denominated

in

foreign

currencies

contain

risks

that

those

currencies

will

decline

in

value

relative

to

the

U.S.

dollar.

Occasionally,

events

may

impact

the

availability

or

reliability

of

foreign

exchange

rates

used

to

convert

the

U.S.

dollar

equivalent

value.

If

such

an

event

occurs,

the

foreign

exchange

rate

will

be

valued

at

fair

value

using

procedures

established

and

approved

by

the

Board.

The

Fund

does

not

separately

report

the

effect

of

changes

in

foreign

exchange

rates

from

changes

in

market

prices

on

securities

held.

Such

changes

are

included

in

net

realized

and

unrealized

gain

or

loss

from

investments

in

the

Statement of

Operations.

Realized

foreign

exchange

gains

or

losses

arise

from

sales

of

foreign

currencies,

currency

gains

or

losses

realized

between

the

trade

and

settlement

dates

on

securities

transactions

and

the

difference

between

the

recorded

amounts

of

dividends,

interest,

and

foreign

withholding

taxes

and

the

U.S.

dollar

equivalent

of

the

amounts

actually

received

or

paid.

Net

unrealized

foreign

exchange

gains

and

losses

arise

from

changes

in

foreign

exchange

rates

on

foreign

denominated

assets

and

liabilities

other

than

investments

in

securities

held

at

the

end

of

the

reporting

period.

c. #### Income

#### and

#### Deferred

#### Taxes
It

is the Fund's

policy

to

qualify

as

a

regulated

investment

company

under

the

Internal

Revenue

Code. The Fund

intends

to

distribute

to

shareholders

substantially

all

of

its

taxable

income

and

net

realized

gains

to

relieve

it

from

federal

income

and if

applicable,

excise

taxes.

As

a

result,

no

provision

for

U.S.

federal

income

taxes

is

required.

The

Fund

may

be

subject

to

foreign

taxation

related

to

income

received,

capital

gains

on

the

sale

of

securities

and

certain

foreign

currency

transactions

in

the

foreign

jurisdictions

in

which it

invests.

Foreign

taxes,

if

any,

are

recorded

based

on

the

tax

regulations

and

rates

that

exist

in

the

foreign

markets

in

which

the

Fund

invests.

When

a

capital

gain

tax

is

determined

to

apply,

the

Fund

records

an

estimated

deferred

tax

liability

in

an

amount

that

would

be

payable

if

the

securities

were

disposed

of

on

the

valuation

date.

The Fund

may

recognize

an

income

tax

liability

related

to

its

uncertain

tax

positions

under

U.S.

GAAP

when

the

uncertain

tax

position

has

a

less

than

50%

probability

that

it

will

be

sustained

upon

examination

by

the

tax

authorities

based

on

its

technical

merits.

As

of

December

31,

2025, the Fund

has

determined

that

no

tax

liability

is

required

in

its

financial

statements

related

to

uncertain

tax

positions

for

any

open

tax

years

(or

expected

to

be

taken

in

future

tax

years).

The

Fund's

federal

and

state

income

and

federal

excise

tax

returns

for

the

prior

three

fiscal

years

are

subject

to

examination

by

the

Internal

Revenue

Service

and

state

departments

of

revenue.

d. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
Security

transactions

are

accounted

for

on

trade

date.

Realized

gains

and

losses

on

security

transactions

are

determined

on

a

specific

identification

basis. Estimated

expenses

are

accrued

daily.

Dividend

income

is

recorded

on

the

ex-dividend

date

except

for

certain

dividends

from

securities

where

the

dividend

rate

is

not

available.

In

such cases,

the

dividend

is

recorded

as

soon

as

the

information

is

received

by

the

Fund. Distributions

to

shareholders

are recorded

on

the

ex-dividend

date.

Distributable

earnings

are

determined

according

to

income

tax

regulations

(tax

basis)

and

may

differ

from

earnings

recorded

in

accordance

with

U.S.

GAAP.

These

differences

may

be

permanent

or

temporary.

Permanent

differences

are

reclassified

among

capital

accounts

to

reflect

their

tax

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

a. #### Financial

#### Instrument

#### Valuation
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Rising

#### Dividends

#### VIP

#### Fund
(continued)

character.

These

reclassifications

have

no

impact

on

net

assets

or

the

results

of

operations.

Temporary

differences

are

not

reclassified,

as

they

may

reverse

in

subsequent

periods.

Common

expenses

incurred

by

the

Trust

are

allocated

among

the

Funds

based

on

the

ratio

of

net

assets

of

each

Fund

to

the

combined

net

assets

of

the

Trust

or

based

on

the

ratio

of

number

of

shareholders

of

each

Fund

to

the

combined

number

of

shareholders

of

the

Trust.

Fund

specific

expenses

are

charged

directly

to

the

Fund

that

incurred

the

expense.

Realized

and

unrealized

gains

and

losses

and

net

investment

income,

excluding

class

specific

expenses,

are

allocated

daily

to

each

class

of

shares

based

upon

the

relative

proportion

of

net

assets

of

each

class.

Differences

in

per

share

distributions

by

class

are

generally

due

to

differences

in

class

specific

expenses.

e. #### Accounting

#### Estimates
The

preparation

of

financial

statements

in

accordance

with

U.S.

GAAP

requires

management

to

make

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

amounts

of

income

and

expenses

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

f. #### Guarantees

#### and

#### Indemnifications
Under

the Trust's

organizational

documents,

its

officers

and trustees

are

indemnified

by

the Trust against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Trust.

Additionally,

in

the

normal

course

of

business,

the Trust,

on

behalf

of

the

Fund, enters

into

contracts

with

service

providers

that

contain

general

indemnification

clauses.

The Trust's

maximum

exposure

under

these

arrangements

is

unknown

as

this

would

involve

future

claims

that

may

be

made

against

the Trust

that

have

not

yet

occurred.

Currently,

the Trust

expects

the

risk

of

loss

to

be

remote.

2. #### Shares

#### of

#### Beneficial

#### Interest
At

December

31,

2025,

there

were

an

unlimited

number

of

shares

authorized

(without

par

value).

Transactions

in

the

Fund's

shares

were

as

follows:

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### 1

#### Shares:
Shares

sold

...................................

193,055

$5,643,071

258,522

$7,650,494

Shares

issued

in

reinvestment

of

distributions

..........

440,130

12,107,990

247,430

7,002,257

Shares

redeemed

...............................

(614,513)

(18,098,819)

(652,063)

(19,074,023)

Net

increase

(decrease)

..........................

18,672

$(347,758)

(146,111)

$(4,421,272)

#### Class

#### 2

#### Shares:
Shares

sold

...................................

7,574,100

$212,560,955

3,148,339

$88,223,587

Shares

issued

in

reinvestment

of

distributions

..........

5,375,386

140,081,829

2,816,136

75,894,877

Shares

redeemed

...............................

(10,289,195)

(284,397,576)

(6,685,925)

(187,692,575)

Net

increase

(decrease)

..........................

2,660,291

$68,245,208

(721,450)

$(23,574,111)

#### Class

#### 4

#### Shares:
Shares

sold

...................................

559,908

$15,562,139

651,349

$18,330,061

Shares

issued

in

reinvestment

of

distributions

..........

387,243

10,107,041

183,310

4,949,380

Shares

redeemed

...............................

(537,374)

(14,968,346)

(517,306)

(14,485,575)

Net

increase

(decrease)

..........................

409,777

$10,700,834

317,353

$8,793,866

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

d. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Rising

#### Dividends

#### VIP

#### Fund
(continued)

3. #### Transactions

#### with

#### Affiliates
Franklin

Resources,

Inc.

is

the

holding

company

for

various

subsidiaries

that

together

are

referred

to

as

Franklin

Templeton.

Certain

officers

and trustees

of

the Fund are

also

officers

and/or directors

of

the

following

subsidiaries:

a. #### Management

#### Fees
The

Fund

pays

an

investment

management fee,

calculated daily and

paid

monthly,

to

Advisers based

on the

average

daily net

assets

of

the

Fund

as

follows:

For

the

year

ended

December

31,

2025,

the

gross

effective

investment

management

fee

rate

was 0.623%

of

the

Fund's

average daily

net

assets.

b. #### Administrative

#### Fees
Under

an

agreement

with

Advisers,

FT

Services

provides

administrative

services

to

the

Fund.

The

fee

is

paid

by Advisers

based

on

the Fund's

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Fund.

c. #### Distribution

#### Fees
The

Board

has

adopted distribution

plans

for

Class

2 and

Class

shares

pursuant

to

Rule

12b-1

under

the

1940

Act.

Under

the

Fund's

compensation

distribution

plans,

the

Fund

pays

Distributors

for

costs

incurred

in

connection

with

the

servicing,

sale

and

distribution

of

the

Fund's

shares

up

to

0.35%

per

year

of

its

average

daily

net

assets

of

each

class.

The

Board

has

agreed

to

limit

the

current

rate

to

0.25%

per

year

for

Class

2. The

plan

year,

for

purposes

of

monitoring

compliance

with

the

maximum

annual

plan

rates,

is

February

through

January

31. d. #### Transfer

#### Agent

#### Fees
Investor

Services,

under

terms

of

an

agreement,

performs

shareholder

servicing

for

the

Fund and

is

not

paid

by

the Fund

for

the

services.

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
The

Fund

invests

in

one

or

more

affiliated

management

investment

companies.

As

defined

in

the

1940

Act,

an

investment

is

deemed

to

be

a

"Controlled

Affiliate"

of

a

fund

when

a

fund

owns,

either

directly

or

indirectly,

25%

or

more

of

the

affiliated

fund's

outstanding

shares

or

has

the

power

to

exercise

control

over

management

or

policies

of

such

fund.

The

Fund

does

not

invest

for

purposes

of

exercising

a

controlling

influence

over

the

management

or

policies.

Management

fees

paid

by

the

Fund

are

waived

on

assets

invested

in

the

affiliated

management

investment

companies,

as

noted

in

the

Statement

of

Operations,

#### Subsidiary

#### Affiliation
Franklin

Advisers,

Inc.

(Advisers)

Investment

manager

Franklin

Templeton

Services,

LLC

(FT

Services)

Administrative

manager

Franklin

Distributors,

LLC

(Distributors)

Principal

underwriter

Franklin

Templeton

Investor

Services,

LLC

(Investor

Services)

Transfer

agent

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
0.750%

Up

to

and

including

$500

million

0.625%

Over

$500

million,

up

to

and

including

$1

billion

0.500%

Over

$1

billion,

up

to

and

including

$5

billion

0.490%

In

excess

of

$5

billion

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Rising

#### Dividends

#### VIP

#### Fund
(continued)

in

an

amount

not

to

exceed

the

management

and

administrative

fees,

if

applicable, paid

directly

or

indirectly

by

each

affiliate.

During

the

year

ended

December

31,

2025,

the

Fund

held

investments

in

affiliated

management

investment

companies

as

follows:

4. #### Income

#### Taxes
The

tax

character

of

distributions

paid

during

the

years

ended

December

31,

2025

and

2024,

was

as

follows:

At

December

31,

2025,

the

cost

of

investments,

net

unrealized

appreciation

(depreciation),

undistributed

ordinary

income

and

undistributed

long

term

capital

gains for

income

tax

purposes

were

as

follows:

Differences

between

income

and/or

capital

gains

as

determined

on

a

book

basis

and

a

tax

basis

are

primarily

due

to

differing

treatments

of

wash

sales

and

corporate

actions.

#### &nbsp;&nbsp;&nbsp;&nbsp;aa

#### Value

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### Sales

#### Realized

#### Gain
(Loss)

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### Value

#### at

#### End

#### of

#### Year

#### Number

#### of

#### Shares

#### Held

#### at

#### End

#### of

#### Year

#### Investment

#### Income

#### a&nbsp;&nbsp;&nbsp;&nbsp;

#### a

#### Franklin

#### Rising

#### Dividends

#### VIP

#### Fund

#### Non-Controlled

#### Affiliates
Dividends

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

............

$23,716,508

$291,092,302

$(282,618,330)

$—

$—

$32,190,480

32,190,480

$1,186,792

#### Total

#### Affiliated

#### Securities

#### ...
$23,716,508

$291,092,302

$(282,618,330)

$—

$—

$32,190,480

$1,186,792

#### 2025

#### 2024
Distributions

paid

from:

Ordinary

income

..........................................................

$16,911,399

$16,229,427

Long

term

capital

gain

......................................................

145,385,461

71,617,087

$162,296,860

$87,846,514

Cost

of

investments

..........................................................................

$751,427,296

Unrealized

appreciation

........................................................................

$850,717,113

Unrealized

depreciation

........................................................................

(9,549,128)

Net

unrealized

appreciation

(depreciation)

..........................................................

$841,167,985

Distributable

earnings:

Undistributed

ordinary

income

...................................................................

$13,168,378

Undistributed

long

term

capital

gains

..............................................................

157,958,135

Total

distributable

earnings

.....................................................................

$171,126,513

3. #### Transactions

#### with

#### Affiliates
(continued)

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Rising

#### Dividends

#### VIP

#### Fund
(continued)

5. #### Investment

#### Transactions
Purchases

and

sales

of

investments (excluding

short

term

securities) for

the

year

ended

December

31,

2025,

aggregated

$312,498,054 and

$388,813,694,

respectively.

6. #### Credit

#### Facility
The

Fund,

together

with

other

U.S.

registered

and

foreign

investment

funds

(collectively,

Borrowers),

managed

by

Franklin

Templeton,

are

borrowers

in

a

joint

syndicated

senior

unsecured

credit

facility

totaling

$2.995

billion

(Global

Credit

Facility)

which

matured

on

January

30,

2026. This

Global

Credit

Facility

provides

a

source

of

funds

to

the

Borrowers

for

temporary

and

emergency

purposes,

including

the

ability

to

meet

future

unanticipated

or

unusually

large

redemption

requests.

Effective

January

30,

2026,

the

Borrowers

renewed

the

Global

Credit

Facility

for

a

one-year

term,

maturing

January

29,

2027,

for

a

total

of

$2.995

billion.

Under

the

terms

of

the

Global

Credit

Facility,

the

Fund

may,

in

addition

to

interest

charged

on

any

borrowings

made

by

the

Fund

and

other

costs

incurred

by

the

Fund,

pay

its

share

of

fees

and

expenses

incurred

in

connection

with

the

implementation

and

maintenance

of

the

Global

Credit

Facility,

based

upon

its

relative

share

of

the

aggregate

net

assets

of

all

of

the

Borrowers,

including

an

annual

commitment

fee

of

0.15%

based

upon

the

unused

portion

of

the

Global

Credit

Facility.

These

fees

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

During

the

year

ended

December

31,

2025,

the Fund

did

not

use

the

Global

Credit

Facility.

7. #### Fair

#### Value

#### Measurements
The

Fund

follows

a

fair

value

hierarchy

that

distinguishes

between

market

data

obtained

from

independent

sources

(observable

inputs)

and

the Fund's

own

market

assumptions

(unobservable

inputs).

These

inputs

are

used

in

determining

the

value

of

the

Fund's financial

instruments

and

are

summarized

in

the

following

fair

value

hierarchy:

Level

–

quoted

prices

in

active

markets

for

identical

financial

instruments

Level

–

other

significant

observable

inputs

(including

quoted

prices

for

similar

financial

instruments,

interest

rates,

prepayment

speed,

credit

risk,

etc.)

Level

–

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

financial

instruments)

The

input

levels

are

not

necessarily

an

indication

of

the

risk

or

liquidity

associated

with

financial

instruments

at

that

level.

At

December

31,

2025,

all

of

the Fund's

investments

in

financial

instruments

carried

at

fair

value

were

valued

using

Level 1

inputs.

For

detailed

categories,

see

the

accompanying

Schedule

of

Investments.

8. #### Operating

#### Segments
The Fund operates

as

a

single

operating

segment,

which

is

an

investment

portfolio.

The

portfolio

managers

assigned

to

the

Fund

within

the

Fund's

Investment

manager serve

as

the

Chief

Operating

Decision

Maker

("CODM")

and

are

responsible

for

evaluating

the

Fund's

operating

results

and

allocating

resources

in

accordance

with

the

Fund's

investment

strategy.

Internal

reporting

provided

to

the

CODM

aligns

with

the

accounting

policies

and

measurement

principles

used

in

the financial

statements.

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Rising

#### Dividends

#### VIP

#### Fund
(continued)

For

information

regarding

segment

assets,

segment

profit

or

loss,

and

significant

expenses,

refer

to

the Statement

of

Assets

and

Liabilities

and

the Statement

of

Operations,

along

with

the

related

notes

to

the financial

statements.

The Schedule

of

Investments

provides

details

of

the Fund's investments

that

generate

returns

such

as

interest,

dividends,

and

realized

and

unrealized

gains

or

losses.

Performance

metrics,

including

portfolio

turnover

and

expense

ratios,

are

disclosed

in

the Financial

Highlights.

9. #### Subsequent

#### Events
The Fund

has

evaluated

subsequent

events

through

the

issuance

of

the

financial

statements

and

determined

that

no

events

have

occurred

that

require

disclosure

other

than

those

already

disclosed

in

the

financial

statements.

8. #### Operating

#### Segments
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Report

of

Independent

Registered

Public

Accounting

Firm

franklintempleton.com

Annual

Report

To

the

Board

of

Trustees

of

Franklin

Templeton

Variable

Insurance

Products

Trust

and

Shareholders

of

Franklin

Rising

Dividends

VIP

Fund

#### Opinion

#### on

#### the

#### Financial

#### Statements
We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

investments,

of

Franklin

Rising

Dividends

VIP

Fund

(one

of

the

funds

constituting

Franklin

Templeton

Variable

Insurance

Products

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2025,

the

related

statement

of

operations

for

the

year

ended

December

31,

2025,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

(collectively

referred

to

as

the

"financial

statements").

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2025,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

#### Basis

#### for

#### Opinion
These

financial

statements

are

the

responsibility

of

the

Fund's

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund's

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2025

by

correspondence

with

the

custodian,

transfer

agent

and

brokers;

when

replies

were

not

received

from

brokers,

we

performed

other

auditing

procedures.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/PricewaterhouseCoopers

LLP

San

Francisco,

California

February

19,

2026

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Franklin

Templeton

Group

of

Funds

since

1948. FRANKLIN

TEMPLETON

VARIABLE

INSURANCE

PRODUCTS

TRUST

Tax

Information

(unaudited)

franklintempleton.com

Annual

Report

#### Franklin

#### Rising

#### Dividends

#### VIP

#### Fund
By

mid-February,

tax

information

related

to

a

shareholder's

proportionate

share

of

distributions

paid

during

the

preceding

calendar

year

will

be

received,

if

applicable.

Please

also

refer

to

www.franklintempleton.com

for

per

share

tax

information

related

to

any

distributions

paid

during

the

preceding

calendar

year.

Shareholders

are

advised

to

consult

with

their

tax

advisors

for

further

information

on

the

treatment

of

these

amounts

on

their

tax

returns.

The

following

tax

information

for

the

Fund

is

required

to

be

furnished

to

shareholders

with

respect

to

income

earned

and

distributions

paid

during

its

fiscal

year.

The

Fund

hereby

reports

the

following

amounts,

or

if

subsequently

determined

to

be

different,

the

maximum

allowable

amounts,

for

the

fiscal

year

ended

December

31,

2025:

#### Pursuant

#### to:

#### Amount

#### Reported
Long-Term

Capital

Gain

Dividends

Distributed

§852(b)(3)(C)

$145,385,461

Income

Eligible

for

Dividends

Received

Deduction

(DRD)

§854(b)(1)(A)

$21,492,075

Franklin

Templeton

Variable

Insurance

Products

Trust

franklintempleton.com

Semiannual

Report

#### Changes

#### In

#### and

#### Disagreements

#### with

#### Accountants
For

the

period

covered

by

this

report

Not

applicable.

#### Results

#### of

#### Meeting(s)

#### of

#### Shareholders
For

the

period

covered

by

this

report

Not

applicable.

#### Remuneration

#### Paid

#### to

#### Directors,

#### Officers

#### and

#### Others
For

the

period

covered

by

this

report

Refer

to

the

financial

statements

included

herein.

Remuneration

to

officers

is

paid

by

the

Fund's

investment

manager

according

to

the

terms

of

the

agreement.

#### Board

#### Approval

#### of

#### Management

#### and

#### Subadvisory

#### Agreements
For

the

period

covered

by

this

report

Not

applicable.

4836-AFSOI

02/26©

2026

Franklin

Templeton.

All

rights

reserved.

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund

#### Financial

#### Statements

#### and

#### Other

#### Important

#### Information

#### Annual
\|

December

31,

2025

#### Table

#### of

#### Contents
franklintempleton.com

Financial

Statements

and

Other

Important

Information—Annual

Financial

Highlights

and

Schedule

of

Investments

#### 2
Financial

Statements

#### 9
Notes

to

Financial

Statements

#### 12
Report

of

Independent

Registered

Public

Accounting

Firm

#### 21
Tax

Information

#### 22
Changes

In

and

Disagreements

with

Accountants

#### 23
Results

of

Meeting(s)

of

Shareholders

Remuneration

Paid

to

Directors,

Officers

and

Others

Board

Approval

of

Management

and

Subadvisory

Agreements

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 1

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$15.32

$14.16

$13.32

$18.43

$15.20

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.18 0.19 0.17 0.12 0.19 Net

realized

and

unrealized

gains

(losses)

...........

0.84 1.45 1.50 (2.06)

3.71 Total

from

investment

operations

....................

1.02 1.64 1.67 (1.94)

3.90 Less

distributions

from:

Net

investment

income

..........................

(0.19)

(0.16)

(0.10)

(0.21)

(0.21)

Net

realized

gains

.............................

(1.21)

(0.32)

(0.73)

(2.96)

(0.46)

Total

distributions

...............................

(1.40)

(0.48)

(0.83)

(3.17)

(0.67)

Net

asset

value,

end

of

year

.......................

$14.94

$15.32

$14.16

$13.32

$18.43

Total

return

c

...................................

7.90%

12.01%

13.02%

(9.82)%

25.67%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.66%

0.65%

0.66%

0.63%

0.66%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.66%

d

0.65%

d

0.65%

e

0.62%

e

0.66%

d

Net

investment

income

...........................

1.23%

1.26%

1.27%

0.82%

1.07%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$88,822

$85,945

$73,984

$66,574

$73,715

Portfolio

turnover

rate

............................

56.76%

58.70%

65.28%

54.83%

60.41%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 2

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$14.32

$13.27

$12.53

$17.54

$14.50

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.13 0.14 0.13 0.08 0.14 Net

realized

and

unrealized

gains

(losses)

...........

0.78 1.36 1.41 (1.97)

3.53 Total

from

investment

operations

....................

0.91 1.50 1.54 (1.89)

3.67 Less

distributions

from:

Net

investment

income

..........................

(0.15)

(0.13)

(0.07)

(0.16)

(0.17)

Net

realized

gains

.............................

(1.21)

(0.32)

(0.73)

(2.96)

(0.46)

Total

distributions

...............................

(1.36)

(0.45)

(0.80)

(3.12)

(0.63)

Net

asset

value,

end

of

year

.......................

$13.87

$14.32

$13.27

$12.53

$17.54

Total

return

c

...................................

7.65%

11.71%

12.75%

(10.06)%

25.37%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.91%

0.90%

0.91%

0.88%

0.91%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.91%

d

0.90%

d

0.90%

e

0.87%

e

0.91%

d

Net

investment

income

...........................

0.97%

1.01%

1.02%

0.56%

0.83%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$984,489

$1,002,257

$1,000,793

$943,928

$1,135,623

Portfolio

turnover

rate

............................

56.76%

58.70%

65.28%

54.83%

60.41%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 4

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$15.00

$13.88

$13.07

$18.14

$14.99

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.12 0.13 0.12 0.07 0.13 Net

realized

and

unrealized

gains

(losses)

...........

0.82 1.43 1.48 (2.03)

3.64 Total

from

investment

operations

....................

0.94 1.56 1.60 (1.96)

3.77 Less

distributions

from:

Net

investment

income

..........................

(0.14)

(0.12)

(0.06)

(0.15)

(0.16)

Net

realized

gains

.............................

(1.21)

(0.32)

(0.73)

(2.96)

(0.46)

Total

distributions

...............................

(1.35)

(0.44)

(0.79)

(3.11)

(0.62)

Net

asset

value,

end

of

year

.......................

$14.59

$15.00

$13.88

$13.07

$18.14

Total

return

c

...................................

7.49%

11.60%

12.67%

(10.11)%

25.17%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.01%

1.00%

1.01%

0.98%

1.01%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.01%

d

1.00%

d

1.00%

e

0.97%

e

1.01%

d

Net

investment

income

...........................

0.88%

0.91%

0.93%

0.47%

0.73%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$54,153

$50,752

$43,731

$35,519

$38,148

Portfolio

turnover

rate

............................

56.76%

58.70%

65.28%

54.83%

60.41%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments,

December

31,

2025

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund
franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks

#### 97.7%

#### Aerospace

#### &

#### Defense

#### 4.7%
Babcock

International

Group

plc

........................

United

Kingdom

754,076

$

12,566,533

Melrose

Industries

plc

................................

United

Kingdom

382,843

3,019,461

QinetiQ

Group

plc

...................................

United

Kingdom

3,486,251

20,658,046

Senior

plc

.........................................

United

Kingdom

6,448,089

16,954,431

53,198,471

#### Banks

#### 18.2%
Atlantic

Union

Bankshares

Corp.

........................

United

States

555,592

19,612,398

Camden

National

Corp.

...............................

United

States

270,631

11,739,973

Central

BanCo,

Inc.,

A

................................

United

States

174,383

4,206,118

Columbia

Banking

System,

Inc.

.........................

United

States

1,030,684

28,807,618

First

Bancorp

......................................

United

States

319,639

16,234,465

First

Commonwealth

Financial

Corp.

.....................

United

States

684,631

11,542,879

First

Interstate

BancSystem,

Inc.,

A

......................

United

States

481,774

16,669,380

German

American

Bancorp,

Inc.

........................

United

States

312,707

12,251,860

Peoples

Bancorp,

Inc.

................................

United

States

126,272

3,791,948

Seacoast

Banking

Corp.

of

Florida

......................

United

States

370,319

11,635,423

SouthState

Bank

Corp.

...............................

United

States

287,732

27,078,458

TriCo

Bancshares

...................................

United

States

297,707

14,102,380

Washington

Trust

Bancorp,

Inc.

.........................

United

States

95,032

2,808,196

WSFS

Financial

Corp.

................................

United

States

439,933

24,301,899

204,782,995

#### Building

#### Products

#### 2.5%
a

American

Woodmark

Corp.

............................

United

States

78,546

4,233,629

a

Resideo

Technologies,

Inc.

............................

United

States

496,763

17,446,317

UFP

Industries,

Inc.

..................................

United

States

73,256

6,669,959

28,349,905

#### Capital

#### Markets

#### 1.6%
a

Rosebank

Industries

plc

..............................

Jersey

2,077,313

9,800,399

Victory

Capital

Holdings,

Inc.,

A

.........................

United

States

136,870

8,635,129

18,435,528

#### Chemicals

#### 6.1%
Ashland,

Inc.

.......................................

United

States

338,327

19,849,645

Avient

Corp.

.......................................

United

States

829,003

25,898,054

Elementis

plc

......................................

United

Kingdom

10,185,228

22,790,435

68,538,134

#### Commercial

#### Services

#### &

#### Supplies

#### 2.6%
Brady

Corp.,

A

.....................................

United

States

210,124

16,467,418

MSA

Safety,

Inc.

....................................

United

States

79,185

12,680,686

29,148,104

#### Construction

#### &

#### Engineering

#### 2.2%
Valmont

Industries,

Inc.

...............................

United

States

62,815

25,271,731

#### Consumer

#### Finance

#### 2.2%
Bread

Financial

Holdings,

Inc.

..........................

United

States

341,080

25,250,152

#### Electric

#### Utilities

#### 0.5%
IDACORP,

Inc.

.....................................

United

States

46,807

5,923,894

#### Electrical

#### Equipment

#### 3.0%
EnerSys

..........................................

United

States

48,188

7,071,589

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Electrical

#### Equipment
(continued)

Regal

Rexnord

Corp.

................................

United

States

189,108

$

26,535,635

33,607,224

#### Electronic

#### Equipment,

#### Instruments

#### &

#### Components

#### 5.7%
Benchmark

Electronics,

Inc.

...........................

United

States

547,638

23,417,001

a

Knowles

Corp.

.....................................

United

States

217,915

4,669,918

Oxford

Instruments

plc

...............................

United

Kingdom

248,137

6,803,921

Vontier

Corp.

.......................................

United

States

776,204

28,859,265

63,750,105

#### Energy

#### Equipment

#### &

#### Services

#### 3.5%
Hunting

plc

........................................

United

Kingdom

2,287,687

11,354,361

Liberty

Energy,

Inc.,

A

................................

United

States

497,914

9,191,493

Select

Water

Solutions,

Inc.,

A

..........................

United

States

1,347,685

14,177,646

TechnipFMC

plc

....................................

United

Kingdom

103,898

4,629,695

39,353,195

#### Ground

#### Transportation

#### 0.6%
Knight-Swift

Transportation

Holdings,

Inc.,

A

...............

United

States

113,516

5,934,616

a

RXO,

Inc.

.........................................

United

States

84,578

1,069,066

7,003,682

#### Health

#### Care

#### Equipment

#### &

#### Supplies

#### 2.5%
a

Envista

Holdings

Corp.

...............................

United

States

1,310,749

28,456,361

#### Hotels,

#### Restaurants

#### &

#### Leisure

#### 3.6%
Boyd

Gaming

Corp.

.................................

United

States

201,969

17,215,837

a

Hilton

Grand

Vacations,

Inc.

...........................

United

States

385,208

17,238,058

b

Wyndham

Hotels

&

Resorts,

Inc.

........................

United

States

82,546

6,237,176

40,691,071

#### Household

#### Durables

#### 1.7%
Century

Communities,

Inc.

............................

United

States

36,922

2,191,321

La-Z-Boy,

Inc.

......................................

United

States

322,449

12,017,674

a

M/I

Homes,

Inc.

.....................................

United

States

8,187

1,047,527

Meritage

Homes

Corp.

...............................

United

States

41,490

2,730,042

a

Taylor

Morrison

Home

Corp.,

A

.........................

United

States

17,622

1,037,407

19,023,971

#### Industrial

#### REITs

#### 0.4%
STAG

Industrial,

Inc.

.................................

United

States

110,648

4,067,420

#### Insurance

#### 6.2%
CNO

Financial

Group,

Inc.

............................

United

States

697,392

29,618,238

Hanover

Insurance

Group,

Inc.

(The)

.....................

United

States

42,083

7,691,510

Horace

Mann

Educators

Corp.

.........................

United

States

538,472

24,866,637

Selective

Insurance

Group,

Inc.

.........................

United

States

93,483

7,821,722

a

TWFG,

Inc.,

A

......................................

United

States

1,819

52,333

70,050,440

#### Leisure

#### Products

#### 4.0%
BRP,

Inc.

..........................................

United

States

93,265

6,594,563

Brunswick

Corp.

....................................

United

States

175,196

13,006,551

a

Mattel,

Inc.

........................................

United

States

1,268,545

25,167,933

44,769,047

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Life

#### Sciences

#### Tools

#### &

#### Services

#### 1.7%
b

Bruker

Corp.

.......................................

United

States

401,728

$

18,925,406

#### Machinery

#### 5.2%
a

Gates

Industrial

Corp.

plc

.............................

United

States

1,142,515

24,529,797

a

Middleby

Corp.

(The)

................................

United

States

100,709

14,972,407

Mueller

Water

Products,

Inc.,

A

.........................

United

States

563,252

13,416,663

Oshkosh

Corp.

.....................................

United

States

43,408

5,453,347

58,372,214

#### Metals

#### &

#### Mining

#### 3.1%
Commercial

Metals

Co.

...............................

United

States

322,856

22,348,093

Ryerson

Holding

Corp.

...............................

United

States

494,170

12,433,317

34,781,410

#### Multi-Utilities

#### 0.5%
Black

Hills

Corp.

....................................

United

States

89,636

6,222,531

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 1.1%
Whitecap

Resources,

Inc.

.............................

Canada

1,433,820

12,013,355

#### Paper

#### &

#### Forest

#### Products

#### 0.7%
Louisiana-Pacific

Corp.

...............................

United

States

92,394

7,461,739

#### Residential

#### REITs

#### 1.0%
Independence

Realty

Trust,

Inc.

........................

United

States

634,129

11,084,575

#### Retail

#### REITs

#### 0.7%
Kite

Realty

Group

Trust

...............................

United

States

331,609

7,948,668

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 4.4%
MKS,

Inc.

.........................................

United

States

183,434

29,312,753

a

Onto

Innovation,

Inc.

.................................

United

States

130,069

20,532,693

49,845,446

#### Software

#### 3.1%
a

ACI

Worldwide,

Inc.

..................................

United

States

740,947

35,424,676

#### Specialty

#### Retail

#### 3.1%
Gap,

Inc.

(The)

.....................................

United

States

1,052,958

26,955,725

Group

Automotive,

Inc.

..............................

United

States

13,014

5,118,406

Signet

Jewelers

Ltd.

.................................

United

States

41,121

3,408,108

35,482,239

#### Textiles,

#### Apparel

#### &

#### Luxury

#### Goods

#### 1.2%
a

Crocs,

Inc.

........................................

United

States

71,607

6,123,830

Dr.

Martens

plc

.....................................

United

Kingdom

7,325,664

7,563,966

13,687,796

#### Trading

#### Companies

#### &

#### Distributors

#### 0.1%
McGrath

RentCorp

..................................

United

States

10,731

1,126,004

#### Total

#### Common

#### Stocks

#### (Cost

#### $893,463,751)

#### ...................................

#### 1,102,047,489
Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Short

#### Term

#### Investments

#### 2.3%
a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Money

#### Market

#### Funds

#### 2.3%
c,d

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

.........................................

United

States

26,189,662

$

26,189,662

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $26,189,662)

#### ................................

#### 26,189,662
e

#### Investments

#### from

#### Cash

#### Collateral

#### Received

#### for

#### Loaned

#### Securities

#### 0.0%

#### †

#### Money

#### Market

#### Funds

#### 0.0%

#### †
c,d

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

.........................................

United

States

108,921

108,921

#### Total

#### Investments

#### from

#### Cash

#### Collateral

#### Received

#### for

#### Loaned

#### Securities

#### (Cost

#### $108,921)
...........................................................

#### 108,921

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $26,298,583

####)
..............................

#### 26,298,583

#### a

#### Total

#### Investments

#### (Cost

#### $919,762,334)

#### 100.0%

#### ................................

#### $1,128,346,072

#### Other

#### Assets,

#### less

#### Liabilities

#### (0.0)%

#### †
.........................................

#### (882,026)

#### Net

#### Assets

#### 100.0%

#### .........................................................

#### $1,127,464,046

#### a
See

Abbreviations

on

Page

20. †

Rounds

to

less

than

0.1%

of

net

assets.

a

Non-income

producing.

b

A

portion

or

all

of

the

security

is

on

loan

at

December

31,

2025. See

Note

1(d)

.

c

See

Note

3(e)

regarding

investments

in

affiliated

management

investment

companies.

d

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

e

See

Note

1(d)

regarding

securities

on

loan.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Assets

and

Liabilities

December

31,

2025

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund
Assets:

Investments

in

securities:

Cost

-

Unaffiliated

issuers

...................................................................

$893,463,751

Cost

-

Non-controlled

affiliates

(Note

e)

........................................................

26,298,583

Value

-

Unaffiliated

issuers

(Includes

securities

loaned

of

$

106,618)

...................................

$1,102,047,489

Value

-

Non-controlled

affiliates

(Note

e)

.......................................................

26,298,583

Foreign

currency,

at

value

(cost

$

99)

............................................................

Receivables:

Investment

securities

sold

...................................................................

290,485

Capital

shares

sold

........................................................................

257,011

Dividends

...............................................................................

757,096

Total

assets

..........................................................................

1,129,650,777

Liabilities:

Payables:

Investment

securities

purchased

..............................................................

424,456

Capital

shares

redeemed

...................................................................

722,620

Management

fees

.........................................................................

618,444

Distribution

fees

..........................................................................

227,919

Trustees'

fees

and

expenses

.................................................................

Payable

upon

return

of

securities

loaned

(Note

d)

..................................................

108,921

Accrued

expenses

and

other

liabilities

...........................................................

84,347

Total

liabilities

.........................................................................

2,186,731

Net

assets,

at

value

.................................................................

$1,127,464,046

Net

assets

consist

of:

Paid-in

capital

.............................................................................

$838,596,224

Total

distributable

earnings

(losses)

.............................................................

288,867,822

Net

assets,

at

value

.................................................................

$1,127,464,046

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund

#### Class

#### 1:
Net

assets,

at

value

.......................................................................

$88,822,168

Shares

outstanding

........................................................................

5,947,150

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$14.94

#### Class

#### 2:
Net

assets,

at

value

.......................................................................

$984,489,018

Shares

outstanding

........................................................................

70,992,504

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$13.87

#### Class

#### 4:
Net

assets,

at

value

.......................................................................

$54,152,860

Shares

outstanding

........................................................................

3,712,706

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$14.59

a

Net

asset

value

per

share

may

not

recalculate

due

to

rounding.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Operations

for

the

year

ended

December

31,

2025

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund
Investment

income:

Dividends:

(net

of

foreign

taxes

of

$70,194)

Unaffiliated

issuers

........................................................................

$19,688,132

Non-controlled

affiliates

(Note

e)

.............................................................

868,144

Income

from

securities

loaned:

Unaffiliated

entities

(net

of

fees

and

rebates)

.....................................................

(4,366)

Non-controlled

affiliates

(Note

e)

.............................................................

14,549

Total

investment

income

...................................................................

20,566,459

Expenses:

Management

fees

(Note

a)

...................................................................

7,039,299

Distribution

fees:

(Note

3c)

Class

................................................................................

2,398,436

Class

................................................................................

176,842

Custodian

fees

............................................................................

8,268

Reports

to

shareholders

fees

..................................................................

54,705

Professional

fees

...........................................................................

80,099

Trustees'

fees

and

expenses

..................................................................

11,899

Other

....................................................................................

32,876

Total

expenses

.........................................................................

9,802,424

Expenses

waived/paid

by

affiliates

(Note

e)

...................................................

(55,130)

Net

expenses

.........................................................................

9,747,294

Net

investment

income

................................................................

10,819,165

Realized

and

unrealized

gains

(losses):

Net

realized

gain

(loss)

from:

Investments:

Unaffiliated

issuers

......................................................................

77,503,529

Foreign

currency

transactions

................................................................

(137,162)

Net

realized

gain

(loss)

..................................................................

77,366,367

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments:

Unaffiliated

issuers

......................................................................

(7,850,688)

Translation

of

other

assets

and

liabilities

denominated

in

foreign

currencies

..............................

8,709

Net

change

in

unrealized

appreciation

(depreciation)

............................................

(7,841,979)

Net

realized

and

unrealized

gain

(loss)

............................................................

69,524,388

Net

increase

(decrease)

in

net

assets

resulting

from

operations

..........................................

$80,343,553

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statements

of

Changes

in

Net

Assets

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024
Increase

(decrease)

in

net

assets:

Operations:

Net

investment

income

.................................................

$10,819,165

$11,546,442

Net

realized

gain

(loss)

.................................................

77,366,367

90,587,214

Net

change

in

unrealized

appreciation

(depreciation)

...........................

(7,841,979)

23,210,155

Net

increase

(decrease)

in

net

assets

resulting

from

operations

................

80,343,553

125,343,811

Distributions

to

shareholders:

Class

.............................................................

(7,503,573)

(2,641,707)

Class

.............................................................

(91,769,192)

(32,419,539)

Class

.............................................................

(4,530,654)

(1,320,637)

Total

distributions

to

shareholders

..........................................

(103,803,419)

(36,381,883)

Capital

share

transactions:

(Note

2)

Class

.............................................................

3,972,059

5,326,435

Class

.............................................................

3,643,309

(77,160,727)

Class

.............................................................

4,354,619

3,318,430

Total

capital

share

transactions

............................................

11,969,987

(68,515,862)

Net

increase

(decrease)

in

net

assets

...................................

(11,489,879)

20,446,066

Net

assets:

Beginning

of

year

.......................................................

1,138,953,925

1,118,507,859

End

of

year

...........................................................

$1,127,464,046

$1,138,953,925

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund

franklintempleton.com

Annual

Report

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
Franklin

Templeton

Variable

Insurance

Products

Trust (Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-end

management

investment

company,

consisting

of seventeen separate

funds.

The Trust

follows the

accounting

and

reporting

guidance

in

Financial

Accounting

Standards

Board

(FASB)

Accounting

Standards

Codification

Topic

946,

Financial

Services

–

Investment

Companies

(ASC

946)

and

applies the

specialized

accounting

and

reporting

guidance

in

U.S.

Generally

Accepted

Accounting

Principles

(U.S.

GAAP),

including,

but

not

limited

to,

ASC

946. Franklin

Small

Cap

Value

VIP

Fund

(Fund)

is

included

in

this

report. Shares

of

the

Fund

are

generally

sold

only

to

insurance

company

separate

accounts

to

fund

the

benefits

of

variable

life

insurance

policies

or

variable

annuity

contracts.

The

Fund

offers

three classes

of

shares:

Class

1,

Class

and

Class

4. Each

class

of

shares

may

differ

by

its

distribution

fees,

voting

rights

on

matters

affecting

a

single

class

and

its

exchange

privilege.

The

Fund

was

closed

to

new

insurance

company

subaccounts

effective

June

20,

2021. The

following

summarizes

the Fund's

significant

accounting

policies.

a. #### Financial

#### Instrument

#### Valuation
The

Fund's

investments

in

financial

instruments

are

carried

at

fair

value

daily.

Fair

value

is

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

market

participants

on

the

measurement

date.

The

Fund

calculates

the

net

asset

value

(NAV)

per

share

each business

day as

of

p.m.

Eastern

time

or

the

regularly

scheduled

close

of

the

New

York

Stock

Exchange

(NYSE),

whichever

is

earlier.

Under

compliance

policies

and

procedures

approved

by

the Trust's

Board

of

Trustees

(the

Board),

the

Board

has

designated

the

Fund's

investment

manager

as

the

valuation

designee

and

has

responsibility

for

oversight

of

valuation.

The

investment

manager

is

assisted

by

the

Fund's

administrator

in

performing

this

responsibility,

including

leading

the

cross-

functional

Valuation

Committee

(VC).

The

Fund

may

utilize

independent

pricing

services,

quotations

from

securities

and

financial

instrument

dealers,

and

other

market

sources

to

determine

fair

value.

Equity

securities

listed

on

an

exchange

or

on

the

NASDAQ

National

Market

System

are

valued

at

the

last

quoted

sale

price

or

the

official

closing

price of

the

day,

respectively.

Foreign

equity

securities

are

valued

as

of

the

close

of

trading

on

the

foreign

stock

exchange

on

which

the

security

is

primarily

traded,

or

as

of

p.m.

Eastern

time.

The

value

is

then

converted

into

its

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

p.m.

Eastern

time

on

the

day

that

the

value

of

the

security

is

determined.

Over-the-counter

(OTC)

securities

are

valued

within

the

range

of

the

most

recent

quoted

bid

and

ask

prices.

Securities

that

trade

in

multiple

markets

or

on

multiple

exchanges

are

valued

according

to

the

broadest

and

most

representative

market.

Certain

equity

securities

are

valued

based

upon

fundamental

characteristics

or

relationships

to

similar

securities.

Investments

in open-end mutual

funds

are

valued

at

the

closing

NAV.

The

Fund

has

procedures

to

determine

the

fair

value

of

financial

instruments

for

which

market

prices

are

not

reliable

or

readily

available.

Under

these

procedures,

the Fund

primarily

employs

a

market-based

approach

which

may

use

related

or

comparable

assets

or

liabilities,

recent

transactions,

market

multiples,

and

other

relevant

information

for

the

investment

to

determine

the

fair

value

of

the

investment.

An

income-based

valuation

approach

may

also

be

used

in

which

the

anticipated

future

cash

flows

of

the

investment

are

discounted

to

calculate

fair

value.

Discounts

may

also

be

applied

due

to

the

nature

or

duration

of

any

restrictions

on

the

disposition

of

the

investments.

Due

to

the

inherent

uncertainty

of

valuations

of

such

investments,

the

fair

values

may

differ

significantly

from

the

values

that

would

have

been

used

had

an

active

market

existed.

Trading

in

securities

on

foreign

securities

stock

exchanges

and

OTC

markets

may

be

completed

before

p.m.

Eastern

time.

In

addition,

trading

in

certain

foreign

markets

may

not

take

place

on

every

Fund's

business

day. Events

can occur

between

the

time

at

which

trading

in

a

foreign

security

is

completed

and

p.m.

Eastern

time

that

might

call

into

question

the

reliability

of

the

value

of

a

portfolio

security

held

by

the

Fund.

As

a

result,

differences

may

arise

between

the

value

of

the

Fund's

portfolio

securities

as

determined

at

the

foreign

market

close

and

the

latest

indications

of

value

at

p.m.

Eastern

time. In

order

to

minimize

the

potential

for

these

differences,

an

independent

pricing

service

may

be

used

to

adjust

the

value

of

the

Fund's

portfolio

securities

to

the

latest

indications

of

fair

value

at

p.m.

Eastern

time.

At

December

31,

2025,

certain

securities

may

have

been

fair

valued

using

these

procedures,

in

which

case

the

securities

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund
(continued)

were

categorized

as

Level

within

the

fair

value

hierarchy

(referred

to

as

"market

level

fair

value").

See

the

Fair

Value

Measurements

note

for

more

information.

When

the

last

day

of

the

reporting

period

is

a

non-business

day,

certain

foreign

markets

may

be

open

on

those

days

that

the

Fund's

NAV

is

not

calculated,

which

could

result

in

differences

between

the

value

of

the

Fund's

portfolio

securities

on

the

last

business

day

and

the

last

calendar

day

of

the

reporting

period.

Any

security

valuation

changes

due

to

an

open

foreign

market

are

adjusted

and

reflected

by

the

Fund

for

financial

reporting

purposes.

b. #### Foreign

#### Currency

#### Translation
Portfolio

securities

and

other

assets

and

liabilities

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

based

on

the

exchange

rate

of

such

currencies

against

U.S.

dollars

on

the

date

of

valuation.

The

Fund

may

enter

into

foreign

currency

exchange

contracts

to

facilitate

transactions

denominated

in

a

foreign

currency.

Purchases

and

sales

of

securities,

income

and

expense

items

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

at

the

exchange

rate

in

effect

on

the

transaction

date.

Portfolio

securities

and

assets

and

liabilities

denominated

in

foreign

currencies

contain

risks

that

those

currencies

will

decline

in

value

relative

to

the

U.S.

dollar.

Occasionally,

events

may

impact

the

availability

or

reliability

of

foreign

exchange

rates

used

to

convert

the

U.S.

dollar

equivalent

value.

If

such

an

event

occurs,

the

foreign

exchange

rate

will

be

valued

at

fair

value

using

procedures

established

and

approved

by

the

Board.

The

Fund

does

not

separately

report

the

effect

of

changes

in

foreign

exchange

rates

from

changes

in

market

prices

on

securities

held.

Such

changes

are

included

in

net

realized

and

unrealized

gain

or

loss

from

investments

in

the

Statement of

Operations.

Realized

foreign

exchange

gains

or

losses

arise

from

sales

of

foreign

currencies,

currency

gains

or

losses

realized

between

the

trade

and

settlement

dates

on

securities

transactions

and

the

difference

between

the

recorded

amounts

of

dividends,

interest,

and

foreign

withholding

taxes

and

the

U.S.

dollar

equivalent

of

the

amounts

actually

received

or

paid.

Net

unrealized

foreign

exchange

gains

and

losses

arise

from

changes

in

foreign

exchange

rates

on

foreign

denominated

assets

and

liabilities

other

than

investments

in

securities

held

at

the

end

of

the

reporting

period.

c. #### Securities

#### Purchased

#### on

#### a

#### When-Issued,

#### Forward

#### Commitment or

#### Delayed

#### Delivery

#### Basis
The

Fund

may

purchase

securities

on

a when-issued,

forward

commitment

or

delayed

delivery basis,

with

payment

and

delivery

scheduled

for

a

future

date.

These

transactions

are

subject

to

market

fluctuations

and

are

subject

to

the

risk

that

the

value

at

delivery

may

be

more

or

less

than

the

trade

date

purchase

price.

Although

the

Fund

will

generally

purchase

these

securities

with

the

intention

of

holding

the

securities, it

may

sell

the

securities

before

the

settlement

date.

d. #### Securities

#### Lending
The

Fund

participates

in

an

agency

based

securities

lending

program

to

earn

additional

income.

The

Fund

receives

collateral

in

the

form

of

cash

and/or

U.S.

Government

and

Agency

securities

against

the

loaned

securities

in

an

amount

equal

to

at

least

102%

of

the

fair

value

of

the

loaned

securities.

Collateral

is

maintained

over

the

life

of

the

loan

in

an

amount

not

less

than

100%

of

the

fair

value

of

loaned

securities,

as

determined

at

the

close

of

Fund

business

each

day;

any

additional

collateral

required

due

to

changes

in

security

values

is

delivered

to

the

Fund

on

the

next

business

day.

Any

cash

collateral

received

is

deposited

into

a

joint

cash

account

with

other

funds

and

is

used

to

invest

in

a

money

market

fund

managed

by

Franklin

Advisers,

Inc.,

an

affiliate

of

the

Fund. The

Fund

may

receive

income

from

the

investment

of

cash

collateral,

in

addition

to

lending

fees paid

by

the

borrower.

Income

from

securities

loaned,

net

of

fees

paid

to

the

securities

lending

agent

and/or

third-party

vendor,

is

reported

separately

in

the Statement of

Operations.

The

Fund

bears

the

market

risk

with

respect

to

any

cash

collateral

investment,

securities

loaned,

and

the

risk

that

the

agent

may

default

on

its

obligations

to

the

Fund.

If

the

borrower

defaults

on

its

obligation

to

return

the

securities

loaned,

the

Fund

has

the

right

to

repurchase

the

securities

in

the

open

market

using

the

collateral

received.

The

securities

lending

agent

has

agreed

to

indemnify

the

Fund

in

the

event

of

default

by

a

third

party

borrower.

Securities

on

loan

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

a. #### Financial

#### Instrument

#### Valuation
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund
(continued)

e. #### Income

#### and

#### Deferred

#### Taxes
It

is the Fund's

policy

to

qualify

as

a

regulated

investment

company

under

the

Internal

Revenue

Code. The Fund

intends

to

distribute

to

shareholders

substantially

all

of

its

taxable

income

and

net

realized

gains

to

relieve

it

from

federal

income

and if

applicable,

excise

taxes.

As

a

result,

no

provision

for

U.S.

federal

income

taxes

is

required.

The

Fund

may

be

subject

to

foreign

taxation

related

to

income

received,

capital

gains

on

the

sale

of

securities

and

certain

foreign

currency

transactions

in

the

foreign

jurisdictions

in

which it

invests.

Foreign

taxes,

if

any,

are

recorded

based

on

the

tax

regulations

and

rates

that

exist

in

the

foreign

markets

in

which

the

Fund

invests.

When

a

capital

gain

tax

is

determined

to

apply,

the

Fund

records

an

estimated

deferred

tax

liability

in

an

amount

that

would

be

payable

if

the

securities

were

disposed

of

on

the

valuation

date.

The Fund

may

recognize

an

income

tax

liability

related

to

its

uncertain

tax

positions

under

U.S.

GAAP

when

the

uncertain

tax

position

has

a

less

than

50%

probability

that

it

will

be

sustained

upon

examination

by

the

tax

authorities

based

on

its

technical

merits.

As

of

December

31,

2025, the Fund

has

determined

that

no

tax

liability

is

required

in

its

financial

statements

related

to

uncertain

tax

positions

for

any

open

tax

years

(or

expected

to

be

taken

in

future

tax

years).

The

Fund's

federal

and

state

income

and

federal

excise

tax

returns

for

the

prior

three

fiscal

years

are

subject

to

examination

by

the

Internal

Revenue

Service

and

state

departments

of

revenue.

f. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
Security

transactions

are

accounted

for

on

trade

date.

Realized

gains

and

losses

on

security

transactions

are

determined

on

a

specific

identification

basis.

Estimated

expenses

are

accrued

daily.

Dividend

income

is

recorded

on

the

ex-dividend

date

except

for

certain

dividends

from

securities

where

the

dividend

rate

is

not

available.

In

such

cases,

the

dividend

is

recorded

as

soon

as

the

information

is

received

by

the

Fund.

Distributions

to

shareholders

are

recorded

on

the

ex-dividend

date.

Distributable

earnings

are

determined

according

to

income

tax

regulations

(tax

basis)

and

may

differ

from

earnings

recorded

in

accordance

with

U.S.

GAAP.

These

differences

may

be

permanent

or

temporary.

Permanent

differences

are

reclassified

among

capital

accounts

to

reflect

their

tax

character.

These

reclassifications

have

no

impact

on

net

assets

or

the

results

of

operations.

Temporary

differences

are

not

reclassified,

as

they

may

reverse

in

subsequent

periods.

Common

expenses

incurred

by

the

Trust

are

allocated

among

the

Funds

based

on

the

ratio

of

net

assets

of

each

Fund

to

the

combined

net

assets

of

the

Trust

or

based

on

the

ratio

of

number

of

shareholders

of

each

Fund

to

the

combined

number

of

shareholders

of

the

Trust.

Fund

specific

expenses

are

charged

directly

to

the

Fund

that

incurred

the

expense.

Realized

and

unrealized

gains

and

losses

and

net

investment

income,

excluding

class

specific

expenses,

are

allocated

daily

to

each

class

of

shares

based

upon

the

relative

proportion

of

net

assets

of

each

class.

Differences

in

per

share

distributions

by

class

are

generally

due

to

differences

in

class

specific

expenses.

g. #### Accounting

#### Estimates
The

preparation

of

financial

statements

in

accordance

with

U.S.

GAAP

requires

management

to

make

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

amounts

of

income

and

expenses

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

h. #### Guarantees

#### and

#### Indemnifications
Under

the Trust's

organizational

documents,

its

officers

and trustees

are

indemnified

by

the Trust against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Trust.

Additionally,

in

the

normal

course

of

business,

the Trust,

on

behalf

of

the

Fund, enters

into

contracts

with

service

providers

that

contain

general

indemnification

clauses.

The Trust's

maximum

exposure

under

these

arrangements

is

unknown

as

this

would

involve

future

claims

that

may

be

made

against

the Trust

that

have

not

yet

occurred.

Currently,

the Trust

expects

the

risk

of

loss

to

be

remote.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund
(continued)

2. #### Shares

#### of

#### Beneficial

#### Interest
At

December

31,

2025,

there

were

an

unlimited

number

of

shares

authorized

(without

par

value).

Transactions

in

the

Fund's

shares

were

as

follows:

3. #### Transactions

#### with

#### Affiliates
Franklin

Resources,

Inc.

is

the

holding

company

for

various

subsidiaries

that

together

are

referred

to

as

Franklin

Templeton.

Certain

officers

and trustees

of

the Fund are

also

officers

and/or directors

of

the

following

subsidiaries:

a. #### Management

#### Fees
The

Fund

pays

an

investment

management fee,

calculated

daily and

paid

monthly,

to

Franklin

Mutual

based

on the

average

daily

net

assets

of

the

Fund

as

follows:

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### 1

#### Shares:
Shares

sold

...................................

620,402

$8,932,793

845,834

$12,345,724

Shares

issued

in

reinvestment

of

distributions

..........

571,048

7,503,573

191,706

2,641,707

Shares

redeemed

...............................

(854,350)

(12,464,307)

(650,804)

(9,660,996)

Net

increase

(decrease)

..........................

337,100

$3,972,059

386,736

$5,326,435

#### Class

#### 2

#### Shares:
Shares

sold

...................................

5,375,846

$72,296,380

5,273,509

$72,392,392

Shares

issued

in

reinvestment

of

distributions

..........

7,509,754

91,769,192

2,513,143

32,419,539

Shares

redeemed

...............................

(11,862,541)

(160,422,263)

(13,207,091)

(181,972,658)

Net

increase

(decrease)

..........................

1,023,059

$3,643,309

(5,420,439)

$(77,160,727)

#### Class

#### 4

#### Shares:
Shares

sold

...................................

730,764

$10,407,172

788,126

$11,389,636

Shares

issued

in

reinvestment

of

distributions

..........

352,306

4,530,654

97,753

1,320,637

Shares

redeemed

...............................

(754,934)

(10,583,207)

(652,595)

(9,391,843)

Net

increase

(decrease)

..........................

328,136

$4,354,619

233,284

$3,318,430

#### Subsidiary

#### Affiliation
Franklin

Mutual

Advisers,

LLC

(Franklin

Mutual)

Investment

manager

Franklin

Templeton

Services,

LLC

(FT

Services)

Administrative

manager

Franklin

Distributors,

LLC

(Distributors)

Principal

underwriter

Franklin

Templeton

Investor

Services,

LLC

(Investor

Services)

Transfer

agent

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
0.750%

Up

to

and

including

$200

million

0.635%

Over

$200

million,

up

to

and

including

$700

million

0.600%

Over

$700

million,

up

to

and

including

$1.2

billion

0.575%

Over

$1.2

billion,

up

to

and

including

$1.3

billion

0.475%

In

excess

of

$1.3

billion

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund
(continued)

For

the

year

ended

December

31,

2025,

the

gross

effective

investment

management

fee

rate

was 0.643%

of

the

Fund's

average daily

net

assets.

b. #### Administrative

#### Fees
Under

an

agreement

with

Franklin

Mutual,

FT

Services

provides

administrative

services

to

the

Fund.

The

fee

is

paid

by

Franklin

Mutual

based

on

the

Fund's

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Fund.

c. #### Distribution

#### Fees
The

Board

has

adopted distribution

plans

for

Class

2 and

Class

shares

pursuant

to

Rule

12b-1

under

the

1940

Act.

Under

the

Fund's

compensation

distribution

plans,

the

Fund

pays

Distributors

for

costs

incurred

in

connection

with

the

servicing,

sale

and

distribution

of

the

Fund's

shares

up

to

0.35%

per

year

of

its

average

daily

net

assets

of

each

class.

The

Board

has

agreed

to

limit

the

current

rate

to

0.25%

per

year

for

Class

2. The

plan

year,

for

purposes

of

monitoring

compliance

with

the

maximum

annual

plan

rates,

is

February

through

January

31. d. #### Transfer

#### Agent

#### Fees
Investor

Services,

under

terms

of

an

agreement,

performs

shareholder

servicing

for

the

Fund and

is

not

paid

by

the Fund

for

the

services.

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
The

Fund

invests

in

one

or

more

affiliated

management

investment

companies.

As

defined

in

the

1940

Act,

an

investment

is

deemed

to

be

a

"Controlled

Affiliate"

of

a

fund

when

a

fund

owns,

either

directly

or

indirectly,

25%

or

more

of

the

affiliated

fund's

outstanding

shares

or

has

the

power

to

exercise

control

over

management

or

policies

of

such

fund.

The

Fund

does

not

invest

for

purposes

of

exercising

a

controlling

influence

over

the

management

or

policies.

Management

fees

paid

by

the

Fund

are

waived

on

assets

invested

in

the

affiliated

management

investment

companies,

as

noted

in

the

Statement

of

Operations,

in

an

amount

not

to

exceed

the

management

and

administrative

fees,

if

applicable, paid

directly

or

indirectly

by

each

affiliate.

During

the

year

ended

December

31,

2025,

the

Fund

held

investments

in

affiliated

management

investment

companies

as

follows:

#### &nbsp;&nbsp;&nbsp;&nbsp;aa

#### Value

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### Sales

#### Realized

#### Gain
(Loss)

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### Value

#### at

#### End

#### of

#### Year

#### Number

#### of

#### Shares

#### Held

#### at

#### End

#### of

#### Year

#### Investment

#### Income

#### a&nbsp;&nbsp;&nbsp;&nbsp;

#### a

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund

#### Non-Controlled

#### Affiliates
Dividends

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

............

$17,941,521

$281,269,073

$(273,020,932)

$—

$—

$26,189,662

26,189,662

$868,144

3. #### Transactions

#### with

#### Affiliates
(continued)

a. #### Management

#### Fees
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund
(continued)

4. #### Income

#### Taxes
The

tax

character

of

distributions

paid

during

the

years

ended

December

31,

2025

and

2024,

was

as

follows:

At

December

31,

2025,

the

cost

of

investments,

net

unrealized

appreciation

(depreciation),

undistributed

ordinary

income

and

undistributed

long

term

capital

gains for

income

tax

purposes

were

as

follows:

Differences

between

income

and/or

capital

gains

as

determined

on

a

book

basis

and

a

tax

basis

are

primarily

due

to

differing

treatments

of

wash

sales

and

passive

foreign

investment

company

shares.

5. #### Investment

#### Transactions
Purchases

and

sales

of

investments (excluding

short

term

securities) for

the

year

ended

December

31,

2025,

aggregated

$610,374,288 and

$700,861,851,

respectively.

#### &nbsp;&nbsp;&nbsp;&nbsp;aa

#### Value

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### Sales

#### Realized

#### Gain
(Loss)

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### Value

#### at

#### End

#### of

#### Year

#### Number

#### of

#### Shares

#### Held

#### at

#### End

#### of

#### Year

#### Investment

#### Income

#### a&nbsp;&nbsp;&nbsp;&nbsp;

#### a

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund
(continued)

#### Non-Controlled

#### Affiliates
Income

from

securities

loaned

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

............

$—

$9,885,921

$(9,777,000)

$—

$—

$108,921

108,921

$14,549

#### Total

#### Affiliated

#### Securities

#### ...
$17,941,521

$291,154,994

$(282,797,932)

$—

$—

$26,298,583

$882,693

#### 2025

#### 2024
Distributions

paid

from:

Ordinary

income

..........................................................

$21,338,554

$19,526,102

Long

term

capital

gain

......................................................

82,464,865

16,855,781

$103,803,419

$36,381,883

Cost

of

investments

..........................................................................

$926,443,822

Unrealized

appreciation

........................................................................

$224,731,850

Unrealized

depreciation

........................................................................

(22,829,600)

Net

unrealized

appreciation

(depreciation)

..........................................................

$201,902,250

Distributable

earnings:

Undistributed

ordinary

income

...................................................................

$10,860,089

Undistributed

long

term

capital

gains

..............................................................

76,106,150

Total

distributable

earnings

.....................................................................

$86,966,239

3. #### Transactions

#### with

#### Affiliates
(continued)

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund
(continued)

At

December

31,

2025,

in

connection

with

securities

lending

transactions,

the

Fund

loaned

equity

investments

and

received

$108,921

of

cash

collateral.

The

gross

amount

of

recognized

liability

for

such

transactions

is

included

in

payable

upon

return

of

securities

loaned

in

the

Statement

of

Assets

and

Liabilities.

The

agreements

can

be

terminated

at

any

time.

6. #### Credit

#### Facility
The

Fund,

together

with

other

U.S.

registered

and

foreign

investment

funds

(collectively,

Borrowers),

managed

by

Franklin

Templeton,

are

borrowers

in

a

joint

syndicated

senior

unsecured

credit

facility

totaling

$2.995

billion

(Global

Credit

Facility)

which

matured

on

January

30,

2026. This

Global

Credit

Facility

provides

a

source

of

funds

to

the

Borrowers

for

temporary

and

emergency

purposes,

including

the

ability

to

meet

future

unanticipated

or

unusually

large

redemption

requests.

Effective

January

30,

2026,

the

Borrowers

renewed

the

Global

Credit

Facility

for

a

one-year

term,

maturing

January

29,

2027,

for

a

total

of

$2.995

billion.

Under

the

terms

of

the

Global

Credit

Facility,

the

Fund

may,

in

addition

to

interest

charged

on

any

borrowings

made

by

the

Fund

and

other

costs

incurred

by

the

Fund,

pay

its

share

of

fees

and

expenses

incurred

in

connection

with

the

implementation

and

maintenance

of

the

Global

Credit

Facility,

based

upon

its

relative

share

of

the

aggregate

net

assets

of

all

of

the

Borrowers,

including

an

annual

commitment

fee

of

0.15%

based

upon

the

unused

portion

of

the

Global

Credit

Facility.

These

fees

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

During

the

year

ended

December

31,

2025,

the Fund

did

not

use

the

Global

Credit

Facility.

7. #### Fair

#### Value

#### Measurements
The

Fund

follows

a

fair

value

hierarchy

that

distinguishes

between

market

data

obtained

from

independent

sources

(observable

inputs)

and

the Fund's

own

market

assumptions

(unobservable

inputs).

These

inputs

are

used

in

determining

the

value

of

the

Fund's financial

instruments

and

are

summarized

in

the

following

fair

value

hierarchy:

Level

–

quoted

prices

in

active

markets

for

identical

financial

instruments

Level

–

other

significant

observable

inputs

(including

quoted

prices

for

similar

financial

instruments,

interest

rates,

prepayment

speed,

credit

risk,

etc.)

Level

–

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

financial

instruments)

The

input

levels

are

not

necessarily

an

indication

of

the

risk

or

liquidity

associated

with

financial

instruments

at

that

level.

A

summary

of

inputs

used

as

of

December

31,

2025,

in

valuing

the

Fund's assets carried

at

fair

value,

is

as

follows:

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund

#### Assets:
Investments

in

Securities:

a

Common

Stocks

:

Aerospace

&

Defense

...................

$

—

$

53,198,471

$

—

$

53,198,471

Banks

...............................

204,782,995

—

—

204,782,995

Building

Products

......................

28,349,905

—

—

28,349,905

Capital

Markets

........................

18,435,528

—

—

18,435,528

Chemicals

...........................

68,538,134

—

—

68,538,134

Commercial

Services

&

Supplies

...........

29,148,104

—

—

29,148,104

Construction

&

Engineering

...............

25,271,731

—

—

25,271,731

Consumer

Finance

.....................

25,250,152

—

—

25,250,152

5. #### Investment

#### Transactions
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund
(continued)

8. #### Operating

#### Segments
The Fund operates

as

a

single

operating

segment,

which

is

an

investment

portfolio.

The

portfolio

managers

assigned

to

the

Fund

within

the

Fund's

Investment

manager serve

as

the

Chief

Operating

Decision

Maker

("CODM")

and

are

responsible

for

evaluating

the

Fund's

operating

results

and

allocating

resources

in

accordance

with

the

Fund's

investment

strategy.

Internal

reporting

provided

to

the

CODM

aligns

with

the

accounting

policies

and

measurement

principles

used

in

the financial

statements.

For

information

regarding

segment

assets,

segment

profit

or

loss,

and

significant

expenses,

refer

to

the Statement

of

Assets

and

Liabilities

and

the Statement

of

Operations,

along

with

the

related

notes

to

the financial

statements.

The Schedule

of

Investments

provides

details

of

the Fund's investments

that

generate

returns

such

as

interest,

dividends,

and

realized

and

unrealized

gains

or

losses.

Performance

metrics,

including

portfolio

turnover

and

expense

ratios,

are

disclosed

in

the Financial

Highlights.

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund
(continued)

#### Assets:
(continued)

Investments

in

Securities:

a

(continued)

Common

Stocks:

(continued)

Electric

Utilities

........................

$

5,923,894

$

—

$

—

$

5,923,894

Electrical

Equipment

....................

33,607,224

—

—

33,607,224

Electronic

Equipment,

Instruments

&

Components

........................

56,946,184

6,803,921

—

63,750,105

Energy

Equipment

&

Services

.............

27,998,834

11,354,361

—

39,353,195

Ground

Transportation

..................

7,003,682

—

—

7,003,682

Health

Care

Equipment

&

Supplies

.........

28,456,361

—

—

28,456,361

Hotels,

Restaurants

&

Leisure

.............

40,691,071

—

—

40,691,071

Household

Durables

....................

19,023,971

—

—

19,023,971

Industrial

REITs

.......................

4,067,420

—

—

4,067,420

Insurance

............................

70,050,440

—

—

70,050,440

Leisure

Products

.......................

44,769,047

—

—

44,769,047

Life

Sciences

Tools

&

Services

............

18,925,406

—

—

18,925,406

Machinery

............................

58,372,214

—

—

58,372,214

Metals

&

Mining

.......................

34,781,410

—

—

34,781,410

Multi-Utilities

..........................

6,222,531

—

—

6,222,531

Oil,

Gas

&

Consumable

Fuels

.............

12,013,355

—

—

12,013,355

Paper

&

Forest

Products

.................

7,461,739

—

—

7,461,739

Residential

REITs

......................

11,084,575

—

—

11,084,575

Retail

REITs

..........................

7,948,668

—

—

7,948,668

Semiconductors

&

Semiconductor

Equipment

.

49,845,446

—

—

49,845,446

Software

.............................

35,424,676

—

—

35,424,676

Specialty

Retail

........................

35,482,239

—

—

35,482,239

Textiles,

Apparel

&

Luxury

Goods

..........

13,687,796

—

—

13,687,796

Trading

Companies

&

Distributors

..........

1,126,004

—

—

1,126,004

Short

Term

Investments

...................

26,298,583

—

—

26,298,583

Total

Investments

in

Securities

...........

$1,056,989,319

$71,356,753

b

$—

$1,128,346,072

a

For

detailed

categories,

see

the

accompanying

Schedule

of

Investments.

b

Includes

foreign

securities

valued

at

$71,356,753,

which

were

categorized

as

Level

as

a

result

of

the

application

of

market

level

fair

value

procedures.

See

the

Financial

Instrument

Valuation

note

for

more

information.

7. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund
(continued)

9. #### Subsequent

#### Events
The Fund

has

evaluated

subsequent

events

through

the

issuance

of

the

financial

statements

and

determined

that

no

events

have

occurred

that

require

disclosure

other

than

those

already

disclosed

in

the

financial

statements.

#### Abbreviations

#### Selected

#### Portfolio

#### REIT
Real

Estate

Investment

Trust

Franklin

Templeton

Variable

Insurance

Products

Trust

Report

of

Independent

Registered

Public

Accounting

Firm

franklintempleton.com

Annual

Report

To

the

Board

of

Trustees

of

Franklin

Templeton

Variable

Insurance

Products

Trust

and

Shareholders

of

Franklin

Small

Cap

Value

VIP

Fund

#### Opinion

#### on

#### the

#### Financial

#### Statements
We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

investments,

of

Franklin

Small

Cap

Value

VIP

Fund

(one

of

the

funds

constituting

Franklin

Templeton

Variable

Insurance

Products

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2025,

the

related

statement

of

operations

for

the

year

ended

December

31,

2025,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

(collectively

referred

to

as

the

"financial

statements").

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2025,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

#### Basis

#### for

#### Opinion
These

financial

statements

are

the

responsibility

of

the

Fund's

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund's

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2025

by

correspondence

with

the

custodian,

transfer

agent

and

brokers;

when

replies

were

not

received

from

a

broker,

we

performed

other

auditing

procedures.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/PricewaterhouseCoopers

LLP

San

Francisco,

California

February

19,

2026

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Franklin

Templeton

Group

of

Funds

since

1948. Franklin

Templeton

Variable

Insurance

Products

Trust

Tax

Information

(unaudited)

franklintempleton.com

Annual

Report

#### Franklin

#### Small

#### Cap

#### Value

#### VIP

#### Fund
By

mid-February,

tax

information

related

to

a

shareholder's

proportionate

share

of

distributions

paid

during

the

preceding

calendar

year

will

be

received,

if

applicable.

Please

also

refer

to

www.franklintempleton.com

for

per

share

tax

information

related

to

any

distributions

paid

during

the

preceding

calendar

year.

Shareholders

are

advised

to

consult

with

their

tax

advisors

for

further

information

on

the

treatment

of

these

amounts

on

their

tax

returns.

The

following

tax

information

for

the

Fund

is

required

to

be

furnished

to

shareholders

with

respect

to

income

earned

and

distributions

paid

during

its

fiscal

year.

The

Fund

hereby

reports

the

following

amounts,

or

if

subsequently

determined

to

be

different,

the

maximum

allowable

amounts,

for

the

fiscal

year

ended

December

31,

2025:

#### Pursuant

#### to:

#### Amount

#### Reported
Long-Term

Capital

Gain

Dividends

Distributed

§852(b)(3)(C)

$82,464,865

Income

Eligible

for

Dividends

Received

Deduction

(DRD)

§854(b)(1)(A)

$16,012,091

Franklin

Templeton

Variable

Insurance

Products

Trust

franklintempleton.com

Annual

Report

#### Changes

#### In

#### and

#### Disagreements

#### with

#### Accountants
For

the

period

covered

by

this

report

Not

applicable.

#### Results

#### of

#### Meeting(s)

#### of

#### Shareholders
For

the

period

covered

by

this

report

Not

applicable.

#### Remuneration

#### Paid

#### to

#### Directors,

#### Officers

#### and

#### Others
For

the

period

covered

by

this

report

Refer

to

the

financial

statements

included

herein.

Remuneration

to

officers

is

paid

by

the

Fund's

investment

manager

according

to

the

terms

of

the

agreement.

#### Board

#### Approval

#### of

#### Management

#### and

#### Subadvisory

#### Agreements
For

the

period

covered

by

this

report

Not

applicable.

4848-AFSOI

02/26©

2026

Franklin

Templeton.

All

rights

reserved.

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund

#### Financial

#### Statements

#### and

#### Other

#### Important

#### Information

#### Annual
\|

December

31,

2025

#### Table

#### of

#### Contents
franklintempleton.com

Financial

Statements

and

Other

Important

Information—Annual

Financial

Highlights

and

Schedule

of

Investments

#### 2
Financial

Statements

#### 9
Notes

to

Financial

Statements

#### 12
Report

of

Independent

Registered

Public

Accounting

Firm

#### 23
Tax

Information

#### 24
Changes

In

and

Disagreements

with

Accountants

#### 25
Results

of

Meeting(s)

of

Shareholders

Remuneration

Paid

to

Directors,

Officers

and

Others

Board

Approval

of

Management

and

Subadvisory

Agreements

FRANKLIN

TEMPLETON

VARIABLE

INSURANCE

PRODUCTS

TRUST

Financial

Highlights

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 1

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$18.99

$17.06

$13.42

$26.72

$26.99

Income

from

investment

operations

a

:

Net

investment

income

(loss)

b

....................

(0.05)

(0.02)

0.01 (0.03)

(0.15)

Net

realized

and

unrealized

gains

(losses)

...........

0.55 1.95 3.63 (9.01)

2.79 Total

from

investment

operations

....................

0.50 1.93 3.64 (9.04)

2.64 Less

distributions

from:

Net

realized

gains

.............................

(0.84)

—

—

(4.26)

(2.91)

Net

asset

value,

end

of

year

.......................

$18.65

$18.99

$17.06

$13.42

$26.72

Total

return

c

...................................

2.70%

11.31%

27.12%

(33.52)%

10.25%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.83%

0.83%

0.83%

0.79%

0.83%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.83%

d

0.82%

0.82%

e

0.77%

e

0.82%

e

Net

investment

income

(loss)

......................

(0.27)%

(0.13)%

0.09%

(0.16)%

(0.55)%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$72,103

$79,165

$71,742

$60,901

$79,526

Portfolio

turnover

rate

............................

32.41%

31.76%

43.03%

41.30%

43.35%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

FRANKLIN

TEMPLETON

VARIABLE

INSURANCE

PRODUCTS

TRUST

Financial

Highlights

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 2

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$14.79

$13.32

$10.51

$22.39

$23.11

Income

from

investment

operations

a

:

Net

investment

(loss)

b

..........................

(0.08)

(0.05)

(0.02)

(0.06)

(0.19)

Net

realized

and

unrealized

gains

(losses)

...........

0.44 1.52 2.83 (7.56)

2.38 Total

from

investment

operations

....................

0.36 1.47 2.81 (7.62)

2.19 Less

distributions

from:

Net

realized

gains

.............................

(0.84)

—

—

(4.26)

(2.91)

Net

asset

value,

end

of

year

.......................

$14.31

$14.79

$13.32

$10.51

$22.39

Total

return

c

...................................

2.52%

11.04%

26.74%

(33.69)%

10.01%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.08%

1.08%

1.08%

1.04%

1.08%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.08%

d

1.07%

1.07%

e

1.02%

e

1.07%

e

Net

investment

(loss)

............................

(0.52)%

(0.38)%

(0.16)%

(0.43)%

(0.80)%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$308,434

$337,996

$347,641

$293,545

$472,565

Portfolio

turnover

rate

............................

32.41%

31.76%

43.03%

41.30%

43.35%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

FRANKLIN

TEMPLETON

VARIABLE

INSURANCE

PRODUCTS

TRUST

Financial

Highlights

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 4

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$15.89

$14.33

$11.31

$23.62

$24.26

Income

from

investment

operations

a

:

Net

investment

(loss)

b

..........................

(0.10)

(0.07)

(0.03)

(0.07)

(0.22)

Net

realized

and

unrealized

gains

(losses)

...........

0.47 1.63 3.05 (7.98)

2.49 Total

from

investment

operations

....................

0.37 1.56 3.02 (8.05)

2.27 Less

distributions

from:

Net

realized

gains

.............................

(0.84)

—

—

(4.26)

(2.91)

Net

asset

value,

end

of

year

.......................

$15.42

$15.89

$14.33

$11.31

$23.62

Total

return

c

...................................

2.40%

10.89%

26.70%

(33.76)%

9.86%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.18%

1.18%

1.18%

1.14%

1.18%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.18%

d

1.17%

1.17%

e

1.12%

e

1.17%

e

Net

investment

(loss)

............................

(0.62)%

(0.48)%

(0.26)%

(0.52)%

(0.90)%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$23,363

$22,352

$22,381

$17,786

$26,518

Portfolio

turnover

rate

............................

32.41%

31.76%

43.03%

41.30%

43.35%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Product

Schedule

of

Investments,

December

31,

2025

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund
franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks

#### 94.8%

#### Aerospace

#### &

#### Defense

#### 6.1%
a

Axon

Enterprise,

Inc.

.................................

United

States

14,205

$

8,067,446

BWX

Technologies,

Inc.

..............................

United

States

32,212

5,567,522

Howmet

Aerospace,

Inc.

..............................

United

States

54,102

11,091,992

24,726,960

#### Banks

#### 1.1%
Fifth

Third

Bancorp

..................................

United

States

93,100

4,358,011

#### Biotechnology

#### 5.5%
a

Alnylam

Pharmaceuticals,

Inc.

..........................

United

States

18,074

7,187,126

a

Ascendis

Pharma

A/S

,

ADR

...........................

Denmark

5,504

1,173,673

a

CG

oncology,

Inc.

...................................

United

States

42,400

1,760,448

a

Insmed,

Inc.

.......................................

United

States

23,155

4,029,896

a

Natera,

Inc.

........................................

United

States

35,890

8,222,040

22,373,183

#### Building

#### Products

#### 1.2%
AAON,

Inc.

........................................

United

States

65,904

5,025,180

#### Capital

#### Markets

#### 8.7%
Ares

Management

Corp.

,

A

............................

United

States

60,484

9,776,029

Blue

Owl

Capital,

Inc.

,

A

..............................

United

States

322,582

4,819,375

LPL

Financial

Holdings,

Inc.

...........................

United

States

15,300

5,464,701

MSCI,

Inc.

,

A

.......................................

United

States

12,001

6,885,334

Nasdaq,

Inc.

.......................................

United

States

48,500

4,710,805

Tradeweb

Markets,

Inc.

,

A

.............................

United

States

32,400

3,484,296

35,140,540

#### Construction

#### &

#### Engineering

#### 0.8%
Comfort

Systems

USA,

Inc.

............................

United

States

3,399

3,172,253

#### Consumer

#### Staples

#### Distribution

#### &

#### Retail

#### 0.9%
Casey's

General

Stores,

Inc.

...........................

United

States

6,211

3,432,882

#### Electrical

#### Equipment

#### 3.8%
AMETEK,

Inc.

......................................

United

States

29,100

5,974,521

Vertiv

Holdings

Co.

,

A

................................

United

States

58,635

9,499,456

15,473,977

#### Entertainment

#### 2.8%
a

ROBLOX

Corp.

,

A

...................................

United

States

139,300

11,287,479

#### Financial

#### Services

#### 0.6%
a

Paymentus

Holdings,

Inc.

,

A

...........................

United

States

82,718

2,613,062

#### Ground

#### Transportation

#### 1.0%
Old

Dominion

Freight

Line,

Inc.

.........................

United

States

26,811

4,203,965

#### Health

#### Care

#### Equipment

#### &

#### Supplies

#### 4.4%
a

Dexcom,

Inc.

.......................................

United

States

112,424

7,461,581

a

IDEXX

Laboratories,

Inc.

..............................

United

States

8,250

5,581,372

a

Penumbra,

Inc.

.....................................

United

States

15,437

4,799,518

17,842,471

#### Health

#### Care

#### Providers

#### &

#### Services

#### 2.1%
Cencora,

Inc.

......................................

United

States

24,999

8,443,412

#### Health

#### Care

#### Technology

#### 1.6%
a

Veeva

Systems,

Inc.

,

A

...............................

United

States

28,600

6,384,378

Franklin

Templeton

Variable

Insurance

Product

Schedule

of

Investments

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Hotels,

#### Restaurants

#### &

#### Leisure

#### 11.9%
a

Cava

Group,

Inc.

....................................

United

States

93,549

$

5,490,391

a

DoorDash,

Inc.

,

A

...................................

United

States

29,971

6,787,832

Hilton

Worldwide

Holdings,

Inc.

.........................

United

States

29,439

8,456,353

Marriott

International,

Inc.

,

A

...........................

United

States

17,200

5,336,128

Royal

Caribbean

Cruises

Ltd.

..........................

United

States

42,679

11,904,026

Texas

Roadhouse,

Inc.

,

A

.............................

United

States

31,800

5,278,800

Wingstop,

Inc.

......................................

United

States

19,300

4,602,857

47,856,387

#### Household

#### Durables

#### 1.1%
a

NVR,

Inc.

.........................................

United

States

582

4,244,392

#### Independent

#### Power

#### and

#### Renewable

#### Electricity

#### Producers

#### 1.8%
Vistra

Corp.

........................................

United

States

45,191

7,290,664

#### Interactive

#### Media

#### &

#### Services

#### 0.8%
a

Pinterest,

Inc.

,

A

....................................

United

States

126,367

3,271,642

#### IT

#### Services

#### 1.3%
a

Cloudflare,

Inc.

,

A

...................................

United

States

26,727

5,269,228

#### Leisure

#### Products

#### 1.7%
a,b,c

Fanatics

Holdings,

Inc.

...............................

United

States

94,539

6,790,472

#### Life

#### Sciences

#### Tools

#### &

#### Services

#### 1.4%
a

Repligen

Corp.

.....................................

United

States

33,554

5,498,158

#### Machinery

#### 1.3%
Xylem,

Inc.

........................................

United

States

38,300

5,215,694

#### Media

#### 1.7%
a,b

Blaize

Events

&

Media,

Inc.

............................

United

States

30,660

—

New

York

Times

Co.

(The)

,

A

...........................

United

States

88,700

6,157,554

a

Trade

Desk,

Inc.

(The)

,

A

..............................

United

States

19,281

731,907

6,889,461

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 2.2%
Cheniere

Energy,

Inc.

................................

United

States

9,685

1,882,667

Targa

Resources

Corp.

...............................

United

States

38,439

7,091,996

8,974,663

#### Professional

#### Services

#### 3.6%
Paychex,

Inc.

......................................

United

States

41,199

4,621,704

TransUnion

........................................

United

States

27,919

2,394,054

Verisk

Analytics,

Inc.

,

A

...............................

United

States

32,700

7,314,663

14,330,421

#### Real

#### Estate

#### Management

#### &

#### Development

#### 0.4%
a

Jones

Lang

LaSalle,

Inc.

..............................

United

States

4,179

1,406,108

#### Residential

#### REITs

#### 0.5%
Equity

LifeStyle

Properties,

Inc.

.........................

United

States

35,559

2,155,231

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 4.5%
a,b

Blaize

Holdings,

Inc.

.................................

United

States

10,198

—

a

Credo

Technology

Group

Holding

Ltd.

....................

United

States

3,877

557,862

a

Lattice

Semiconductor

Corp.

...........................

United

States

77,919

5,733,280

Monolithic

Power

Systems,

Inc.

.........................

United

States

9,654

8,749,999

a

Onto

Innovation,

Inc.

.................................

United

States

20,651

3,259,967

18,301,108

Franklin

Templeton

Variable

Insurance

Product

Schedule

of

Investments

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Software

#### 10.2%
a

Alkami

Technology,

Inc.

...............................

United

States

111,803

$

2,579,295

a

Arteris,

Inc.

........................................

United

States

161,800

2,507,900

a

Datadog,

Inc.

,

A

....................................

United

States

62,088

8,443,347

a

Fair

Isaac

Corp.

....................................

United

States

4,630

7,827,571

a

HubSpot,

Inc.

......................................

United

States

10,253

4,114,529

a

Manhattan

Associates,

Inc.

............................

United

States

25,500

4,419,405

a,b,c

Plaid,

Inc.

,

A

.......................................

Japan

3,377

619,339

a

Procore

Technologies,

Inc.

............................

United

States

65,740

4,781,928

a,d

SailPoint,

Inc.

......................................

United

States

66,600

1,347,318

a

Tyler

Technologies,

Inc.

...............................

United

States

10,430

4,734,698

41,375,330

#### Specialty

#### Retail

#### 7.7%
a

AutoZone,

Inc.

.....................................

United

States

1,700

5,765,550

a

Burlington

Stores,

Inc.

................................

United

States

29,616

8,554,582

a

Carvana

Co.

,

A

.....................................

United

States

21,116

8,911,374

Tractor

Supply

Co.

..................................

United

States

155,585

7,780,806

31,012,312

#### Technology

#### Hardware,

#### Storage

#### &

#### Peripherals

#### 0.4%
a

Pure

Storage,

Inc.

,

A

.................................

United

States

21,955

1,471,204

#### Trading

#### Companies

#### &

#### Distributors

#### 1.7%
Fastenal

Co.

.......................................

United

States

49,377

1,981,499

United

Rentals,

Inc.

..................................

United

States

6,016

4,868,869

6,850,368

#### Total

#### Common

#### Stocks

#### (Cost

#### $

#### 266,373,195

####)
...................................

#### 382,680,596

#### Convertible

#### Preferred

#### Stocks

#### 2.5%

#### Aerospace

#### &

#### Defense

#### 0.7%
a,b,c

Anduril

Industries,

Inc.

,

F

..............................

United

States

45,571

2,825,402

#### Diversified

#### Consumer

#### Services

#### 0.2%
a,b,c

Newsela,

Inc.

,

D

....................................

United

States

48,915

938,130

#### Software

#### 1.6%
a,b,c

Benchling,

Inc.

,

F

...................................

United

States

35,200

279,991

a,b,c

Databricks,

Inc.

,

G

..................................

United

States

25,878

4,916,820

a,b,c

OneTrust

LLC

,

C

....................................

United

States

82,367

1,210,650

6,407,461

#### Total

#### Convertible

#### Preferred

#### Stocks

#### (Cost

#### $

#### 6,321,492

####)
..........................

#### 10,170,993

#### Total

#### Long

#### Term

#### Investments

#### (Cost

#### $

#### 272,694,687

####)
.............................

#### 392,851,589

#### a

#### Short

#### Term

#### Investments

#### 3.2%
a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Money

#### Market

#### Funds

#### 2.9%
e,f

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

.........................................

United

States

11,467,886

11,467,886

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $

#### 11,467,886

####)
................................

#### 11,467,886
Franklin

Templeton

Variable

Insurance

Product

Schedule

of

Investments

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Short

#### Term

#### Investments
(continued)

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

g

#### Investments

#### from

#### Cash

#### Collateral

#### Received

#### for

#### Loaned

#### Securities

#### 0.3%

#### Money

#### Market

#### Funds

#### 0.3%
e,f

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

.........................................

United

States

1,343,000

$

1,343,000

#### Total

#### Investments

#### from

#### Cash

#### Collateral

#### Received

#### for

#### Loaned

#### Securities

#### (Cost

#### $

#### 1,343,000

####)
..........................................................

#### 1,343,000

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $

#### 12,810,886

####)
..............................

#### 12,810,886

#### a

#### Total

#### Investments

#### (Cost

#### $

#### 285,505,573

####)
100.5 #### %
................................

#### $405,662,475

#### Other

#### Assets,

#### less

#### Liabilities

#### (0.5 ####)

#### %
.........................................

#### (1,763,162)

#### Net

#### Assets

#### 100.0%

#### .........................................................

#### $403,899,313

#### a
See

Abbreviations

on

.

a

Non-income

producing.

b

Fair

valued

using

significant

unobservable

inputs.

See

Note

regarding

fair

value

measurements.

c

See

Note

regarding

restricted

securities.

d

A

portion

or

all

of

the

security

is

on

loan

at

December

31,

2025. See

Note

1(c).

e

See

Note

3(e)

regarding

investments

in

affiliated

management

investment

companies.

f

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

g

See

Note

1(c)

regarding

securities

on

loan.

Franklin

Templeton

Variable

Insurance

Product

Financial

Statements

Statement

of

Assets

and

Liabilities

December

31,

2025

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Small-

#### Mid

#### Cap

#### Growth

#### VIP

#### Fund
Assets:

Investments

in

securities:

Cost

-

Unaffiliated

issuers

...................................................................

$272,694,687

Cost

-

Non-controlled

affiliates

(Note

e)

........................................................

12,810,886

Value

-

Unaffiliated

issuers

(Includes

securities

loaned

of

$

1,278,536)

..................................

$392,851,589

Value

-

Non-controlled

affiliates

(Note

e)

.......................................................

12,810,886

Cash

....................................................................................

11,524

Receivables:

Capital

shares

sold

........................................................................

17,259

Dividends

...............................................................................

107,002

Total

assets

..........................................................................

405,798,260

Liabilities:

Payables:

Capital

shares

redeemed

...................................................................

122,352

Management

fees

.........................................................................

276,126

Distribution

fees

..........................................................................

73,191

Trustees'

fees

and

expenses

.................................................................

Payable

upon

return

of

securities

loaned

(Note

c)

..................................................

1,343,000

Accrued

expenses

and

other

liabilities

...........................................................

84,193

Total

liabilities

.........................................................................

1,898,947

Net

assets,

at

value

.................................................................

$403,899,313

Net

assets

consist

of:

Paid-in

capital

.............................................................................

$253,937,811

Total

distributable

earnings

(losses)

.............................................................

149,961,502

Net

assets,

at

value

.................................................................

$403,899,313

#### Franklin

#### Small-

#### Mid

#### Cap

#### Growth

#### VIP

#### Fund

#### Class

#### 1:
Net

assets,

at

value

.......................................................................

$72,102,655

Shares

outstanding

........................................................................

3,865,496

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$18.65

#### Class

#### 2:
Net

assets,

at

value

.......................................................................

$308,433,519

Shares

outstanding

........................................................................

21,555,573

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$14.31

#### Class

#### 4:
Net

assets,

at

value

.......................................................................

$23,363,139

Shares

outstanding

........................................................................

1,515,076

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$15.42

a

Net

asset

value

per

share

may

not

recalculate

due

to

rounding.

Franklin

Templeton

Variable

Insurance

Product

Financial

Statements

Statement

of

Operations

for

the

year

ended

December

31,

2025

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Franklin

#### Small-

#### Mid

#### Cap

#### Growth

#### VIP

#### Fund
Investment

income:

Dividends:

(net

of

foreign

taxes

of

$6,402)

Unaffiliated

issuers

........................................................................

$2,002,237

Non-controlled

affiliates

(Note

e)

.............................................................

320,657

Income

from

securities

loaned:

Unaffiliated

entities

(net

of

fees

and

rebates)

.....................................................

(16,526)

Non-controlled

affiliates

(Note

e)

.............................................................

32,959

Total

investment

income

...................................................................

2,339,327

Expenses:

Management

fees

(Note

a)

...................................................................

3,358,035

Distribution

fees:

(Note

3c)

Class

................................................................................

804,135

Class

................................................................................

80,212

Custodian

fees

............................................................................

(3,608)

Reports

to

shareholders

fees

..................................................................

24,095

Professional

fees

...........................................................................

102,402

Trustees'

fees

and

expenses

..................................................................

4,863

Other

....................................................................................

(385) Total

expenses

.........................................................................

4,369,749

Expenses

waived/paid

by

affiliates

(Note

e)

...................................................

(20,806)

Net

expenses

.........................................................................

4,348,943

Net

investment

income

(loss)

............................................................

(2,009,616)

Realized

and

unrealized

gains

(losses):

Net

realized

gain

(loss)

from:

Investments:

Unaffiliated

issuers

......................................................................

32,147,804

Foreign

currency

transactions

................................................................

Net

realized

gain

(loss)

..................................................................

32,147,855

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments:

Unaffiliated

issuers

......................................................................

(19,503,274)

Net

realized

and

unrealized

gain

(loss)

............................................................

12,644,581

Net

increase

(decrease)

in

net

assets

resulting

from

operations

..........................................

$10,634,965

Franklin

Templeton

Variable

Insurance

Product

Financial

Statements

Statements

of

Changes

in

Net

Assets

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024
Increase

(decrease)

in

net

assets:

Operations:

Net

investment

income

(loss)

............................................

$(2,009,616)

$(1,505,388)

Net

realized

gain

(loss)

.................................................

32,147,855

32,500,409

Net

change

in

unrealized

appreciation

(depreciation)

...........................

(19,503,274)

15,586,726

Net

increase

(decrease)

in

net

assets

resulting

from

operations

................

10,634,965

46,581,747

Distributions

to

shareholders:

Class

.............................................................

(3,452,903)

—

Class

.............................................................

(18,316,419)

—

Class

.............................................................

(1,205,092)

—

Total

distributions

to

shareholders

..........................................

(22,974,414)

—

Capital

share

transactions:

(Note

2)

Class

.............................................................

(5,918,913)

(794,489)

Class

.............................................................

(18,997,815)

(45,470,128)

Class

.............................................................

1,642,612

(2,567,436)

Total

capital

share

transactions

............................................

(23,274,116)

(48,832,053)

Net

increase

(decrease)

in

net

assets

...................................

(35,613,565)

(2,250,306)

Net

assets:

Beginning

of

year

.......................................................

439,512,878

441,763,184

End

of

year

...........................................................

$403,899,313

$439,512,878

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund

franklintempleton.com

Annual

Report

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
Franklin

Templeton

Variable

Insurance

Products

Trust (Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-end

management

investment

company,

consisting

of seventeen separate

funds.

The Trust

follows the

accounting

and

reporting

guidance

in

Financial

Accounting

Standards

Board

(FASB)

Accounting

Standards

Codification

Topic

946,

Financial

Services

–

Investment

Companies

(ASC

946)

and

applies the

specialized

accounting

and

reporting

guidance

in

U.S.

Generally

Accepted

Accounting

Principles

(U.S.

GAAP),

including,

but

not

limited

to,

ASC

946. Franklin

Small-Mid

Cap

Growth

VIP

Fund

(Fund)

is

included

in

this

report. Shares

of

the

Fund

are

generally

sold

only

to

insurance

company

separate

accounts

to

fund

the

benefits

of

variable

life

insurance

policies

or

variable

annuity

contracts.

The

Fund

offers

three classes

of

shares:

Class

1,

Class

and

Class

4. Each

class

of

shares

may

differ

by

its

distribution

fees,

voting

rights

on

matters

affecting

a

single

class

and

its

exchange

privilege.

The

following

summarizes

the Fund's

significant

accounting

policies.

a. #### Financial

#### Instrument

#### Valuation
The

Fund's

investments

in

financial

instruments

are

carried

at

fair

value

daily.

Fair

value

is

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

market

participants

on

the

measurement

date.

The

Fund

calculates

the

net

asset

value

(NAV)

per

share

each business

day as

of

p.m.

Eastern

time

or

the

regularly

scheduled

close

of

the

New

York

Stock

Exchange

(NYSE),

whichever

is

earlier.

Under

compliance

policies

and

procedures

approved

by

the Trust's

Board

of

Trustees

(the

Board),

the

Board

has

designated

the

Fund's

investment

manager

as

the

valuation

designee

and

has

responsibility

for

oversight

of

valuation.

The

investment

manager

is

assisted

by

the

Fund's

administrator

in

performing

this

responsibility,

including

leading

the

cross-

functional

Valuation

Committee

(VC).

The

Fund

may

utilize

independent

pricing

services,

quotations

from

securities

and

financial

instrument

dealers,

and

other

market

sources

to

determine

fair

value.

Equity

securities

listed

on

an

exchange

or

on

the

NASDAQ

National

Market

System

are

valued

at

the

last

quoted

sale

price

or

the

official

closing

price of

the

day,

respectively.

Foreign

equity

securities

are

valued

as

of

the

close

of

trading

on

the

foreign

stock

exchange

on

which

the

security

is

primarily

traded,

or

as

of

p.m.

Eastern

time.

The

value

is

then

converted

into

its

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

p.m.

Eastern

time

on

the

day

that

the

value

of

the

security

is

determined.

Over-the-counter

(OTC)

securities

are

valued

within

the

range

of

the

most

recent

quoted

bid

and

ask

prices.

Securities

that

trade

in

multiple

markets

or

on

multiple

exchanges

are

valued

according

to

the

broadest

and

most

representative

market.

Certain

equity

securities

are

valued

based

upon

fundamental

characteristics

or

relationships

to

similar

securities.

Investments

in open-end mutual

funds

are

valued

at

the

closing

NAV.

The

Fund

has

procedures

to

determine

the

fair

value

of

financial

instruments

for

which

market

prices

are

not

reliable

or

readily

available.

Under

these

procedures,

the Fund

primarily

employs

a

market-based

approach

which

may

use

related

or

comparable

assets

or

liabilities,

recent

transactions,

market

multiples,

and

other

relevant

information

for

the

investment

to

determine

the

fair

value

of

the

investment.

An

income-based

valuation

approach

may

also

be

used

in

which

the

anticipated

future

cash

flows

of

the

investment

are

discounted

to

calculate

fair

value.

Discounts

may

also

be

applied

due

to

the

nature

or

duration

of

any

restrictions

on

the

disposition

of

the

investments.

Due

to

the

inherent

uncertainty

of

valuations

of

such

investments,

the

fair

values

may

differ

significantly

from

the

values

that

would

have

been

used

had

an

active

market

existed.

Trading

in

securities

on

foreign

securities

stock

exchanges

and

OTC

markets

may

be

completed

before

p.m.

Eastern

time.

In

addition,

trading

in

certain

foreign

markets

may

not

take

place

on

every

Fund's

business

day. Events

can occur

between

the

time

at

which

trading

in

a

foreign

security

is

completed

and

p.m.

Eastern

time

that

might

call

into

question

the

reliability

of

the

value

of

a

portfolio

security

held

by

the

Fund.

As

a

result,

differences

may

arise

between

the

value

of

the

Fund's

portfolio

securities

as

determined

at

the

foreign

market

close

and

the

latest

indications

of

value

at

p.m.

Eastern

time. In

order

to

minimize

the

potential

for

these

differences,

an

independent

pricing

service

may

be

used

to

adjust

the

value

of

the

Fund's

portfolio

securities

to

the

latest

indications

of

fair

value

at

p.m.

Eastern

time.

When

the

last

day

of

the

reporting

period

is

a

non-business

day,

certain

foreign

markets

may

be

open

on

those

days

that

the

Fund's

NAV

is

not

calculated,

which

could

result

in

differences

between

the

value

of

the

Fund's

portfolio

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

securities

on

the

last

business

day

and

the

last

calendar

day

of

the

reporting

period.

Any

security

valuation

changes

due

to

an

open

foreign

market

are

adjusted

and

reflected

by

the

Fund

for

financial

reporting

purposes.

b. #### Foreign

#### Currency

#### Translation
Portfolio

securities

and

other

assets

and

liabilities

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

based

on

the

exchange

rate

of

such

currencies

against

U.S.

dollars

on

the

date

of

valuation.

The

Fund

may

enter

into

foreign

currency

exchange

contracts

to

facilitate

transactions

denominated

in

a

foreign

currency.

Purchases

and

sales

of

securities,

income

and

expense

items

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

at

the

exchange

rate

in

effect

on

the

transaction

date.

Portfolio

securities

and

assets

and

liabilities

denominated

in

foreign

currencies

contain

risks

that

those

currencies

will

decline

in

value

relative

to

the

U.S.

dollar.

Occasionally,

events

may

impact

the

availability

or

reliability

of

foreign

exchange

rates

used

to

convert

the

U.S.

dollar

equivalent

value.

If

such

an

event

occurs,

the

foreign

exchange

rate

will

be

valued

at

fair

value

using

procedures

established

and

approved

by

the

Board.

The

Fund

does

not

separately

report

the

effect

of

changes

in

foreign

exchange

rates

from

changes

in

market

prices

on

securities

held.

Such

changes

are

included

in

net

realized

and

unrealized

gain

or

loss

from

investments

in

the

Statement of

Operations.

Realized

foreign

exchange

gains

or

losses

arise

from

sales

of

foreign

currencies,

currency

gains

or

losses

realized

between

the

trade

and

settlement

dates

on

securities

transactions

and

the

difference

between

the

recorded

amounts

of

dividends,

interest,

and

foreign

withholding

taxes

and

the

U.S.

dollar

equivalent

of

the

amounts

actually

received

or

paid.

Net

unrealized

foreign

exchange

gains

and

losses

arise

from

changes

in

foreign

exchange

rates

on

foreign

denominated

assets

and

liabilities

other

than

investments

in

securities

held

at

the

end

of

the

reporting

period.

c. #### Securities

#### Lending
The

Fund

participates

in

an

agency

based

securities

lending

program

to

earn

additional

income.

The

Fund

receives

collateral

in

the

form

of

cash

and/or

U.S.

Government

and

Agency

securities

against

the

loaned

securities

in

an

amount

equal

to

at

least

102%

of

the

fair

value

of

the

loaned

securities.

Collateral

is

maintained

over

the

life

of

the

loan

in

an

amount

not

less

than

100%

of

the

fair

value

of

loaned

securities,

as

determined

at

the

close

of

Fund

business

each

day;

any

additional

collateral

required

due

to

changes

in

security

values

is

delivered

to

the

Fund

on

the

next

business

day.

Any

cash

collateral

received

is

deposited

into

a

joint

cash

account

with

other

funds

and

is

used

to

invest

in

a

money

market

fund

managed

by

Franklin

Advisers,

Inc.,

an

affiliate

of

the

Fund. The

Fund

may

receive

income

from

the

investment

of

cash

collateral,

in

addition

to

lending

fees paid

by

the

borrower.

Income

from

securities

loaned,

net

of

fees

paid

to

the

securities

lending

agent

and/or

third-party

vendor,

is

reported

separately

in

the Statement of

Operations.

The

Fund

bears

the

market

risk

with

respect

to

any

cash

collateral

investment,

securities

loaned,

and

the

risk

that

the

agent

may

default

on

its

obligations

to

the

Fund.

If

the

borrower

defaults

on

its

obligation

to

return

the

securities

loaned,

the

Fund

has

the

right

to

repurchase

the

securities

in

the

open

market

using

the

collateral

received.

The

securities

lending

agent

has

agreed

to

indemnify

the

Fund

in

the

event

of

default

by

a

third

party

borrower.

Securities

on

loan

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

d. #### Income

#### and

#### Deferred

#### Taxes
It

is the Fund's

policy

to

qualify

as

a

regulated

investment

company

under

the

Internal

Revenue

Code. The Fund

intends

to

distribute

to

shareholders

substantially

all

of

its

taxable

income

and

net

realized

gains

to

relieve

it

from

federal

income

and if

applicable,

excise

taxes.

As

a

result,

no

provision

for

U.S.

federal

income

taxes

is

required.

The Fund

may

be

subject

to

foreign

taxation

related

to

income

received,

capital

gains

on

the

sale

of

securities

and

certain

foreign

currency

transactions

in

the

foreign

jurisdictions

in

which

it

invests.

Foreign

taxes,

if

any,

are

recorded

based

on

the

tax

regulations

and

rates

that

exist

in

the

foreign

markets

in

which

the

Fund

invests.

When

a

capital

gain

tax

is

determined

to

apply,

the

Fund

records

an

estimated

deferred

tax

liability

in

an

amount

that

would

be

payable

if

the

securities

were

disposed

of

on

the

valuation

date.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

a. #### Financial

#### Instrument

#### Valuation
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

The Fund

may

recognize

an

income

tax

liability

related

to

its

uncertain

tax

positions

under

U.S.

GAAP

when

the

uncertain

tax

position

has

a

less

than

50%

probability

that

it

will

be

sustained

upon

examination

by

the

tax

authorities

based

on

its

technical

merits.

As

of

December

31,

2025, the Fund

has

determined

that

no

tax

liability

is

required

in

its

financial

statements

related

to

uncertain

tax

positions

for

any

open

tax

years

(or

expected

to

be

taken

in

future

tax

years).

The

Fund's

federal

and

state

income

and

federal

excise

tax

returns

for

the

prior

three

fiscal

years

are

subject

to

examination

by

the

Internal

Revenue

Service

and

state

departments

of

revenue.

e. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
Security

transactions

are

accounted

for

on

trade

date.

Realized

gains

and

losses

on

security

transactions

are

determined

on

a

specific

identification

basis. Estimated

expenses

are

accrued

daily.

Dividend

income

is

recorded

on

the

ex-dividend

date

except

for

certain

dividends

from

securities

where

the

dividend

rate

is

not

available.

In

such cases,

the

dividend

is

recorded

as

soon

as

the

information

is

received

by

the

Fund. Distributions

to

shareholders

are recorded

on

the

ex-dividend

date.

Distributable

earnings

are

determined

according

to

income

tax

regulations

(tax

basis)

and

may

differ

from

earnings

recorded

in

accordance

with

U.S.

GAAP.

These

differences

may

be

permanent

or

temporary.

Permanent

differences

are

reclassified

among

capital

accounts

to

reflect

their

tax

character.

These

reclassifications

have

no

impact

on

net

assets

or

the

results

of

operations.

Temporary

differences

are

not

reclassified,

as

they

may

reverse

in

subsequent

periods.

Common

expenses

incurred

by

the

Trust

are

allocated

among

the

Funds

based

on

the

ratio

of

net

assets

of

each

Fund

to

the

combined

net

assets

of

the

Trust

or

based

on

the

ratio

of

number

of

shareholders

of

each

Fund

to

the

combined

number

of

shareholders

of

the

Trust.

Fund

specific

expenses

are

charged

directly

to

the

Fund

that

incurred

the

expense.

Realized

and

unrealized

gains

and

losses

and

net

investment

income,

excluding

class

specific

expenses,

are

allocated

daily

to

each

class

of

shares

based

upon

the

relative

proportion

of

net

assets

of

each

class.

Differences

in

per

share

distributions

by

class

are

generally

due

to

differences

in

class

specific

expenses.

f. #### Accounting

#### Estimates
The

preparation

of

financial

statements

in

accordance

with

U.S.

GAAP

requires

management

to

make

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

amounts

of

income

and

expenses

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

g. #### Guarantees

#### and

#### Indemnifications
Under

the Trust's

organizational

documents,

its

officers

and trustees

are

indemnified

by

the Trust against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Trust.

Additionally,

in

the

normal

course

of

business,

the Trust,

on

behalf

of

the

Fund, enters

into

contracts

with

service

providers

that

contain

general

indemnification

clauses.

The Trust's

maximum

exposure

under

these

arrangements

is

unknown

as

this

would

involve

future

claims

that

may

be

made

against

the Trust

that

have

not

yet

occurred.

Currently,

the Trust

expects

the

risk

of

loss

to

be

remote.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

d. #### Income

#### and

#### Deferred

#### Taxes
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

2. #### Shares

#### of

#### Beneficial

#### Interest
At

December

31,

2025,

there

were

an

unlimited

number

of

shares

authorized

(without

par

value).

Transactions

in

the

Fund's

shares

were

as

follows:

3. #### Transactions

#### with

#### Affiliates
Franklin

Resources,

Inc.

is

the

holding

company

for

various

subsidiaries

that

together

are

referred

to

as

Franklin

Templeton.

Certain

officers

and trustees

of

the Fund are

also

officers

and/or directors

of

the

following

subsidiaries:

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### 1

#### Shares:
Shares

sold

...................................

303,424

$5,649,863

628,612

$11,154,647

Shares

issued

in

reinvestment

of

distributions

..........

187,251

3,452,903

—

—

Shares

redeemed

...............................

(794,824)

(15,021,679)

(665,146)

(11,949,136)

Net

increase

(decrease)

..........................

(304,149)

$(5,918,913)

(36,534)

$(794,489)

#### Class

#### 2

#### Shares:
Shares

sold

...................................

1,538,612

$22,275,850

793,547

$11,063,745

Shares

issued

in

reinvestment

of

distributions

..........

1,292,620

18,316,419

—

—

Shares

redeemed

...............................

(4,123,739)

(59,590,084)

(4,039,161)

(56,533,873)

Net

increase

(decrease)

..........................

(1,292,507)

$(18,997,815)

(3,245,614)

$(45,470,128)

#### Class

#### 4

#### Shares:
Shares

sold

...................................

226,801

$3,535,486

217,567

$3,222,163

Shares

issued

in

reinvestment

of

distributions

..........

78,867

1,205,092

—

—

Shares

redeemed

...............................

(196,968)

(3,097,966)

(373,263)

(5,789,599)

Net

increase

(decrease)

..........................

108,700

$1,642,612

(155,696)

$(2,567,436)

#### Subsidiary

#### Affiliation
Franklin

Advisers,

Inc.

(Advisers)

Investment

manager

Franklin

Templeton

Services,

LLC

(FT

Services)

Administrative

manager

Franklin

Distributors,

LLC

(Distributors)

Principal

underwriter

Franklin

Templeton

Investor

Services,

LLC

(Investor

Services)

Transfer

agent

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

a. #### Management

#### Fees
The

Fund

pays

an

investment

management fee,

calculated daily and

paid

monthly,

to

Advisers based

on the

average

daily net

assets

of

the

Fund

as

follows:

For

the

year

ended

December

31,

2025,

the

gross

effective

investment

management

fee

rate

was 0.800%

of

the

Fund's

average daily

net

assets.

b. #### Administrative

#### Fees
Under

an

agreement

with

Advisers,

FT

Services

provides

administrative

services

to

the

Fund.

The

fee

is

paid

by Advisers

based

on

the Fund's

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Fund.

c. #### Distribution

#### Fees
The

Board

has

adopted distribution

plans

for

Class

2 and

Class

shares

pursuant

to

Rule

12b-1

under

the

1940

Act.

Under

the

Fund's

compensation

distribution

plans,

the

Fund

pays

Distributors

for

costs

incurred

in

connection

with

the

servicing,

sale

and

distribution

of

the

Fund's

shares

up

to

0.35%

per

year

of

its

average

daily

net

assets

of

each

class.

The

Board

has

agreed

to

limit

the

current

rate

to

0.25%

per

year

for

Class

2. The

plan

year,

for

purposes

of

monitoring

compliance

with

the

maximum

annual

plan

rates,

is

February

through

January

31. d. #### Transfer

#### Agent

#### Fees
Investor

Services,

under

terms

of

an

agreement,

performs

shareholder

servicing

for

the

Fund and

is

not

paid

by

the Fund

for

the

services.

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
The

Fund

invests

in

one

or

more

affiliated

management

investment

companies.

As

defined

in

the

1940

Act,

an

investment

is

deemed

to

be

a

"Controlled

Affiliate"

of

a

fund

when

a

fund

owns,

either

directly

or

indirectly,

25%

or

more

of

the

affiliated

fund's

outstanding

shares

or

has

the

power

to

exercise

control

over

management

or

policies

of

such

fund.

The

Fund

does

not

invest

for

purposes

of

exercising

a

controlling

influence

over

the

management

or

policies.

Management

fees

paid

by

the

Fund

are

waived

on

assets

invested

in

the

affiliated

management

investment

companies,

as

noted

in

the

Statement

of

Operations,

in

an

amount

not

to

exceed

the

management

and

administrative

fees,

if

applicable, paid

directly

or

indirectly

by

each

affiliate.

During

the

year

ended

December

31,

2025,

the

Fund

held

investments

in

affiliated

management

investment

companies

as

follows:

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
0.800%

Up

to

and

including

$500

million

0.700%

Over

$500

million,

up

to

and

including

$1

billion

0.650%

Over

$1

billion,

up

to

and

including

$1.5

billion

0.600%

Over

$1.5

billion,

up

to

and

including

$6.5

billion

0.575%

Over

$6.5

billion,

up

to

and

including

$11.5

billion

0.550%

Over

$11.5

billion,

up

to

and

including

$16.5

billion

0.540%

Over

$16.5

billion,

up

to

and

including

$19

billion

0.530%

Over

$19

billion,

up

to

and

including

$21.5

billion

0.520%

In

excess

of

$21.5

billion

3. #### Transactions

#### with

#### Affiliates
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

4. #### Income

#### Taxes
The

tax

character

of

distributions

paid

during

the

years

ended

December

31,

2025

and

2024,

was

as

follows:

At

December

31,

2025,

the

cost

of

investments,

net

unrealized

appreciation

(depreciation)

and

undistributed

long

term

capital

gains for

income

tax

purposes

were

as

follows:

Differences

between

income

and/or

capital

gains

as

determined

on

a

book

basis

and

a

tax

basis

are

primarily

due

to

differing

treatments

of

wash

sales

and

net

operating

losses.

5. #### Investment

#### Transactions
Purchases

and

sales

of

investments (excluding

short

term

securities) for

the

year

ended

December

31,

2025,

aggregated

$133,746,228 and

$187,505,977,

respectively.

#### &nbsp;&nbsp;&nbsp;&nbsp;aa

#### Value

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### Sales

#### Realized

#### Gain
(Loss)

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### Value

#### at

#### End

#### of

#### Year

#### Number

#### of

#### Shares

#### Held

#### at

#### End

#### of

#### Year

#### Investment

#### Income

#### a&nbsp;&nbsp;&nbsp;&nbsp;

#### a

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund

#### Non-Controlled

#### Affiliates
Dividends

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$5,387,512

$82,224,465

$(76,144,091)

$—

$—

$11,467,886

11,467,886

$320,657

#### Non-Controlled

#### Affiliates
Income

from

securities

loaned

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$339,200

$41,641,817

$(40,638,017)

$—

$—

$1,343,000

1,343,000

$32,959

#### Total

#### Affiliated

#### Securities

#### ...
$5,726,712

$123,866,282

$(116,782,108)

$—

$—

$12,810,886

$353,616

#### 2025

#### 2024
Distributions

paid

from:

Long

term

capital

gain

......................................................

$22,974,414

—

Cost

of

investments

..........................................................................

$287,423,361

Unrealized

appreciation

........................................................................

$130,206,860

Unrealized

depreciation

........................................................................

(11,967,746)

Net

unrealized

appreciation

(depreciation)

..........................................................

$118,239,114

Distributable

earnings:

Undistributed

long

term

capital

gains

..............................................................

31,722,387

3. #### Transactions

#### with

#### Affiliates
(continued)

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

At

December

31,

2025,

in

connection

with

securities

lending

transactions,

the

Fund

loaned

equity

investments

and

received

$1,343,000

of

cash

collateral.

The

gross

amount

of

recognized

liability

for

such

transactions

is

included

in

payable

upon

return

of

securities

loaned

in

the

Statement

of

Assets

and

Liabilities.

The

agreements

can

be

terminated

at

any

time.

6. #### Restricted

#### Securities
The

Fund

invests

in

securities

that

are

restricted

under

the

Securities

Act

of

1933

(1933

Act).

Restricted

securities

are

often

purchased

in

private

placement

transactions,

and

cannot

be

sold

without

prior

registration

unless

the

sale

is

pursuant

to

an

exemption

under

the

1933

Act.

Disposal

of

these

securities

may

require

greater

effort

and

expense,

and

prompt

sale

at

an

acceptable

price

may

be

difficult.

The Fund

may

have

registration

rights

for

restricted

securities.

The

issuer

generally

incurs

all

registration

costs.

At

December

31,

2025,

investments

in

restricted

securities,

excluding

securities

exempt

from

registration

under

the

1933

Act,

were

as

follows:

7. #### Credit

#### Facility
The

Fund,

together

with

other

U.S.

registered

and

foreign

investment

funds

(collectively,

Borrowers),

managed

by

Franklin

Templeton,

are

borrowers

in

a

joint

syndicated

senior

unsecured

credit

facility

totaling

$2.995

billion

(Global

Credit

Facility)

which

matured

on

January

30,

2026. This

Global

Credit

Facility

provides

a

source

of

funds

to

the

Borrowers

for

temporary

and

emergency

purposes,

including

the

ability

to

meet

future

unanticipated

or

unusually

large

redemption

requests.

Effective

January

30,

2026,

the

Borrowers

renewed

the

Global

Credit

Facility

for

a

one-year

term,

maturing

January

29,

2027,

for

a

total

of

$2.995

billion.

Under

the

terms

of

the

Global

Credit

Facility,

the

Fund

may,

in

addition

to

interest

charged

on

any

borrowings

made

by

the

Fund

and

other

costs

incurred

by

the

Fund,

pay

its

share

of

fees

and

expenses

incurred

in

connection

with

the

implementation

and

maintenance

of

the

Global

Credit

Facility,

based

upon

its

relative

share

of

the

aggregate

net

assets

of

all

of

the

Borrowers,

including

an

annual

commitment

fee

of

0.15%

based

upon

the

unused

portion

of

the

Global

Credit

Facility.

These

fees

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

During

the

year

ended

December

31,

2025,

the Fund

did

not

use

the

Global

Credit

Facility.

8. #### Fair

#### Value

#### Measurements
The

Fund

follows

a

fair

value

hierarchy

that

distinguishes

between

market

data

obtained

from

independent

sources

(observable

inputs)

and

the Fund's

own

market

assumptions

(unobservable

inputs).

These

inputs

are

used

in

determining

the

value

of

the

Fund's financial

instruments

and

are

summarized

in

the

following

fair

value

hierarchy:

#### Shares

#### Issuer

#### Acquisition

#### Date

#### Cost

#### Value

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund
45,571

Anduril

Industries,

Inc.,

F

......................

7/17/24

$

990,559

$

2,825,402

35,200

Benchling,

Inc.,

F

............................

10/20/21

1,150,910

279,991

25,878

Databricks,

Inc.,

G

...........................

2/01/21

1,529,975

4,916,820

94,539

Fanatics

Holdings,

Inc.

........................

8/13/20

-

3/22/21

1,669,739

6,790,472

48,915

Newsela,

Inc.,

D

.............................

1/21/21

1,034,807

938,130

82,367

OneTrust

LLC,

C

............................

4/01/21

1,615,241

1,210,650

3,377

Plaid,

Inc.,

A

................................

3/31/25

688,829

619,339

#### Total

#### Restricted

#### Securities
(Value

is

4.4%

of

Net

Assets)

#### ...............
$8,680,060

$17,580,804

5. #### Investment

#### Transactions
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

Level

–

quoted

prices

in

active

markets

for

identical

financial

instruments

Level

–

other

significant

observable

inputs

(including

quoted

prices

for

similar

financial

instruments,

interest

rates,

prepayment

speed,

credit

risk,

etc.)

Level

–

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

financial

instruments)

The

input

levels

are

not

necessarily

an

indication

of

the

risk

or

liquidity

associated

with

financial

instruments

at

that

level.

A

summary

of

inputs

used

as

of

December

31,

2025,

in

valuing

the

Fund's assets carried

at

fair

value,

is

as

follows:

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund

#### Assets:
Investments

in

Securities:

a

Common

Stocks

:

Aerospace

&

Defense

...................

$

24,726,960

$

—

$

—

$

24,726,960

Banks

...............................

4,358,011

—

—

4,358,011

Biotechnology

.........................

22,373,183

—

—

22,373,183

Building

Products

......................

5,025,180

—

—

5,025,180

Capital

Markets

........................

35,140,540

—

—

35,140,540

Construction

&

Engineering

...............

3,172,253

—

—

3,172,253

Consumer

Staples

Distribution

&

Retail

......

3,432,882

—

—

3,432,882

Electrical

Equipment

....................

15,473,977

—

—

15,473,977

Entertainment

.........................

11,287,479

—

—

11,287,479

Financial

Services

......................

2,613,062

—

—

2,613,062

Ground

Transportation

..................

4,203,965

—

—

4,203,965

Health

Care

Equipment

&

Supplies

.........

17,842,471

—

—

17,842,471

Health

Care

Providers

&

Services

..........

8,443,412

—

—

8,443,412

Health

Care

Technology

.................

6,384,378

—

—

6,384,378

Hotels,

Restaurants

&

Leisure

.............

47,856,387

—

—

47,856,387

Household

Durables

....................

4,244,392

—

—

4,244,392

Independent

Power

and

Renewable

Electricity

Producers

..........................

7,290,664

—

—

7,290,664

Interactive

Media

&

Services

..............

3,271,642

—

—

3,271,642

IT

Services

...........................

5,269,228

—

—

5,269,228

Leisure

Products

.......................

—

—

6,790,472

6,790,472

Life

Sciences

Tools

&

Services

............

5,498,158

—

—

5,498,158

Machinery

............................

5,215,694

—

—

5,215,694

Media

...............................

6,889,461

—

—

b

6,889,461

Oil,

Gas

&

Consumable

Fuels

.............

8,974,663

—

—

8,974,663

Professional

Services

...................

14,330,421

—

—

14,330,421

Real

Estate

Management

&

Development

....

1,406,108

—

—

1,406,108

Residential

REITs

......................

2,155,231

—

—

2,155,231

Semiconductors

&

Semiconductor

Equipment

.

18,301,108

—

—

b

18,301,108

Software

.............................

40,755,991

—

619,339

41,375,330

Specialty

Retail

........................

31,012,312

—

—

31,012,312

Technology

Hardware,

Storage

&

Peripherals

.

1,471,204

—

—

1,471,204

Trading

Companies

&

Distributors

..........

6,850,368

—

—

6,850,368

Convertible

Preferred

Stocks

................

—

—

10,170,993

10,170,993

Short

Term

Investments

...................

12,810,886

—

—

12,810,886

Total

Investments

in

Securities

...........

$388,081,671

$—

$17,580,804

$405,662,475

a

For

detailed

categories,

see

the

accompanying

Schedule

of

Investments.

b

Includes

financial

instruments

determined

to

have

no

value.

8. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

A

reconciliation

of

assets

in

which

Level

inputs

are

used

in

determining

fair

value

is

presented

when

there

are

significant

Level

assets

and/or

liabilities

at

the

beginning

and/or

end

of

the

year.

At

December

31,

2025,

the

reconciliation

is

as

follows:

#### Balance

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### a

#### Sales

#### b

#### Transfer

#### Into

#### Level

#### 3

#### Transfer

#### Out

#### of

#### Level

#### 3

#### Net

#### Accretion

#### (Amortiza-

#### tion)

#### Net

#### Realized

#### Gain
(Loss)

#### Net

#### Unr

#### ealized

#### Appreciatio

#### n

#### (#### Depreciation

####)

#### Balance

#### at

#### End

#### of

#### Year

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### on

#### Assets

#### Held

#### at

#### Year

#### End

#### a

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund

#### Assets:
Investments

in

Securities:

Common

Stocks

:

Leisure

Products

....

$

6,108,687

$

—

$

—

$

—

$

—

$

—

$

—

$

681,785

$

6,790,472

$

681,785

Media

...........

—

—

c

—

—

—

—

—

—

—

c

—

Semiconductors

&

Semiconductor

Equipment

.......

—

—

c

—

—

—

—

—

—

—

c

—

Software

..........

—

688,829

—

—

—

—

—

(69,490)

619,339

(69,490)

Convertible

Preferred

Stocks

:

Aerospace

&

Defense

.

990,559

—

—

—

—

—

—

1,834,843

2,825,402

1,834,843

Diversified

Consumer

Services

........

892,289

—

—

—

—

—

—

45,841

938,130

45,841

Software

..........

6,288,594

—

(2,553,999)

—

—

—

—

2,672,866

6,407,461

2,356,147

Warrants

:

Software

..........

52,261

c

—

(7) c

—

—

—

—

(52,254)

—

—

Convertible

Bonds

:

Software

..........

436,363

—

(195,400)

—

—

—

—

(240,963)

—

—

Corporate

Bonds

:

Software

..........

187,279

—

(64,369)

—

—

—

—

(122,910)

—

—

Total

Investments

in

Securities

............

$14,956,032

$688,829

$(2,813,775)

$—

$—

$—

$—

$4,749,718

$17,580,804

$4,849,126

a

Purchases

include

all

purchases

of

securities

and

securities

received

in

corporate

actions.

b

Sales

include

all

sales

of

securities,

maturities,

paydowns

and

securities

tendered

in

corporate

actions.

c

Includes

financial

instruments

determined

to

have

no

value.

8. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

Significant

unobservable

valuation

inputs

for

material

Level

3 assets

and/or

liabilities and

impact

to

fair

value

as

a

result

of

changes

in

unobservable

valuation

inputs

as

of

December

31,

2025,

are

as

follows:

#### Abbreviations

#### List

#### EV
-

Enterprise

value

9. #### Operating

#### Segments
The Fund operates

as

a

single

operating

segment,

which

is

an

investment

portfolio.

The

portfolio

managers

assigned

to

the

Fund

within

the

Fund's

Investment

manager serve

as

the

Chief

Operating

Decision

Maker

("CODM")

and

are

responsible

for

evaluating

the

Fund's

operating

results

and

allocating

resources

in

accordance

with

the

Fund's

investment

strategy.

Internal

reporting

provided

to

the

CODM

aligns

with

the

accounting

policies

and

measurement

principles

used

in

the financial

statements.

For

information

regarding

segment

assets,

segment

profit

or

loss,

and

significant

expenses,

refer

to

the Statement

of

Assets

and

Liabilities

and

the Statement

of

Operations,

along

with

the

related

notes

to

the financial

statements.

The Schedule

of

Investments

provides

details

of

the Fund's investments

that

generate

returns

such

as

interest,

dividends,

and

realized

and

unrealized

gains

or

losses.

Performance

metrics,

including

portfolio

turnover

and

expense

ratios,

are

disclosed

in

the Financial

Highlights.

10. #### Subsequent

#### Events
The Fund

has

evaluated

subsequent

events

through

the

issuance

of

the

financial

statements

and

determined

that

no

events

have

occurred

that

require

disclosure

other

than

those

already

disclosed

in

the

financial

statements.

#### Description

#### Fair

#### Value

#### at

#### End

#### of

#### Year

#### Valuation

#### Technique

#### Unobservable

#### Inputs

#### Amount

#### Impact

#### to

#### Fair

#### Value

#### if

#### Input

#### Increases

#### a

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund

#### Assets:
Investments

in

Securities:

Common

Stocks:

Leisure

Products

..............

$6,790,472

Market

comparables

Discount

for

lack

of

marketability

9.4%

Decrease

EV

/

revenue

multiple

3.7x

Increase

Revenue

$9.3

bil

increase

Trade

Price

$60.9

Increase

All

Other

Investments

............

10,790,332

b,c,d

Total

..........................

$17,580,804

a

Represents

the

directional

change

in

the

fair

value

of

the

Level

financial

instruments

that

would

result

from

a

significant

and

reasonable

increase

in

the

corresponding

input.

A

significant

and

reasonable

decrease

in

the

input

would

have

the

opposite

effect.

Significant

increases

and

decreases

in

these

inputs

in

isolation

could

result

in

significantly

higher

or

lower

fair

value

measurements.

b

Includes

the

fair

value

of

immaterial

assets

and/or

liabilities

developed

using

various

valuation

techniques

and

unobservable

inputs.

c

Includes

the

fair

value

of

assets

and/or

liabilities

derived

from

recent

transactions,

private

transaction

prices,

or

non-public

third-party

pricing

information

that

is

unobservable.

d

Includes

financial

instruments

determined

to

have

no

value.

8. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund
(continued)

#### Abbreviations

#### Selected

#### Portfolio

#### ADR
American

Depositary

Receipt

#### REIT
Real

Estate

Investment

Trust

FRANKLIN

TEMPLETON

VARIABLE

INSURANCE

PRODUCTS

TRUST

Report

of

Independent

Registered

Public

Accounting

Firm

franklintempleton.com

Annual

Report

To

the

Board

of

Trustees

of

Franklin

Templeton

Variable

Insurance

Products

Trust

and

Shareholders

of

Franklin

Small-Mid

Cap

Growth

VIP

Fund

#### Opinion

#### on

#### the

#### Financial

#### Statements
We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

investments,

of

Franklin

Small-Mid

Cap

Growth

VIP

Fund

(one

of

the

funds

constituting

Franklin

Templeton

Variable

Insurance

Products

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2025,

the

related

statement

of

operations

for

the

year

ended

December

31,

2025,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

(collectively

referred

to

as

the

"financial

statements").

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2025,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

#### Basis

#### for

#### Opinion
These

financial

statements

are

the

responsibility

of

the

Fund's

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund's

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2025

by

correspondence

with

the

custodian,

transfer

agent,

private

placement

agents

and

broker;

when

replies

were

not

received

from

private

placement

agents,

we

performed

other

auditing

procedures.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/PricewaterhouseCoopers

LLP

San

Francisco,

California

February

19,

2026

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Franklin

Templeton

Group

of

Funds

since

1948. FRANKLIN

TEMPLETON

VARIABLE

INSURANCE

PRODUCTS

TRUST

Tax

Information

(unaudited)

franklintempleton.com

Annual

Report

#### Franklin

#### Small-Mid

#### Cap

#### Growth

#### VIP

#### Fund
By

mid-February,

tax

information

related

to

a

shareholder's

proportionate

share

of

distributions

paid

during

the

preceding

calendar

year

will

be

received,

if

applicable.

Please

also

refer

to

www.franklintempleton.com

for

per

share

tax

information

related

to

any

distributions

paid

during

the

preceding

calendar

year.

Shareholders

are

advised

to

consult

with

their

tax

advisors

for

further

information

on

the

treatment

of

these

amounts

on

their

tax

returns.

The

following

tax

information

for

the

Fund

is

required

to

be

furnished

to

shareholders

with

respect

to

income

earned

and

distributions

paid

during

its

fiscal

year.

The

Fund

hereby

reports

the

following

amounts,

or

if

subsequently

determined

to

be

different,

the

maximum

allowable

amounts,

for

the

fiscal

year

ended

December

31,

2025:

#### Pursuant

#### to:

#### Amount

#### Reported
Long-Term

Capital

Gain

Dividends

Distributed

§852(b)(3)(C)

$22,974,414

Income

Eligible

for

Dividends

Received

Deduction

(DRD)

§854(b)(1)(A)

$2,189,039

FRANKLIN

TEMPLETON

VARIABLE

INSURANCE

PRODUCTS

TRUST

franklintempleton.com

Annual

Report

#### Changes

#### In

#### and

#### Disagreements

#### with

#### Accountants
For

the

period

covered

by

this

report

Not

applicable.

#### Results

#### of

#### Meeting(s)

#### of

#### Shareholders
For

the

period

covered

by

this

report

Not

applicable.

#### Remuneration

#### Paid

#### to

#### Directors,

#### Officers

#### and

#### Others
For

the

period

covered

by

this

report

Refer

to

the

financial

statements

included

herein.

Remuneration

to

officers

is

paid

by

the

Fund's

investment

manager

according

to

the

terms

of

the

agreement.

#### Board

#### Approval

#### of

#### Management

#### and

#### Subadvisory

#### Agreements
For

the

period

covered

by

this

report

Not

applicable.

4842-AFSOI

02/26©

2026

Franklin

Templeton.

All

rights

reserved.

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund

#### Financial

#### Statements

#### and

#### Other

#### Important

#### Information

#### Annual
\|

December

31,

2025

#### Table

#### of

#### Contents
franklintempleton.com

Financial

Statements

and

Other

Important

Information—Annual

Financial

Highlights

and

Schedule

of

Investments

#### 2
Financial

Statements

#### 37
Notes

to

Financial

Statements

#### 41
Report

of

Independent

Registered

Public

Accounting

Firm

#### 58
Tax

Information

#### 59
Changes

In

and

Disagreements

with

Accountants

#### 60
Results

of

Meeting(s)

of

Shareholders

Remuneration

Paid

to

Directors,

Officers

and

Others

Board

Approval

of

Management

and

Subadvisory

Agreements

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### \*

#### Class

#### 1

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$9.35

$9.39

$9.09

$10.64

$10.76

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.44 0.43 0.43 0.37 0.33 Net

realized

and

unrealized

gains

(losses)

...........

0.23 (0.04)

0.31 (1.49)

(0.08)

Total

from

investment

operations

....................

0.67 0.39 0.74 (1.12)

0.25 Less

distributions

from:

Net

investment

income

..........................

(0.47)

(0.43)

(0.44)

(0.43)

(0.37)

Net

realized

gains

.............................

(—)

c

—

—

—

—

Net

asset

value,

end

of

year

.......................

$9.55

$9.35

$9.39

$9.09

$10.64

Total

return

d

...................................

7.42%

4.32%

8.37%

(10.46)%

2.28%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.81%

0.79%

0.84%

0.77%

0.78%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.80%

0.78%

0.79%

e

0.70%

e

0.74%

e

Net

investment

income

...........................

4.68%

4.55%

4.67%

3.84%

3.11%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$168,602

$172,517

$182,461

$189,767

$248,352

Portfolio

turnover

rate

............................

131.34%

86.89%

f

59.05%

63.64%

58.28%

f

Portfolio

turnover

rate

excluding

mortgage

dollar

rolls

g

....

78.82%

37.38%

f

58.37%

63.64%

43.00%

f

\*

Includes

the

consolidated

operations

of

FT

Holdings

Corporation

III

from

January

1,

2021

through

April

27,

2021. a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Consolidated

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Amount

rounds

to

less

than

$0.01

per

share.

d

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Prod-

ucts

Trust

serves

as

an

underlying

investment

vehicle.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

f

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

See

Note

3(f)

for

prior

year

information.

g

See

Note

1(f)

regarding

mortgage

dollar

rolls.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### \*

#### Class

#### 2

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$8.95

$9.01

$8.73

$10.23

$10.36

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.40 0.39 0.39 0.33 0.29 Net

realized

and

unrealized

gains

(losses)

...........

0.23 (0.04)

0.31 (1.43)

(0.07)

Total

from

investment

operations

....................

0.63 0.35 0.70 (1.10)

0.22 Less

distributions

from:

Net

investment

income

..........................

(0.45)

(0.41)

(0.42)

(0.40)

(0.35)

Net

realized

gains

.............................

(—)

c

—

—

—

—

Net

asset

value,

end

of

year

.......................

$9.13

$8.95

$9.01

$8.73

$10.23

Total

return

d

...................................

7.24%

4.02%

8.18%

(10.75)%

2.11%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.06%

1.04%

1.09%

1.02%

1.03%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.05%

1.03%

1.04%

e

0.95%

e

0.99%

e

Net

investment

income

...........................

4.43%

4.30%

4.42%

3.59%

2.86%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$70,243

$68,010

$73,436

$73,617

$89,733

Portfolio

turnover

rate

............................

131.34%

86.89%

f

59.05%

63.64%

58.28%

f

Portfolio

turnover

rate

excluding

mortgage

dollar

rolls

g

....

78.82%

37.38%

f

58.37%

63.64%

43.00%

f

\*

Includes

the

consolidated

operations

of

FT

Holdings

Corporation

III

from

January

1,

2021

through

April

27,

2021. a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Consolidated

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Amount

rounds

to

less

than

$0.01

per

share.

d

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Prod-

ucts

Trust

serves

as

an

underlying

investment

vehicle.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

f

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

See

Note

3(f)

for

prior

year

information.

g

See

Note

1(f)

regarding

mortgage

dollar

rolls.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### \*

#### Class

#### 4

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$9.27

$9.31

$9.01

$10.54

$10.66

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.40 0.39 0.39 0.33 0.29 Net

realized

and

unrealized

gains

(losses)

...........

0.23 (0.03)

0.31 (1.47)

(0.07)

Total

from

investment

operations

....................

0.63 0.36 0.70 (1.14)

0.22 Less

distributions

from:

Net

investment

income

..........................

(0.43)

(0.40)

(0.40)

(0.39)

(0.34)

Net

realized

gains

.............................

(—)

c

—

—

—

—

Net

asset

value,

end

of

year

.......................

$9.47

$9.27

$9.31

$9.01

$10.54

Total

return

d

...................................

7.05%

3.98%

7.99%

(10.84)%

2.06%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.16%

1.14%

1.19%

1.12%

1.13%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.15%

1.13%

1.14%

e

1.05%

e

1.09%

e

Net

investment

income

...........................

4.33%

4.20%

4.31%

3.48%

2.76%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$33,371

$35,001

$36,147

$37,419

$50,381

Portfolio

turnover

rate

............................

131.34%

86.89%

f

59.05%

63.64%

58.28%

f

Portfolio

turnover

rate

excluding

mortgage

dollar

rolls

g

....

78.82%

37.38%

f

58.37%

63.64%

43.00%

f

\*

Includes

the

consolidated

operations

of

FT

Holdings

Corporation

III

from

January

1,

2021

through

April

27,

2021. a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Consolidated

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Amount

rounds

to

less

than

$0.01

per

share.

d

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Prod-

ucts

Trust

serves

as

an

underlying

investment

vehicle.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

f

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

See

Note

3(f)

for

prior

year

information.

g

See

Note

1(f)

regarding

mortgage

dollar

rolls.

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments,

December

31,

2025

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks

#### 0.1%

#### Hotels,

#### Restaurants

#### &

#### Leisure

#### 0.0%

#### †
a

Hour

Fitness

Worldwide,

Inc.

........................

United

States

30,412

$

1,125

#### Machinery

#### 0.1%
b

UTEX

Industries,

Inc.

................................

United

States

1,757

91,659

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 0.0%

#### †
a

Amplify

Energy

Corp.

................................

United

States

1,970

Birch

Permian

Holdings,

Inc.

...........................

United

States

4,478

22,202

24,172

#### Total

#### Common

#### Stocks

#### (Cost

#### $

#### 991,676

####)
.......................................

#### 116,956

#### Principal

#### Amount

#### \*

#### Corporate

#### Bonds

#### 49.8%

#### Aerospace

#### &

#### Defense

#### 1.4%
c

Axon

Enterprise,

Inc.

,

Senior

Note

,

144A,

6.125 %

,

3/15/30

...................

United

States

200,000

206,969

Senior

Note

,

144A,

6.25 %

,

3/15/33

....................

United

States

150,000

156,674

Boeing

Co.

(The)

,

Senior

Bond

,

3.625 %

,

2/01/31

........................

United

States

700,000

672,765

Senior

Bond

,

6.875 %

,

3/15/39

........................

United

States

300,000

338,537

Senior

Note

,

5.15 %

,

5/01/30

.........................

United

States

700,000

719,499

c

Bombardier,

Inc.

,

Senior

Note

,

144A,

%

,

6/01/32

......................

Canada

60,000

63,473

Senior

Note

,

144A,

6.75 %

,

6/15/33

....................

Canada

250,000

264,559

c

Efesto

Bidco

SpA

Efesto

US

LLC

,

XR

,

Senior

Secured

Note

,

144A,

7.5 %

,

2/15/32

...............................

Italy

600,000

607,497

Howmet

Aerospace,

Inc.

,

Senior

Note

,

4.85 %

,

10/15/31

.......

United

States

250,000

257,061

c

TransDigm,

Inc.

,

Senior

Secured

Note

,

144A,

%

,

1/15/33

................

United

States

70,000

71,700

Senior

Sub.

Note

,

144A,

6.75 %

,

1/31/34

................

United

States

395,000

411,716

3,770,450

#### Automobile

#### Components

#### 0.4%
c

American

Axle

&

Manufacturing,

Inc.

,

Senior

Secured

Note

,

144A,

6.375 %

,

10/15/32

..................................

United

States

140,000

142,650

c

Clarios

Global

LP

/

Clarios

US

Finance

Co.

,

Senior

Note

,

144A,

6.75 %

,

9/15/32

...................................

United

States

145,000

150,450

c

Dornoch

Debt

Merger

Sub,

Inc.

,

Senior

Note

,

144A,

6.625 %

,

10/15/29

........................................

United

States

600,000

520,190

c

Forvia

SE

,

Senior

Note

,

144A,

6.75 %

,

9/15/33

..............

France

200,000

206,639

1,019,929

#### Automobiles

#### 0.3%
c

Hyundai

Capital

America

,

Senior

Note

,

144A,

5.35 %

,

3/19/29

....................

United

States

150,000

154,524

Senior

Note

,

144A,

4.75 %

,

9/26/31

....................

United

States

500,000

502,643

c

Jaguar

Land

Rover

Automotive

plc

,

Senior

Note

,

144A,

5.5 %

,

7/15/29

.........................................

United

Kingdom

200,000

200,106

857,273

#### Banks

#### 4.5%
c

ABN

AMRO

Bank

NV

,

Senior

Non-Preferred

Note

,

144A,

6.339%

to

9/17/26,

FRN

thereafter

,

9/18/27

.....................

Netherlands

250,000

253,896

Banco

Santander

SA

,

Sub.

Bond

,

2.749 %

,

12/03/30

.........

Spain

300,000

272,898

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Banks
(continued)

Bank

of

America

Corp.

,

Senior

Bond

,

4.571%

to

4/26/32,

FRN

thereafter

,

4/27/33

...

United

States

800,000

$

798,285

Sub.

Bond

,

3.846%

to

3/07/32,

FRN

thereafter

,

3/08/37

.....

United

States

114,000

107,387

c

BPCE

SA

,

Senior

Non-Preferred

Note

,

144A,

2.045%

to

10/18/26,

FRN

thereafter

,

10/19/27

............................

France

800,000

787,125

Citigroup,

Inc.

,

Senior

Note

,

4.503%

to

9/10/30,

FRN

thereafter

,

9/11/31

.........................................

United

States

800,000

802,694

Fifth

Third

Bancorp

,

Senior

Note

,

5.631%

to

1/28/31,

FRN

thereafter

,

1/29/32

.................................

United

States

800,000

839,899

HSBC

Holdings

plc

,

Senior

Bond

,

2.848%

to

6/03/30,

FRN

thereafter

,

6/04/31

...

United

Kingdom

800,000

748,115

Senior

Bond

,

2.357%

to

8/17/30,

FRN

thereafter

,

8/18/31

...

United

Kingdom

300,000

272,971

Senior

Note

,

5.21%

to

8/10/27,

FRN

thereafter

,

8/11/28

.....

United

Kingdom

550,000

559,433

Huntington

Bancshares,

Inc.

,

Senior

Bond

,

5.709%

to

2/01/34,

FRN

thereafter

,

2/02/35

.............................

United

States

800,000

836,079

JPMorgan

Chase

&

Co.

,

Senior

Bond

,

5.336%

to

1/22/34,

FRN

thereafter

,

1/23/35

...

United

States

300,000

311,030

Sub.

Bond

,

5.576%

to

7/22/35,

FRN

thereafter

,

7/23/36

.....

United

States

185,000

191,444

Mizuho

Financial

Group,

Inc.

,

Senior

Note

,

5.778%

to

7/05/28,

FRN

thereafter

,

7/06/29

.............................

Japan

500,000

520,074

Santander

UK

Group

Holdings

plc

,

Senior

Note

,

1.673%

to

6/23/26,

FRN

thereafter

,

6/14/27

......................

United

Kingdom

800,000

791,164

c

Societe

Generale

SA

,

Senior

Non-Preferred

Bond

,

144A,

2.889%

to

6/08/31,

FRN

thereafter

,

6/09/32

.................................

France

800,000

724,515

Senior

Non-Preferred

Note

,

144A,

1.792%

to

6/08/26,

FRN

thereafter

,

6/09/27

.................................

France

700,000

692,626

Toronto-Dominion

Bank

(The)

,

Senior

Note

,

4.693 %

,

9/15/27

...

Canada

1,000,000

1,013,809

c

UniCredit

SpA

,

Senior

Preferred

Bond

,

144A,

3.127%

to

6/02/31,

FRN

thereafter

,

6/03/32

.............................

Italy

500,000

464,895

Wells

Fargo

&

Co.

,

Senior

Note

,

6.303%

to

10/22/28,

FRN

thereafter

,

10/23/29

..

United

States

800,000

845,496

Senior

Note

,

5.198%

to

1/22/29,

FRN

thereafter

,

1/23/30

....

United

States

450,000

463,521

12,297,356

#### Beverages

#### 0.2%
c

Primo

Water

Holdings,

Inc.

/

Triton

Water

Holdings,

Inc.

,

Senior

Secured

Note

,

144A,

4.375 %

,

4/30/29

..................

United

States

500,000

487,040

#### Biotechnology

#### 0.7%
Amgen,

Inc.

,

Senior

Bond

,

4.2 %

,

3/01/33

..........................

United

States

400,000

391,158

Senior

Bond

,

5.25 %

,

3/02/33

.........................

United

States

700,000

724,822

c

Genmab

A/S

/

Genmab

Finance

LLC

,

Senior

Secured

Note

,

144A,

6.25 %

,

12/15/32

..............................

Denmark

510,000

523,026

c

Grifols

SA

,

Senior

Note

,

144A,

4.75 %

,

10/15/28

............

Spain

200,000

197,668

1,836,674

#### Broadline

#### Retail

#### 0.2%
b

,c

,d

K2016470219

South

Africa

Ltd.

,

Senior

Secured

Note

,

144A,

%

,

12/31/22

........................................

South

Africa

1,036,360

—

b

,c

,d

K2016470260

South

Africa

Ltd.

,

Senior

Secured

Note

,

144A,

%

,

12/31/22

....................................

South

Africa

564,697

—

c

Wayfair

LLC

,

Senior

Secured

Note

,

144A,

7.25 %

,

10/31/29

....

United

States

400,000

417,882

417,882

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Building

#### Products

#### 0.8%
Carlisle

Cos.,

Inc.

,

Senior

Bond

,

5.25 %

,

9/15/35

............

United

States

75,000

$

76,587

c

JH

North

America

Holdings,

Inc.

,

Senior

Secured

Note

,

144A,

5.875 %

,

1/31/31

...................................

United

States

50,000

51,104

c

Miter

Brands

Acquisition

Holdco,

Inc.

/

MIWD

Borrower

LLC

,

Senior

Secured

Note

,

144A,

6.75 %

,

4/01/32

..............

United

States

300,000

307,745

Owens

Corning

,

Senior

Bond

,

5.7 %

,

6/15/34

...............

United

States

800,000

841,702

c

Quikrete

Holdings,

Inc.

,

Senior

Note

,

144A,

6.75 %

,

3/01/33

....................

United

States

100,000

104,498

Senior

Secured

Note

,

144A,

6.375 %

,

3/01/32

............

United

States

150,000

156,230

c

Standard

Building

Solutions,

Inc.

,

Senior

Note

,

144A,

6.5 %

,

8/15/32

.....................

United

States

100,000

103,024

Senior

Note

,

144A,

6.25 %

,

8/01/33

....................

United

States

330,000

337,294

c

Standard

Industries,

Inc.

,

Senior

Bond

,

144A,

3.375 %

,

1/15/31

.

United

States

200,000

183,862

2,162,046

#### Capital

#### Markets

#### 1.6%
Goldman

Sachs

Group,

Inc.

(The)

,

Senior

Bond

,

2.383%

to

7/20/31,

FRN

thereafter

,

7/21/32

...

United

States

370,000

331,506

Senior

Note

,

1.948%

to

10/20/26,

FRN

thereafter

,

10/21/27

..

United

States

1,000,000

983,316

c

Jane

Street

Group

/

JSG

Finance,

Inc.

,

Senior

Secured

Note

,

144A,

6.125 %

,

11/01/32

.............................

United

States

750,000

763,672

Morgan

Stanley

,

Senior

Bond

,

5.466%

to

1/17/34,

FRN

thereafter

,

1/18/35

...

United

States

200,000

207,969

Sub.

Bond

,

5.948%

to

1/18/33,

FRN

thereafter

,

1/19/38

.....

United

States

44,000

46,315

c

MSCI,

Inc.

,

Senior

Bond

,

144A,

3.25 %

,

8/15/33

.............

United

States

1,200,000

1,076,672

c

Stonex

Escrow

Issuer

LLC

,

Secured

Note

,

144A,

6.875 %

,

7/15/32

United

States

150,000

155,688

c

StoneX

Group,

Inc.

,

Secured

Note

,

144A,

7.875 %

,

3/01/31

....

United

States

300,000

319,890

UBS

Group

AG

,

Senior

Note

,

4.55 %

,

4/17/26

..............

Switzerland

400,000

400,696

4,285,724

#### Chemicals

#### 0.8%
c

,e

Advancion

Sciences,

Inc.

,

Senior

Note

,

144A,

PIK,

9.25 %

,

11/01/26

........................................

United

States

382,883

329,013

c

Avient

Corp.

,

Senior

Note

,

144A,

6.25 %

,

11/01/31

...........

United

States

200,000

205,693

c

Cerdia

Finanz

GmbH

,

Senior

Secured

Note

,

144A,

9.375 %

,

10/03/31

........................................

Germany

300,000

311,625

c

Element

Solutions,

Inc.

,

Senior

Note

,

144A,

3.875 %

,

9/01/28

...

United

States

800,000

782,494

FMC

Corp.

,

Sub.

Bond

,

8.45%

to

10/31/30,

FRN

thereafter

,

11/01/55

........................................

United

States

150,000

118,850

c

Rain

Carbon,

Inc.

,

Senior

Secured

Note

,

144A,

12.25 %

,

9/01/29

United

States

300,000

312,776

2,060,451

#### Commercial

#### Services

#### &

#### Supplies

#### 0.5%
c

,d

Ambipar

Lux

SARL

,

Senior

Note

,

144A,

10.875 %

,

2/05/33

.....

Brazil

200,000

35,375

c

RR

Donnelley

&

Sons

Co.

,

Senior

Secured

Note

,

144A,

9.5 %

,

8/01/29

.........................................

United

States

400,000

413,698

c

Veritiv

Operating

Co.

,

Senior

Secured

Note

,

144A,

10.5 %

,

11/30/30

........................................

United

States

150,000

161,469

c

Waste

Pro

USA,

Inc.

,

Senior

Note

,

144A,

%

,

2/01/33

........

United

States

100,000

103,182

c

Wrangler

Holdco

Corp.

,

Senior

Note

,

144A,

6.625 %

,

4/01/32

...

Canada

500,000

525,387

1,239,111

#### Communications

#### Equipment

#### 0.3%
Motorola

Solutions,

Inc.

,

Senior

Bond

,

5.4 %

,

4/15/34

.........

United

States

800,000

826,394

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Communications

#### Equipment
(continued)

c

Viasat,

Inc.

,

Senior

Note

,

144A,

7.5 %

,

5/30/31

..............

United

States

100,000

$

95,204

921,598

#### Construction

#### &

#### Engineering

#### 0.3%
c

Arcosa,

Inc.

,

Senior

Note

,

144A,

4.375 %

,

4/15/29

...........

United

States

800,000

788,160

#### Consumer

#### Finance

#### 1.5%
AerCap

Ireland

Capital

DAC

/

AerCap

Global

Aviation

Trust

,

Senior

Bond

,

3.4 %

,

10/29/33

.........................

Ireland

800,000

722,629

c

Avolon

Holdings

Funding

Ltd.

,

Senior

Note

,

144A,

4.9 %

,

10/10/30

Ireland

800,000

804,592

Capital

One

Financial

Corp.

,

Senior

Bond

,

5.268%

to

5/09/32,

FRN

thereafter

,

5/10/33

.............................

United

States

900,000

924,593

c

FirstCash,

Inc.

,

Senior

Note

,

144A,

6.875 %

,

3/01/32

.........

United

States

600,000

624,871

General

Motors

Financial

Co.,

Inc.

,

Senior

Bond

,

5.45 %

,

9/06/34

.........................

United

States

140,000

142,075

Senior

Note

,

4.2 %

,

10/27/28

.........................

United

States

90,000

90,148

OneMain

Finance

Corp.

,

Senior

Bond

,

5.375 %

,

11/15/29

.......................

United

States

200,000

200,243

Senior

Note

,

6.75 %

,

9/15/33

.........................

United

States

600,000

608,327

4,117,478

#### Consumer

#### Staples

#### Distribution

#### &

#### Retail

#### 0.1%
c

US

Foods,

Inc.

,

Senior

Note

,

144A,

6.875 %

,

9/15/28

...................

United

States

300,000

310,718

Senior

Note

,

144A,

5.75 %

,

4/15/33

....................

United

States

100,000

101,952

412,670

#### Containers

#### &

#### Packaging

#### 0.5%
AptarGroup,

Inc.

,

Senior

Note

,

4.75 %

,

3/30/31

.............

United

States

170,000

171,513

c

Clydesdale

Acquisition

Holdings,

Inc.

,

Senior

Secured

Note

,

144A,

6.75 %

,

4/15/32

...............................

United

States

650,000

668,814

c

Toucan

FinCo

Ltd.

/

Toucan

FinCo

Can,

Inc.

/

Toucan

FinCo

US

LLC

,

Senior

Secured

Note

,

144A,

9.5 %

,

5/15/30

...........

Canada

425,000

424,803

1,265,130

#### Distributors

#### 0.1%
c

RB

Global

Holdings,

Inc.

,

Senior

Note

,

144A,

7.75 %

,

3/15/31

..

Canada

275,000

287,847

#### Diversified

#### Consumer

#### Services

#### 0.3%
Grand

Canyon

University

,

Secured

Note

,

5.125 %

,

10/01/28

....

United

States

700,000

696,221

#### Diversified

#### REITs

#### 0.3%
c

Global

Net

Lease,

Inc.

/

Global

Net

Lease

Operating

Partnership

LP

,

Senior

Note

,

144A,

3.75 %

,

12/15/27

.................

United

States

400,000

389,798

VICI

Properties

LP

,

Senior

Note

,

5.625 %

,

4/01/35

...........

United

States

450,000

459,754

849,552

#### Diversified

#### Telecommunication

#### Services

#### 1.2%
c

APLD

ComputeCo

LLC

,

Senior

Secured

Note

,

144A,

9.25 %

,

12/15/30

........................................

United

States

545,000

535,013

CCO

Holdings

LLC

/

CCO

Holdings

Capital

Corp.

,

Senior

Bond

,

4.5 %

,

5/01/32

....................................

United

States

650,000

583,818

c

Cipher

Compute

LLC

,

Senior

Secured

Note

,

144A,

7.125 %

,

11/15/30

........................................

United

States

205,000

209,045

c

IHS

Holding

Ltd.

,

Senior

Note

,

144A,

8.25 %

,

11/29/31

........

Nigeria

200,000

209,436

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Diversified

#### Telecommunication

#### Services
(continued)

Verizon

Communications,

Inc.

,

Senior

Note

,

2.355 %

,

3/15/32

........................

United

States

1,000,000

$

881,541

Senior

Note

,

4.75 %

,

1/15/33

.........................

United

States

230,000

229,888

c

Virgin

Media

Secured

Finance

plc

,

Senior

Secured

Bond

,

144A,

4.5 %

,

8/15/30

....................................

United

Kingdom

400,000

371,740

c

WULF

Compute

LLC

,

Senior

Secured

Note

,

144A,

7.75 %

,

10/15/30

........................................

United

States

300,000

309,303

3,329,784

#### Electric

#### Utilities

#### 2.0%
American

Electric

Power

Co.,

Inc.

,

C

,

Junior

Sub.

Bond

,

5.8%

to

3/14/31,

FRN

thereafter

,

3/15/56

United

States

335,000

332,724

D

,

Junior

Sub.

Bond

,

6.05%

to

3/14/36,

FRN

thereafter

,

3/15/56

.........................................

United

States

110,000

108,131

c

Buffalo

Energy

Mexico

Holdings

/

Buffalo

Energy

Infrastructure

/

Buffalo

Energy

,

Senior

Secured

Bond

,

144A,

7.875 %

,

2/15/39

Mexico

198,982

218,557

c

California

Buyer

Ltd.

/

Atlantica

Sustainable

Infrastructure

plc

,

Senior

Note

,

144A,

6.375 %

,

2/15/32

....................

United

Kingdom

600,000

602,288

DTE

Electric

Co.

,

Senior

Bond

,

5.25 %

,

5/15/35

.............

United

States

80,000

82,269

Duke

Energy

Corp.

,

Senior

Bond

,

2.45 %

,

6/01/30

...........

United

States

600,000

557,000

Duke

Energy

Ohio,

Inc.

,

Senior

Bond

,

5.25 %

,

4/01/33

........

United

States

100,000

103,784

c

Enel

Finance

International

NV

,

Senior

Note

,

144A,

4.375 %

,

9/30/30

.........................................

Italy

305,000

303,948

c

NRG

Energy,

Inc.

,

Senior

Bond

,

144A,

%

,

1/15/36

..........

United

States

665,000

674,156

Southern

Co.

(The)

,

Senior

Bond

,

4.4 %

,

7/01/46

............

United

States

400,000

337,834

Virginia

Electric

and

Power

Co.

,

Senior

Bond

,

6.35 %

,

11/30/37

.

United

States

85,000

93,575

c

Vistra

Operations

Co.

LLC

,

Senior

Note

,

144A,

4.375 %

,

5/01/29

...................

United

States

1,100,000

1,086,734

Senior

Secured

Bond

,

144A,

4.3 %

,

7/15/29

..............

United

States

500,000

496,739

Xcel

Energy,

Inc.

,

Senior

Bond

,

5.45 %

,

8/15/33

.............

United

States

500,000

517,224

5,514,963

#### Electronic

#### Equipment,

#### Instruments

#### &

#### Components

#### 0.5%
Amphenol

Corp.

,

Senior

Note

,

4.4 %

,

2/15/33

...............

United

States

310,000

306,836

c

TTM

Technologies,

Inc.

,

Senior

Note

,

144A,

%

,

3/01/29

......

United

States

800,000

784,381

c

Zebra

Technologies

Corp.

,

Senior

Note

,

144A,

6.5 %

,

6/01/32

..

United

States

300,000

310,948

1,402,165

#### Energy

#### Equipment

#### &

#### Services

#### 0.8%
c

Kodiak

Gas

Services

LLC

,

Senior

Note

,

144A,

7.25 %

,

2/15/29

..

United

States

600,000

624,568

c

Nabors

Industries,

Inc.

,

Senior

Note

,

144A,

8.875 %

,

8/15/31

...

United

States

500,000

485,389

Transocean

International

Ltd.

,

Senior

Bond

,

6.8 %

,

3/15/38

..........................

United

States

100,000

86,067

c

Senior

Note

,

144A,

8.25 %

,

5/15/29

....................

United

States

100,000

100,853

c

Senior

Secured

Note

,

144A,

8.75 %

,

2/15/30

.............

United

States

450,000

470,424

c

Weatherford

International

Ltd.

,

Senior

Note

,

144A,

6.75 %

,

10/15/33

........................................

United

States

360,000

368,871

2,136,172

#### Entertainment

#### 0.3%
c

Banijay

Entertainment

SAS

,

Senior

Secured

Note

,

144A,

%

,

5/01/29

................

France

300,000

EUR

366,600

Senior

Secured

Note

,

144A,

8.125 %

,

5/01/29

............

France

32,323

33,693

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Entertainment
(continued)

Warnermedia

Holdings,

Inc.

,

Senior

Note

,

4.054 %

,

3/15/29

....

United

States

300,000

$

291,867

692,160

#### Financial

#### Services

#### 1.4%
Corebridge

Financial,

Inc.

,

Senior

Note

,

6.05 %

,

9/15/33

.......

United

States

500,000

530,858

c

CrossCountry

Intermediate

HoldCo

LLC

,

Senior

Note

,

144A,

6.5 %

,

10/01/30

....................

United

States

200,000

204,249

Senior

Note

,

144A,

6.75 %

,

12/01/32

...................

United

States

165,000

168,500

c

Freedom

Mortgage

Holdings

LLC

,

Senior

Note

,

144A,

8.375 %

,

4/01/32

...................

United

States

450,000

474,048

Senior

Note

,

144A,

7.875 %

,

4/01/33

...................

United

States

150,000

155,449

c

GGAM

Finance

Ltd.

,

Senior

Note

,

144A,

%

,

6/15/28

........

Ireland

400,000

423,872

c

Jefferson

Capital

Holdings

LLC

,

Senior

Note

,

144A,

%

,

8/15/26

United

States

700,000

700,546

c

Osaic

Holdings,

Inc.

,

Senior

Note

,

144A,

%

,

8/01/33

........

United

States

100,000

104,548

c

Petronas

Capital

Ltd.

,

Senior

Note

,

144A,

4.95 %

,

1/03/31

.....

Malaysia

400,000

413,075

c

PRA

Group,

Inc.

,

Senior

Note

,

144A,

%

,

10/01/29

..........

United

States

400,000

376,494

c

Rocket

Cos.,

Inc.

,

Senior

Note

,

144A,

6.375 %

,

8/01/33

.......

United

States

150,000

156,580

3,708,219

#### Food

#### Products

#### 0.8%
c

,e

Chobani

Holdco

II

LLC

,

Senior

Note

,

144A,

PIK,

8.75 %

,

10/01/29

United

States

109,144

114,123

c

Chobani

LLC

/

Chobani

Finance

Corp.,

Inc.

,

Senior

Note

,

144A,

7.625 %

,

7/01/29

...................................

United

States

100,000

104,437

c

Froneri

Lux

FinCo

SARL

,

Senior

Secured

Note

,

144A,

%

,

8/01/32

.........................................

United

Kingdom

230,000

233,341

JBS

USA

Holding

Lux

SARL

/

JBS

USA

Food

Co.

/

JBS

Lux

Co.

SARL

,

Senior

Note

,

%

,

2/02/29

...........................

United

States

200,000

192,696

Senior

Note

,

3.625 %

,

1/15/32

........................

United

States

400,000

374,785

Kraft

Heinz

Foods

Co.

,

Senior

Bond

,

%

,

6/04/42

...........

United

States

265,000

243,319

c

Mars,

Inc.

,

Senior

Note

,

144A,

5.2 %

,

3/01/35

...............

United

States

945,000

971,644

2,234,345

#### Gas

#### Utilities

#### 0.1%
Piedmont

Natural

Gas

Co.,

Inc.

,

Senior

Bond

,

3.35 %

,

6/01/50

..

United

States

300,000

206,988

#### Ground

#### Transportation

#### 1.1%
c

Ashtead

Capital,

Inc.

,

Senior

Bond

,

144A,

5.8 %

,

4/15/34

......

United

Kingdom

200,000

209,810

c

Beacon

Mobility

Corp.

,

Senior

Secured

Note

,

144A,

7.25 %

,

8/01/30

.........................................

United

States

120,000

125,578

Burlington

Northern

Santa

Fe

LLC

,

Senior

Bond

,

5.55 %

,

3/15/56

United

States

145,000

143,040

c

First

Student

Bidco,

Inc.

/

First

Transit

Parent,

Inc.

,

Senior

Secured

Note

,

144A,

%

,

7/31/29

.....................

United

States

500,000

487,722

c

SMBC

Aviation

Capital

Finance

DAC

,

Senior

Bond

,

144A,

5.7 %

,

7/25/33

.........................................

Ireland

800,000

835,846

c

Transnet

SOC

Ltd.

,

Senior

Note

,

Reg

S,

8.25 %

,

2/06/28

......

South

Africa

200,000

211,463

c

Watco

Cos.

LLC

/

Watco

Finance

Corp.

,

Senior

Note

,

144A,

7.125 %

,

8/01/32

...................................

United

States

365,000

382,471

c

XPO,

Inc.

,

Senior

Note

,

144A,

7.125 %

,

2/01/32

.............

United

States

600,000

633,281

3,029,211

#### Health

#### Care

#### Equipment

#### &

#### Supplies

#### 0.5%
c

Bausch

+

Lomb

Corp.

,

Senior

Secured

Note

,

144A,

8.375 %

,

10/01/28

........................................

United

States

800,000

836,000

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Health

#### Care

#### Equipment

#### &

#### Supplies
(continued)

Baxter

International,

Inc.

,

Senior

Note

,

2.272 %

,

12/01/28

......

United

States

500,000

$

472,125

1,308,125

#### Health

#### Care

#### Providers

#### &

#### Services

#### 2.6%
c

CHS/Community

Health

Systems,

Inc.

,

Senior

Secured

Note

,

144A,

%

,

1/15/29

................

United

States

200,000

200,722

Senior

Secured

Note

,

144A,

9.75 %

,

1/15/34

.............

United

States

500,000

525,789

Cigna

Group

(The)

,

Senior

Bond

,

5.25 %

,

2/15/34

...........

United

States

800,000

824,111

c

Concentra

Health

Services,

Inc.

,

Senior

Note

,

144A,

6.875 %

,

7/15/32

.........................................

United

States

200,000

209,411

CVS

Health

Corp.

,

Senior

Bond

,

1.75 %

,

8/21/30

.........................

United

States

400,000

355,443

Senior

Bond

,

5.3 %

,

6/01/33

..........................

United

States

500,000

515,739

Senior

Bond

,

2.7 %

,

8/21/40

..........................

United

States

600,000

429,545

c

DaVita,

Inc.

,

Senior

Note

,

144A,

4.625 %

,

6/01/30

...........

United

States

800,000

778,452

HCA,

Inc.

,

Senior

Bond

,

3.5 %

,

9/01/30

..........................

United

States

1,300,000

1,250,617

Senior

Note

,

4.6 %

,

11/15/32

.........................

United

States

150,000

148,685

Icon

Investments

Six

DAC

,

Senior

Secured

Bond

,

%

,

5/08/34

.

United

States

200,000

211,598

c

Kedrion

SpA

,

Senior

Secured

Note

,

144A,

6.5 %

,

9/01/29

......

Italy

700,000

690,224

c

,e

MPH

Acquisition

Holdings

LLC

,

Senior

Secured

Note

,

144A,

PIK,

11.5 %

,

12/31/30

.........

United

States

70,615

73,225

Senior

Secured

Note

,

144A,

PIK,

6.75 %

,

3/31/31

.........

United

States

321,292

276,475

Tenet

Healthcare

Corp.

,

c

Senior

Note

,

144A,

%

,

11/15/33

......................

United

States

115,000

118,475

Senior

Secured

Note

,

6.125 %

,

6/15/30

.................

United

States

500,000

512,272

7,120,783

#### Health

#### Care

#### REITs

#### 0.7%
Alexandria

Real

Estate

Equities,

Inc.

,

Senior

Bond

,

1.875 %

,

2/01/33

........................

United

States

1,000,000

820,513

Senior

Bond

,

5.25 %

,

5/15/36

.........................

United

States

250,000

247,866

MPT

Operating

Partnership

LP

/

MPT

Finance

Corp.

,

Senior

Bond

,

%

,

10/15/27

..........................

United

States

400,000

387,692

Senior

Bond

,

3.5 %

,

3/15/31

..........................

United

States

300,000

218,374

c

Senior

Secured

Note

,

144A,

8.5 %

,

2/15/32

..............

United

States

100,000

106,868

1,781,313

#### Health

#### Care

#### Technology

#### 0.2%
c

IQVIA,

Inc.

,

Senior

Note

,

144A,

6.25 %

,

6/01/32

.............

United

States

650,000

680,009

#### Hotel

#### &

#### Resort

#### REITs

#### 0.5%
c

Pebblebrook

Hotel

LP

/

PEB

Finance

Corp.

,

Senior

Note

,

144A,

6.375 %

,

10/15/29

..................................

United

States

200,000

205,448

c

RHP

Hotel

Properties

LP

/

RHP

Finance

Corp.

,

Senior

Note

,

144A,

6.5 %

,

4/01/32

...............................

United

States

700,000

726,439

c

XHR

LP

,

Senior

Secured

Note

,

144A,

4.875 %

,

6/01/29

.......

United

States

400,000

394,687

1,326,574

#### Hotels,

#### Restaurants

#### &

#### Leisure

#### 2.1%
c

1011778

BC

ULC

/

New

Red

Finance,

Inc.

,

Secured

Bond

,

144A,

%

,

10/15/30

.....................................

Canada

700,000

667,474

c

Allwyn

Entertainment

Financing

UK

plc

,

Senior

Secured

Note

,

144A,

7.875 %

,

4/30/29

..............................

Switzerland

600,000

624,826

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Hotels,

#### Restaurants

#### &

#### Leisure
(continued)

c

Caesars

Entertainment,

Inc.

,

Senior

Note

,

144A,

4.625 %

,

10/15/29

..................

United

States

300,000

$

287,968

Senior

Note

,

144A,

%

,

10/15/32

.....................

United

States

50,000

48,661

c

Carnival

Corp.

,

Senior

Note

,

144A,

5.75 %

,

3/15/30

..........

United

States

1,000,000

1,029,257

c

Fertitta

Entertainment

LLC

/

Fertitta

Entertainment

Finance

Co.,

Inc.

,

Senior

Note

,

144A,

6.75 %

,

1/15/30

.................

United

States

500,000

475,750

c

Great

Canadian

Gaming

Corp.

/

Raptor

LLC

,

Senior

Secured

Note

,

144A,

8.75 %

,

11/15/29

.........................

Canada

500,000

505,412

c

NCL

Corp.

Ltd.

,

Senior

Note

,

144A,

6.75 %

,

2/01/32

....................

United

States

300,000

307,361

Senior

Note

,

144A,

6.25 %

,

9/15/33

....................

United

States

190,000

190,009

c

Rivers

Enterprise

Lender

LLC

/

Rivers

Enterprise

Lender

Corp.

,

Senior

Secured

Note

,

144A,

6.25 %

,

10/15/30

.............

United

States

150,000

153,180

c

Royal

Caribbean

Cruises

Ltd.

,

Senior

Note

,

144A,

5.625 %

,

9/30/31

...................

United

States

100,000

102,265

Senior

Note

,

144A,

%

,

2/01/33

......................

United

States

600,000

616,707

c

Viking

Cruises

Ltd.

,

Senior

Note

,

144A,

5.875 %

,

10/15/33

.....

United

States

465,000

472,418

c

Wynn

Resorts

Finance

LLC

/

Wynn

Resorts

Capital

Corp.

,

Senior

Note

,

144A,

7.125 %

,

2/15/31

.........................

United

States

300,000

324,811

5,806,099

#### Household

#### Durables

#### 0.4%
c

Ashton

Woods

USA

LLC

/

Ashton

Woods

Finance

Co.

,

Senior

Note

,

144A,

6.875 %

,

8/01/33

.........................

United

States

165,000

165,270

c

K. Hovnanian

Enterprises,

Inc.

,

Senior

Note

,

144A,

%

,

4/01/31

......................

United

States

70,000

71,496

Senior

Note

,

144A,

8.375 %

,

10/01/33

..................

United

States

105,000

106,791

Newell

Brands,

Inc.

,

Senior

Note

,

6.375 %

,

5/15/30

........................

United

States

50,000

48,894

Senior

Note

,

6.625 %

,

5/15/32

........................

United

States

50,000

48,576

c

Senior

Note

,

144A,

8.5 %

,

6/01/28

.....................

United

States

200,000

209,970

c

Taylor

Morrison

Communities,

Inc.

,

Senior

Note

,

144A,

5.75 %

,

11/15/32

........................................

United

States

55,000

56,624

c

Weekley

Homes

LLC

/

Weekley

Finance

Corp.

,

Senior

Note

,

144A,

4.875 %

,

9/15/28

..............................

United

States

500,000

493,492

1,201,113

#### Household

#### Products

#### 0.1%
c

Central

Garden

&

Pet

Co.

,

Senior

Bond

,

144A,

4.125 %

,

4/30/31

United

States

400,000

378,858

#### Independent

#### Power

#### and

#### Renewable

#### Electricity

#### Producers

#### 1.3%
c

AES

Andes

SA

,

Senior

Note

,

144A,

6.3 %

,

3/15/29

.....................

Chile

400,000

414,343

Senior

Note

,

144A,

6.25 %

,

3/14/32

....................

Chile

200,000

208,676

c

Atlantica

Sustainable

Infrastructure

Ltd.

,

Senior

Note

,

144A,

4.125 %

,

6/15/28

...................................

Spain

306,000

298,150

c

Clearway

Energy

Operating

LLC

,

Senior

Note

,

144A,

3.75 %

,

2/15/31

.........................................

United

States

500,000

468,861

Constellation

Energy

Generation

LLC

,

Senior

Bond

,

6.125 %

,

1/15/34

.........................................

United

States

200,000

216,926

c

Leeward

Renewable

Energy

Operations

LLC

,

Senior

Note

,

144A,

4.25 %

,

7/01/29

...................................

United

States

1,000,000

956,532

c

Talen

Energy

Supply

LLC

,

Senior

Bond

,

144A,

6.5 %

,

2/01/36

.....................

United

States

120,000

124,166

Senior

Note

,

144A,

6.25 %

,

2/01/34

....................

United

States

120,000

122,446

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Independent

#### Power

#### and

#### Renewable

#### Electricity

#### Producers
(continued)

c

Talen

Energy

Supply

LLC,

(continued)

Senior

Secured

Note

,

144A,

8.625 %

,

6/01/30

............

United

States

800,000

$

847,379

3,657,479

#### Insurance

#### 1.6%
c

Alliant

Holdings

Intermediate

LLC

/

Alliant

Holdings

Co-Issuer

,

Senior

Note

,

144A,

7.375 %

,

10/01/32

..................

United

States

100,000

103,812

Senior

Secured

Note

,

144A,

6.75 %

,

4/15/28

.............

United

States

600,000

612,978

Senior

Secured

Note

,

144A,

%

,

1/15/31

................

United

States

200,000

207,633

Arthur

J

Gallagher

&

Co.

,

Senior

Note

,

%

,

2/15/32

..........

United

States

250,000

255,757

c

Asurion

LLC

and

Asurion

Co-Issuer,

Inc.

,

Senior

Secured

Note

,

144A,

%

,

12/31/32

................................

United

States

290,000

301,057

c

Athene

Global

Funding

,

Secured

Note

,

144A,

5.033 %

,

7/17/30

..................

United

States

450,000

453,636

Senior

Secured

Bond

,

144A,

5.543 %

,

8/22/35

............

United

States

150,000

150,577

Brown

&

Brown,

Inc.

,

Senior

Bond

,

5.65 %

,

6/11/34

..........

United

States

800,000

827,531

F&G

Annuities

&

Life,

Inc.

,

Senior

Note

,

6.5 %

,

6/04/29

.......

United

States

200,000

208,642

c

RGA

Global

Funding

,

Secured

Note

,

144A,

5.5 %

,

1/11/31

.....

United

States

700,000

728,604

c

Sammons

Financial

Group,

Inc.

,

Senior

Bond

,

144A,

6.875 %

,

4/15/34

.........................................

United

States

400,000

438,978

4,289,205

#### IT

#### Services

#### 0.6%
c

Cablevision

Lightpath

LLC

,

Senior

Secured

Note

,

144A,

3.875 %

,

9/15/27

.........................................

United

States

900,000

881,781

c

Cogent

Communications

Group

LLC

/

Cogent

Finance,

Inc.

,

Senior

Secured

Note

,

144A,

6.5 %

,

7/01/32

...............

United

States

500,000

468,229

c

Fortress

Intermediate

3,

Inc.

,

Senior

Secured

Note

,

144A,

7.5 %

,

6/01/31

.........................................

United

States

300,000

313,407

1,663,417

#### Leisure

#### Products

#### 0.1%
Brunswick

Corp.

,

Senior

Bond

,

2.4 %

,

8/18/31

..............

United

States

450,000

394,313

#### Machinery

#### 0.6%
c

ATS

Corp.

,

Senior

Note

,

144A,

4.125 %

,

12/15/28

...........

Canada

400,000

391,781

c

ESAB

Corp.

,

Senior

Note

,

144A,

6.25 %

,

4/15/29

............

United

States

300,000

308,840

Hillenbrand,

Inc.

,

Senior

Note

,

6.25 %

,

2/15/29

..............

United

States

300,000

307,081

c

Terex

Corp.

,

Senior

Note

,

144A,

6.25 %

,

10/15/32

...........

United

States

700,000

718,694

1,726,396

#### Media

#### 2.6%
Charter

Communications

Operating

LLC

/

Charter

Communications

Operating

Capital

Corp.

,

Senior

Secured

Bond

,

2.8 %

,

4/01/31

...............................

United

States

1,300,000

1,170,293

c

Clear

Channel

Outdoor

Holdings,

Inc.

,

Senior

Secured

Note

,

144A,

7.875 %

,

4/01/30

............

United

States

100,000

105,740

Senior

Secured

Note

,

144A,

7.5 %

,

3/15/33

..............

United

States

500,000

528,560

c

CSC

Holdings

LLC

,

Senior

Bond

,

144A,

3.375 %

,

2/15/31

.....

United

States

200,000

121,278

c

Directv

Financing

LLC

,

Senior

Secured

Note

,

144A,

8.875 %

,

2/01/30

.........................................

United

States

500,000

506,522

c

Directv

Financing

LLC

/

Directv

Financing

Co-Obligor,

Inc.

,

Senior

Secured

Note

,

144A,

5.875 %

,

8/15/27

..................

United

States

287,000

288,845

c

EW

Scripps

Co.

(The)

,

Secured

Note

,

144A,

9.875 %

,

8/15/30

..

United

States

350,000

349,814

Fox

Corp.

,

Senior

Bond

,

6.5 %

,

10/13/33

..................

United

States

500,000

552,377

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Media
(continued)

c

Gray

Media,

Inc.

,

Secured

Note

,

144A,

9.625 %

,

7/15/32

..................

United

States

185,000

$

192,127

Senior

Secured

Note

,

144A,

7.25 %

,

8/15/33

.............

United

States

220,000

224,934

c

McGraw-Hill

Education,

Inc.

,

Senior

Secured

Note

,

144A,

7.375 %

,

9/01/31

...................................

United

States

400,000

422,329

c

Outfront

Media

Capital

LLC

/

Outfront

Media

Capital

Corp.

,

Senior

Bond

,

144A,

4.625 %

,

3/15/30

.........................

United

States

380,000

371,909

Paramount

Global

,

Senior

Bond

,

4.2 %

,

5/19/32

.............

United

States

800,000

723,115

c

Sinclair

Television

Group,

Inc.

,

Senior

Secured

Note

,

144A,

8.125 %

,

2/15/33

...................................

United

States

500,000

522,560

c

Univision

Communications,

Inc.

,

Senior

Secured

Note

,

144A,

9.375 %

,

8/01/32

...................................

United

States

125,000

134,441

c

VZ

Secured

Financing

BV

,

Senior

Secured

Note

,

144A,

7.5 %

,

1/15/33

.........................................

Netherlands

740,000

750,403

6,965,247

#### Metals

#### &

#### Mining

#### 0.7%
c

Commercial

Metals

Co.

,

Senior

Bond

,

144A,

%

,

12/15/35

.....................

United

States

240,000

246,177

Senior

Note

,

144A,

5.75 %

,

11/15/33

...................

United

States

120,000

122,773

c

Mineral

Resources

Ltd.

,

Senior

Note

,

144A,

%

,

4/01/31

......

Australia

135,000

140,900

c

Novelis

Corp.

,

Senior

Bond

,

144A,

4.75 %

,

1/30/30

....................

United

States

300,000

290,008

Senior

Note

,

144A,

6.375 %

,

8/15/33

...................

United

States

250,000

253,643

c

POSCO

,

Senior

Note

,

144A,

5.625 %

,

1/17/26

..............

South

Korea

850,000

850,465

1,903,966

#### Multi-Utilities

#### 0.6%
Dominion

Energy,

Inc.

,

A

,

Senior

Note

,

4.35 %

,

8/15/32

.......

United

States

1,150,000

1,131,886

DTE

Energy

Co.

,

Senior

Note

,

4.875 %

,

6/01/28

.............

United

States

600,000

610,987

1,742,873

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 5.0%
c

Aker

BP

ASA

,

Senior

Bond

,

144A,

3.1 %

,

7/15/31

............

Norway

900,000

827,129

c

Antero

Resources

Corp.

,

Senior

Note

,

144A,

7.625 %

,

2/01/29

..

United

States

598,000

609,306

c

Calumet

Specialty

Products

Partners

LP

/

Calumet

Finance

Corp.

,

Senior

Secured

Note

,

144A,

9.25 %

,

7/15/29

..............

United

States

400,000

411,136

c

Coronado

Finance

Pty.

Ltd.

,

Senior

Secured

Note

,

144A,

9.25 %

,

10/01/29

........................................

Australia

350,000

324,615

c

Crescent

Energy

Finance

LLC

,

Senior

Note

,

144A,

7.375 %

,

1/15/33

...................

United

States

220,000

208,915

Senior

Note

,

144A,

8.375 %

,

1/15/34

...................

United

States

460,000

457,217

c

DT

Midstream,

Inc.

,

Senior

Bond

,

144A,

4.375 %

,

6/15/31

.....

United

States

700,000

685,536

Eastern

Energy

Gas

Holdings

LLC

,

Senior

Bond

,

5.8 %

,

1/15/35

United

States

1,200,000

1,267,890

c

Energy

Transfer

LP

,

Senior

Note

,

144A,

%

,

2/01/29

.........

United

States

400,000

404,371

c

Harbour

Energy

plc

,

Senior

Note

,

144A,

5.5 %

,

10/15/26

......

United

Kingdom

200,000

198,871

c

Hess

Midstream

Operations

LP

,

Senior

Note

,

144A,

5.875 %

,

3/01/28

...................

United

States

300,000

306,714

Senior

Note

,

144A,

6.5 %

,

6/01/29

.....................

United

States

500,000

518,242

c

Hilcorp

Energy

I

LP

/

Hilcorp

Finance

Co.

,

Senior

Bond

,

144A,

6.25 %

,

4/15/32

...................................

United

States

200,000

188,976

c

KazMunayGas

National

Co.

JSC

,

Senior

Bond

,

Reg

S,

5.375 %

,

4/24/30

.........................................

Kazakhstan

600,000

613,673

c

Kinetik

Holdings

LP

,

Senior

Note

,

144A,

5.875 %

,

6/15/30

......

United

States

800,000

807,656

MPLX

LP

,

Senior

Bond

,

5.4 %

,

4/01/35

....................

United

States

500,000

503,885

c

Pertamina

Hulu

Energi

PT

,

Senior

Note

,

144A,

5.25 %

,

5/21/30

.

Indonesia

200,000

204,067

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels
(continued)

c

Raizen

Fuels

Finance

SA

,

Senior

Note

,

144A,

6.25 %

,

7/08/32

..

Brazil

350,000

$

294,437

Sabine

Pass

Liquefaction

LLC

,

Senior

Secured

Note

,

4.5 %

,

5/15/30

.........................................

United

States

1,600,000

1,607,082

Sunoco

LP

/

Sunoco

Finance

Corp.

,

Senior

Note

,

%

,

4/15/27

..

United

States

500,000

502,520

c

Transcontinental

Gas

Pipe

Line

Co.

LLC

,

Senior

Bond

,

144A,

5.1 %

,

3/15/36

....................................

United

States

165,000

166,186

c

Venture

Global

Calcasieu

Pass

LLC

,

Senior

Secured

Bond

,

144A,

4.125 %

,

8/15/31

............

United

States

300,000

273,201

Senior

Secured

Note

,

144A,

3.875 %

,

8/15/29

............

United

States

300,000

281,457

c

Venture

Global

LNG,

Inc.

,

Senior

Secured

Note

,

144A,

8.375 %

,

6/01/31

.........................................

United

States

700,000

696,504

c

Venture

Global

Plaquemines

LNG

LLC

,

Senior

Secured

Bond

,

144A,

7.75 %

,

5/01/35

.............

United

States

200,000

219,098

Senior

Secured

Bond

,

144A,

6.75 %

,

1/15/36

.............

United

States

60,000

61,485

Senior

Secured

Note

,

144A,

7.5 %

,

5/01/33

..............

United

States

200,000

216,211

Senior

Secured

Note

,

144A,

6.5 %

,

1/15/34

..............

United

States

40,000

40,990

Viper

Energy

Partners

LLC

,

Senior

Bond

,

5.7 %

,

8/01/35

......

United

States

204,000

208,315

c

Western

Midstream

Operating

LP

,

Senior

Note

,

144A,

7.25 %

,

4/01/30

.........................................

United

States

400,000

427,198

13,532,883

#### Passenger

#### Airlines

#### 0.5%
c

American

Airlines,

Inc.

/

AAdvantage

Loyalty

IP

Ltd.

,

Senior

Secured

Note

,

144A,

5.75 %

,

4/20/29

...................

United

States

900,000

917,050

c

OneSky

Flight

LLC

,

Senior

Note

,

144A,

8.875 %

,

12/15/29

.....

United

States

200,000

214,171

c

United

Airlines,

Inc.

,

Senior

Secured

Note

,

144A,

4.375 %

,

4/15/26

United

States

143,097

143,004

1,274,225

#### Personal

#### Care

#### Products

#### 0.2%
c

Opal

Bidco

SAS

,

Senior

Secured

Note

,

144A,

6.5 %

,

3/31/32

...

France

625,000

640,574

#### Pharmaceuticals

#### 1.1%
c

Bayer

US

Finance

II

LLC

,

Senior

Bond

,

144A,

4.375 %

,

12/15/28

Germany

889,000

890,138

c

Endo

Finance

Holdings,

Inc.

,

Senior

Secured

Note

,

144A,

8.5 %

,

4/15/31

.........................................

United

States

400,000

423,277

Merck

&

Co.,

Inc.

,

Senior

Bond

,

4.75 %

,

12/04/35

........................

United

States

130,000

129,565

Senior

Note

,

4.45 %

,

12/04/32

........................

United

States

80,000

80,135

Novartis

Capital

Corp.

,

Senior

Note

,

4.1 %

,

11/05/30

.........

United

States

580,000

579,567

Pfizer

Investment

Enterprises

Pte.

Ltd.

,

Senior

Bond

,

4.75 %

,

5/19/33

.........................................

United

States

345,000

348,763

Royalty

Pharma

plc

,

Senior

Bond

,

5.2 %

,

9/25/35

..........................

United

States

125,000

125,737

Senior

Bond

,

3.3 %

,

9/02/40

..........................

United

States

500,000

387,294

2,964,476

#### Professional

#### Services

#### 0.1%
c

CACI

International,

Inc.

,

Senior

Note

,

144A,

6.375 %

,

6/15/33

..

United

States

225,000

233,084

#### Real

#### Estate

#### Management

#### &

#### Development

#### 0.0%

#### †
c

Forestar

Group,

Inc.

,

Senior

Note

,

144A,

6.5 %

,

3/15/33

.......

United

States

130,000

132,687

#### Residential

#### REITs

#### 0.1%
Essex

Portfolio

LP

,

Senior

Bond

,

5.375 %

,

4/01/35

...........

United

States

300,000

308,782

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 0.7%
c

Foundry

JV

Holdco

LLC

,

Senior

Secured

Bond

,

144A,

6.25 %

,

1/25/35

.........................................

United

States

800,000

$

849,177

Intel

Corp.

,

Senior

Bond

,

4.15 %

,

8/05/32

..................

United

States

835,000

805,375

c

Qnity

Electronics,

Inc.

,

Senior

Note

,

144A,

6.25 %

,

8/15/33

....................

United

States

65,000

67,457

Senior

Secured

Note

,

144A,

5.75 %

,

8/15/32

.............

United

States

115,000

117,725

1,839,734

#### Software

#### 0.7%
c

Gen

Digital,

Inc.

,

Senior

Note

,

144A,

6.25 %

,

4/01/33

.........

United

States

150,000

155,316

c

McAfee

Corp.

,

Senior

Note

,

144A,

7.375 %

,

2/15/30

..........

United

States

800,000

698,514

Oracle

Corp.

,

Senior

Bond

,

4.3 %

,

7/08/34

..........................

United

States

900,000

814,220

Senior

Note

,

4.8 %

,

9/26/32

..........................

United

States

115,000

111,055

1,779,105

#### Specialized

#### REITs

#### 0.6%
American

Tower

Corp.

,

Senior

Note

,

4.7 %

,

12/15/32

.........

United

States

100,000

100,052

c

Iron

Mountain,

Inc.

,

Senior

Note

,

144A,

%

,

2/15/29

.........

United

States

900,000

925,066

c

Millrose

Properties,

Inc.

,

Senior

Note

,

144A,

6.375 %

,

8/01/30

...................

United

States

525,000

537,531

Senior

Note

,

144A,

6.25 %

,

9/15/32

....................

United

States

175,000

176,708

1,739,357

#### Technology

#### Hardware,

#### Storage

#### &

#### Peripherals

#### 0.5%
Dell

International

LLC

/

EMC

Corp.

,

Senior

Bond

,

5.4 %

,

4/15/34

United

States

900,000

926,188

c

Seagate

Data

Storage

Technology

Pte.

Ltd.

,

Senior

Note

,

144A,

5.875 %

,

7/15/30

...................................

United

States

300,000

309,635

1,235,823

#### Textiles,

#### Apparel

#### &

#### Luxury

#### Goods

#### 0.1%
Tapestry,

Inc.

,

Senior

Bond

,

5.5 %

,

3/11/35

.................

United

States

200,000

204,590

c

Under

Armour,

Inc.

,

Senior

Note

,

144A,

7.25 %

,

7/15/30

.......

United

States

115,000

115,399

319,989

#### Tobacco

#### 0.6%
BAT

Capital

Corp.

,

Senior

Bond

,

4.39 %

,

8/15/37

.........................

United

Kingdom

189,000

174,217

Senior

Note

,

4.625 %

,

3/22/33

........................

United

Kingdom

555,000

552,077

Philip

Morris

International,

Inc.

,

Senior

Bond

,

5.375 %

,

2/15/33

..

United

States

800,000

837,047

1,563,341

#### Trading

#### Companies

#### &

#### Distributors

#### 0.6%
c

EquipmentShare.com,

Inc.

,

Secured

Note

,

144A,

8.625 %

,

5/15/32

United

States

400,000

423,009

c

Herc

Holdings,

Inc.

,

Senior

Note

,

144A,

%

,

6/15/30

.........

United

States

200,000

210,605

c

QXO

Building

Products,

Inc.

,

Senior

Secured

Note

,

144A,

6.75 %

,

4/30/32

.........................................

United

States

450,000

470,348

c

WESCO

Distribution,

Inc.

,

Senior

Note

,

144A,

6.375 %

,

3/15/29

.

United

States

500,000

516,959

1,620,921

#### Transportation

#### Infrastructure

#### 0.0%

#### †
c

,f

Rutas

and

Finance

Ltd.

,

Senior

Secured

Bond

,

144A,

.58

%

,

9/30/36

.........................................

United

States

146,667

111,569

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds
(continued)

#### Wireless

#### Telecommunication

#### Services

#### 0.8%
c

Connect

Finco

SARL

/

Connect

US

Finco

LLC

,

Senior

Secured

Note

,

144A,

%

,

9/15/29

............................

United

Kingdom

500,000

$

530,995

b

,f

Digicel

Group

Holdings

Ltd.

,

.335

%

,

11/17/33

................................

Bermuda

29,663

939

.52

%

,

11/17/33

.................................

Bermuda

10,459

1,282

c

Iliad

Holding

SAS

,

Senior

Secured

Note

,

144A,

%

,

10/15/28

...............

France

600,000

607,979

Senior

Secured

Note

,

144A,

%

,

4/15/32

................

France

525,000

541,749

c

Zegona

Finance

plc

,

Senior

Secured

Note

,

144A,

8.625 %

,

7/15/29

.........................................

United

Kingdom

600,000

638,233

2,321,177

#### Total

#### Corporate

#### Bonds

#### (Cost

#### $

#### 135,650,598

####)
...................................

#### 135,590,096
g

#### Senior

#### Floating

#### Rate

#### Interests

#### 2.0%

#### Aerospace

#### &

#### Defense

#### 0.0%

#### †
h

TransDigm,

Inc.,

First

Lien,

CME

Term

Loan,

K

,

5.966 %

,

(1-month

SOFR

+

2.25 %),

3/22/30

............................

United

States

69,825

70,106

#### Air

#### Freight

#### &

#### Logistics

#### 0.0%

#### †
h

Rand

Parent

LLC,

First

Lien,

CME

Term

Loan,

B

,

6.672 %

,

(3-month

SOFR

+

%),

3/18/30

.......................

United

States

50,122

50,334

h

#### Automobile

#### Components

#### 0.1%
i

American

Axle

&

Manufacturing,

Inc.,

First

Lien,

Incremental

CME

Term

Loan,

C

,

7.408 %

,

(12-month

SOFR

+

3.25 %),

2/24/32

..

United

States

33,085

33,153

Clarios

Global

LP,

First

Lien,

Amendment

No.

Dollar

CME

Term

Loan

,

6.466 %

,

(1-month

SOFR

+

2.75 %),

1/28/32

.........

United

States

79,800

80,311

DexKo

Global,

Inc.,

First

Lien,

Closing

Date

Dollar

CME

Term

Loan

,

7.581 %

,

(1-month

SOFR

+

3.75 %),

10/04/28

........

United

States

36,323

36,130

e

First

Brands

Group

LLC,

First

Lien,

2021

CME

Term

Loan

,

PIK,

10.987 %

,

(1-month

SOFR

+

%),

3/30/27

................

United

States

46,438

e

First

Brands

Group

LLC,

First

Lien,

DIP

Roll

Up

CME

Term

Loan,

CME

Term

Loan

,

PIK,

10.843 %

,

(1-month

SOFR

+

%),

6/29/26

United

States

33,308

583

e

First

Brands

Group

LLC,

First

Lien,

USD

Debtor-In-Possession

New

Money

CME

Term

Loan

,

PIK,

5.393 %

,

(1-month

SOFR

+

1.55 %),

6/29/26

...................................

United

States

28,599

5,454

e

First

Brands

Group

LLC,

Second

Lien,

2021

CME

Term

Loan

,

PIK,

14.487 %

,

(1-month

SOFR

+

10.5 %),

3/30/28

.........

United

States

112,946

514

Highline

Aftermarket

Acquisition

LLC,

First

Lien,

2025-1

CME

Term

Loan

,

7.322 %

,

(3-month

SOFR

+

3.5 %),

2/13/30

......

United

States

45,147

45,458

201,853

a

a

a

a

a

a

#### Automobiles

#### 0.0%

#### †
h

American

Trailer

World

Corp.,

First

Lien,

CME

Term

Loan,

B

,

7.566 %

,

(1-month

SOFR

+

3.75 %),

3/03/28

..............

United

States

78,730

70,307

#### Beverages

#### 0.0%

#### †
h

Primo

Brands

Corp.,

First

Lien,

2025

Refinancing

CME

Term

Loan

,

6.252 %

,

(3-month

SOFR

+

2.25 %),

3/31/28

.........

United

States

55,294

55,515

#### Biotechnology

#### 0.0%

#### †
h,i

Genmab

A/S,

First

Lien,

Initial

CME

Term

Loan,

B

,

6.733 %

,

(3-month

SOFR

+

%),

12/13/32

......................

Denmark

14,872

14,960

#### Broadline

#### Retail

#### 0.0%

#### †
h

Peer

Holding

III

BV,

First

Lien,

CME

Term

Loan,

B5B

,

6.172 %

,

(3-month

SOFR

+

2.5 %),

7/01/31

......................

Netherlands

50,726

51,006

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

g

#### Senior

#### Floating

#### Rate

#### Interests
(continued)

h

#### Building

#### Products

#### 0.1%
Chariot

Buyer

LLC,

First

Lien,

Amendment

No.

Incremental

CME

Term

Loan

,

6.466 %

,

(1-month

SOFR

+

2.75 %),

9/08/32

.

United

States

10,183

$

10,216

Cornerstone

Building

Brands,

Inc.,

First

Lien,

CME

Term

Loan,

C

,

8.25 %

,

(1-month

SOFR

+

4.5 %),

5/15/31

................

United

States

121,747

86,947

EMRLD

Borrower

LP,

First

Lien,

Second

Amendment

Incremental

CME

Term

Loan

,

6.122 %

,

(6-month

SOFR

+

2.25 %),

8/04/31

.

United

States

35,061

35,173

Quikrete

Holdings,

Inc.,

First

Lien,

CME

Term

Loan,

B2

,

5.966 %

,

(1-month

SOFR

+

2.25 %),

3/19/29

.....................

United

States

41,987

42,186

Quikrete

Holdings,

Inc.,

First

Lien,

CME

Term

Loan,

B3

,

5.966 %

,

(1-month

SOFR

+

2.25 %),

2/10/32

.....................

United

States

27,379

27,495

Smyrna

Ready

Mix

Concrete

LLC,

First

Lien,

2025

CME

Term

Loan

,

6.916 %

,

(1-month

SOFR

+

%),

3/30/29

............

United

States

7,829

7,888

209,905

a

a

a

a

a

a

h

#### Capital

#### Markets

#### 0.1%
Citadel

Securities

Global

Holdings

LLC,

First

Lien,

2024

CME

Term

Loan

,

5.672 %

,

(3-month

SOFR

+

%),

10/31/31

......

United

States

42,101

42,370

Edelman

Financial

Engines

Center

LLC

(The),

First

Lien,

Initial

CME

Term

Loan

,

6.716 %

,

(1-month

SOFR

+

%),

4/07/28

...

United

States

25,602

25,767

Jane

Street

Group

LLC,

First

Lien,

Extended

CME

Term

Loan

,

5.822 %

,

(3-month

SOFR

+

%),

12/15/31

................

United

States

71,624

71,377

139,514

a

a

a

a

a

a

h

#### Chemicals

#### 0.1%
A-AP

Buyer,

Inc.,

First

Lien,

Initial

CME

Term

Loan

,

6.466 %

,

(1-month

SOFR

+

2.75 %),

9/09/31

.....................

United

States

25,341

25,476

Albaugh

LLC,

First

Lien,

Initial

CME

Term

Loan

,

7.466 %

,

(1-month

SOFR

+

3.75 %),

4/06/29

.....................

United

States

59,283

58,295

INEOS

US

Finance

LLC,

First

Lien,

2030

Dollar

CME

Term

Loan

,

6.966 %

,

(1-month

SOFR

+

3.25 %),

2/18/30

..............

Luxembourg

83,285

67,799

INEOS

US

Petrochem

LLC,

First

Lien,

New

CME

Term

Loan,

B1

,

8.066 %

,

(1-month

SOFR

+

4.25 %),

4/02/29

..............

United

States

41,553

29,502

Nouryon

Finance

BV,

First

Lien,

November

2024

Dollar

CME

Term

Loan,

B2

,

7.162 %

,

(3-month

SOFR

+

3.25 %),

4/03/28

..

Netherlands

51,563

51,676

Paint

Intermediate

III

LLC,

First

Lien,

Initial

CME

Term

Loan,

B

,

6.87 %

,

(3-month

SOFR

+

%),

10/09/31

................

United

States

69,649

70,106

Solstice

Advanced

Materials,

Inc.,

First

Lien,

CME

Term

Loan,

B

,

5.759 %

,

(12-month

SOFR

+

%),

10/29/32

...............

United

States

25,210

25,376

328,230

a

a

a

a

a

a

h

#### Commercial

#### Services

#### &

#### Supplies

#### 0.0%

#### †
Allied

Universal

Holdco

LLC,

First

Lien,

Amendment

No.

Replacement

USD

CME

Term

Loan

,

6.966 %

,

(1-month

SOFR

+

3.25 %),

8/20/32

...................................

United

States

34,430

34,650

Openlane,

Inc.,

First

Lien,

2025

Incremental

CME

Term

Loan

,

6.365 %

,

(3-month

SOFR

+

2.5 %),

10/01/32

..............

United

States

28,000

28,070

Spin

Holdco,

Inc.,

First

Lien,

Initial

CME

Term

Loan

,

8.022 %

,

(3-month

SOFR

+

%),

3/06/28

.......................

United

States

43,807

34,005

96,725

a

a

a

a

a

a

#### Communications

#### Equipment

#### 0.0%

#### †
h

Viavi

Solutions,

Inc.,

First

Lien,

CME

Term

Loan

,

6.394 %

,

(3-month

SOFR

+

2.5 %),

10/18/32

.....................

United

States

24,221

24,403

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

g

#### Senior

#### Floating

#### Rate

#### Interests
(continued)

#### Construction

#### &

#### Engineering

#### 0.0%

#### †
h

Radar

Bidco

SARL,

First

Lien,

CME

Term

Loan,

B3

,

7.185 %

,

(3-month

SOFR

+

3.25 %),

4/04/31

.....................

Luxembourg

41,562

$

41,891

#### Consumer

#### Finance

#### 0.0%

#### †
h

Neon

Maple

US

Debt

Mergersub,

Inc.,

First

Lien,

CME

Term

Loan,

B1

,

6.216 %

,

(1-month

SOFR

+

2.5 %),

11/17/31

......

United

States

71,960

72,137

#### Containers

#### &

#### Packaging

#### 0.1%
h,i

Bradyplus

Holdings

LLC,

First

Lien,

Initial

CME

Term

Loan

,

7.19 %

,

(3-month

SOFR

+

3.5 %),

12/13/32

...............

United

States

100,000

99,104

h

Charter

Next

Generation,

Inc.,

First

Lien,

2024

Replacement

CME

Term

Loan

,

6.5 %

,

(1-month

SOFR

+

2.75 %),

11/29/30

......

United

States

41,561

41,699

i,j

Klockner

Pentaplast

of

America,

Inc.,

First

Lien,

CME

Term

Loan

,

TBD,

11/01/32

....................................

Luxembourg

46,426

41,726

h

Klockner

Pentaplast

of

America,

Inc.,

First

Lien,

USD

CME

Term

Loan,

B

,

9.044 %

,

(6-month

SOFR

+

4.75 %),

2/12/26

.......

Luxembourg

145,593

25,479

h

Owens-Brockway

Glass

Container,

Inc.,

First

Lien,

CME

Term

Loan,

B1

,

6.838 %

,

(3-month

SOFR

+

%),

9/30/32

.........

United

States

34,619

34,960

242,968

a

a

a

a

a

a

#### Distributors

#### 0.0%

#### †
h

Verde

Purchaser

LLC,

First

Lien,

Second

Refinancing

CME

Term

Loan

,

7.672 %

,

(3-month

SOFR

+

%),

11/30/30

...........

United

States

72,138

72,232

h

#### Electric

#### Utilities

#### 0.0%

#### †
Alpha

Generation

LLC,

First

Lien,

Initial

CME

Term

Loan,

B

,

5.716 %

,

(1-month

SOFR

+

%),

9/30/31

................

United

States

63,736

64,018

Astoria

Energy

LLC,

First

Lien,

Advance

CME

Term

Loan,

B

,

6.463 %

,

(1-month

SOFR

+

2.75%;

3-month

SOFR

+

2.75%),

6/16/32

.........................................

United

States

19,970

20,155

84,173

a

a

a

a

a

a

h

#### Electrical

#### Equipment

#### 0.0%

#### †
Indicor

LLC,

First

Lien,

Dollar

CME

Term

Loan,

D

,

6.422 %

,

(3-month

SOFR

+

2.75 %),

11/22/29

....................

United

States

80,547

81,125

Pinnacle

Buyer

LLC,

First

Lien,

Initial

CME

Term

Loan,

B

,

6.485 %

,

(3-month

SOFR

+

2.5 %),

10/01/32

..............

United

States

20,456

20,559

101,684

a

a

a

a

a

a

#### Electronic

#### Equipment,

#### Instruments

#### &

#### Components

#### 0.0%

#### †
h,i

Project

Aurora

US

Finco,

Inc.,

First

Lien,

CME

Term

Loan,

B2

,

6.49 %

,

(3-month

SOFR

+

2.75 %),

9/30/32

...............

United

States

4,154

4,180

#### Energy

#### Equipment

#### &

#### Services

#### 0.0%

#### †
h

Star

Holding

LLC,

First

Lien,

CME

Term

Loan,

B

,

8.216 %

,

(1-month

SOFR

+

4.5 %),

7/18/31

......................

United

States

49,748

49,002

#### Entertainment

#### 0.0%

#### †
h

Playtika

Holding

Corp.,

First

Lien,

CME

Term

Loan,

B1

,

6.581 %

,

(1-month

SOFR

+

2.75 %),

3/13/28

.....................

United

States

43,237

41,879

h

#### Financial

#### Services

#### 0.0%

#### †
First

Eagle

Holdings,

Inc.,

First

Lien,

Initial

CME

Term

Loan

,

7.459 %

,

(1-month

SOFR

+

3.5 %),

8/16/32

...............

United

States

56,472

56,468

Speed

Midco

SARL,

First

Lien,

USD

CME

Term

Loan,

B

,

6.288 %

,

(6-month

SOFR

+

2.5 %),

10/01/32

..............

Luxembourg

20,468

20,577

77,045

a

a

a

a

a

a

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

g

#### Senior

#### Floating

#### Rate

#### Interests
(continued)

h

#### Food

#### Products

#### 0.1%
Aspire

Bakeries

Holdings

LLC,

First

Lien,

Second

Amendment

CME

Term

Loan

,

7.221 %

,

(1-month

SOFR

+

3.5 %),

12/23/30

.

United

States

43,676

$

43,983

Chobani

LLC,

First

Lien,

Closing

Date

CME

Term

Loan

,

5.966 %

,

(1-month

SOFR

+

2.25 %),

10/28/32

....................

United

States

38,170

38,408

Froneri

International

Ltd.,

First

Lien,

CME

Term

Loan,

B4

,

6.447 %

,

(6-month

SOFR

+

2.25 %),

9/30/31

..............

United

Kingdom

116,204

116,290

198,681

a

a

a

a

a

a

h

#### Ground

#### Transportation

#### 0.1%
Aggreko

Holdings,

Inc.,

First

Lien,

2025

Amended

USD

CME

Term

Loan

,

6.868 %

,

(3-month

SOFR

+

%),

5/21/31

.......

United

Kingdom

14,006

14,122

First

Student

Bidco,

Inc.,

First

Lien,

CME

Term

Loan,

B

,

6.172 %

,

(3-month

SOFR

+

2.5 %),

8/15/30

......................

United

States

24,094

24,206

First

Student

Bidco,

Inc.,

First

Lien,

CME

Term

Loan,

C

,

6.172 %

,

(3-month

SOFR

+

2.5 %),

8/15/30

......................

United

States

4,409

4,426

i

Hertz

Corp.

(The),

First

Lien,

Initial

CME

Term

Loan,

B

,

7.331 %

,

(1-month

SOFR

+

3.5 %),

6/30/28

......................

United

States

29,168

24,574

i

Hertz

Corp.

(The),

First

Lien,

Initial

CME

Term

Loan,

C

,

7.331 %

,

(1-month

SOFR

+

3.5 %),

6/30/28

......................

United

States

5,756

4,849

Kenan

Advantage

Group,

Inc.

(The),

First

Lien,

U.S.

CME

Term

Loan,

B4

,

6.966 %

,

(1-month

SOFR

+

3.25 %),

1/25/29

......

United

States

49,747

49,399

WWEX

Uni

Topco

Holdings

LLC,

First

Lien,

Initial

CME

Term

Loan

,

7.672 %

,

(3-month

SOFR

+

%),

7/26/28

............

United

States

59,229

59,573

181,149

a

a

a

a

a

a

#### Health

#### Care

#### Equipment

#### &

#### Supplies

#### 0.0%

#### †
h

Bausch

+

Lomb

Corp.,

First

Lien,

Third

Amendment

CME

Term

Loan

,

7.966 %

,

(1-month

SOFR

+

4.25 %),

1/15/31

.........

United

States

71,364

72,202

h

#### Health

#### Care

#### Providers

#### &

#### Services

#### 0.1%
Charlotte

Buyer,

Inc.,

First

Lien,

Second

Refinancing

CME

Term

Loan

,

8.011 %

,

(1-month

SOFR

+

4.25 %),

2/11/28

..........

United

States

64,797

63,764

Dermatology

Intermediate

Holdings

III,

Inc.,

First

Lien,

Initial

CME

Term

Loan

,

8.09 %

,

(3-month

SOFR

+

4.25 %),

3/26/29

......

United

States

34,820

33,695

Medical

Solutions

Holdings,

Inc.,

First

Lien,

CME

Term

Loan

,

7.44 %

,

(3-month

SOFR

+

3.5 %),

11/01/28

...............

United

States

66,829

15,631

Pacific

Dental

Services,

Inc.,

First

Lien,

CME

Term

Loan

,

6.236 %

,

(1-month

SOFR

+

2.5 %),

3/17/31

......................

United

States

42,050

42,261

Paradigm

Parent

LLC,

First

Lien,

Initial

CME

Term

Loan

,

8.172 %

,

(3-month

SOFR

+

4.5 %),

4/16/32

......................

United

States

34,913

30,838

Phoenix

Guarantor,

Inc.,

First

Lien,

CME

Term

Loan,

B5

,

6.216 %

,

(1-month

SOFR

+

2.5 %),

2/21/31

......................

United

States

49,376

49,673

Surgery

Center

Holdings,

Inc.,

First

Lien,

2025

Refinancing

CME

Term

Loan

,

6.216 %

,

(1-month

SOFR

+

2.5 %),

12/19/30

.....

United

States

6,032

6,063

US

Anesthesia

Partners,

Inc.,

First

Lien,

Initial

CME

Term

Loan

,

7.987 %

,

(1-month

SOFR

+

%),

10/02/28

................

United

States

66,856

67,259

309,184

a

a

a

a

a

a

#### Health

#### Care

#### Technology

#### 0.0%

#### †
h

Cotiviti,

Inc.,

First

Lien,

New

CME

Term

Loan,

B

,

6.623 %

,

(1-month

SOFR

+

2.75 %),

5/01/31

.....................

United

States

34,824

33,547

h

#### Hotels,

#### Restaurants

#### &

#### Leisure

#### 0.2%
Caesars

Entertainment,

Inc.,

First

Lien,

2023

Incremental

CME

Term

Loan,

B

,

5.966 %

,

(1-month

SOFR

+

2.25 %),

2/06/30

...

United

States

42,876

42,651

Dave

&

Buster's,

Inc.,

First

Lien,

2024

Refinancing

CME

Term

Loan,

B

,

7.125 %

,

(3-month

SOFR

+

3.25 %),

6/29/29

.......

United

States

33,645

31,116

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

g

#### Senior

#### Floating

#### Rate

#### Interests
(continued)

h

#### Hotels,

#### Restaurants

#### &

#### Leisure
(continued)

Flynn

Restaurant

Group

LP,

First

Lien,

2025

CME

Term

Loan

,

7.466 %

,

(1-month

SOFR

+

3.75 %),

1/28/32

..............

United

States

63,903

$

64,239

Golden

State

Foods

LLC,

First

Lien,

Initial

CME

Term

Loan

,

8.002 %

,

(3-month

SOFR

+

%),

12/04/31

................

United

States

33,560

33,812

Great

Canadian

Gaming

Corp.,

First

Lien,

CME

Term

Loan,

B

,

8.445 %

,

(3-month

SOFR

+

4.75 %),

11/01/29

.............

Canada

66,658

65,700

Scientific

Games

Holdings

LP,

First

Lien,

2024

Refinancing

Dollar

CME

Term

Loan

,

6.934 %

,

(3-month

SOFR

+

%),

4/04/29

...

United

States

127,893

125,816

Whatabrands

LLC,

First

Lien,

2024-2

Refinancing

CME

Term

Loan.

B

,

6.416 %

,

(1-month

SOFR

+

2.5 %),

8/03/28

........

United

States

77,635

77,927

441,261

a

a

a

a

a

a

h

#### Household

#### Durables

#### 0.1%
AI

Aqua

Merger

Sub,

Inc.,

First

Lien,

2025

Refinancing

CME

Term

Loan,

B

,

6.861 %

,

(1-month

SOFR

+

3%;

3-month

SOFR

+

3%),

7/31/28

.........................................

United

States

59,774

59,973

Bingo

Holdings

I

LLC,

First

Lien,

CME

Term

Loan

,

8.422 %

,

(3-month

SOFR

+

4.75 %),

6/11/32

.....................

United

States

50,000

49,146

Hunter

Douglas,

Inc.,

First

Lien,

CME

Term

Loan,

B1

,

6.672 %

,

(3-month

SOFR

+

%),

1/16/32

.......................

Netherlands

68,650

69,116

178,235

a

a

a

a

a

a

#### Household

#### Products

#### 0.0%

#### †
h,i

Lavender

Dutch

BorrowerCo

BV,

First

Lien,

CME

Term

Loan,

B

,

7.009 %

,

(12-month

SOFR

+

3.25 %),

12/02/32

............

Netherlands

23,830

24,053

h

#### Independent

#### Power

#### and

#### Renewable

#### Electricity

#### Producers

#### 0.0%

#### †
Calpine

Construction

Finance

Co.

LP,

First

Lien,

2025

Refinancing

CME

Term

Loan

,

5.466 %

,

(1-month

SOFR

+

1.75 %),

7/31/30

...................................

United

States

50,000

50,102

Calpine

Corp.,

First

Lien,

2024

CME

Term

Loan

,

5.466 %

,

(1-month

SOFR

+

1.75 %),

1/31/31

.....................

United

States

49,875

49,927

100,029

a

a

a

a

a

a

h

#### Insurance

#### 0.1%
Acrisure

LLC,

First

Lien,

2025

Refinancing

CME

Term

Loan,

B

,

6.966 %

,

(1-month

SOFR

+

3.25 %),

6/21/32

..............

United

States

29,051

29,124

Acrisure

LLC,

First

Lien,

CME

Term

Loan,

B6

,

6.716 %

,

(1-month

SOFR

+

%),

11/06/30

..............................

United

States

29,337

29,351

Asurion

LLC,

First

Lien,

New

CME

Term

Loan,

B10

,

7.816 %

,

(1-month

SOFR

+

%),

8/21/28

.......................

United

States

24,757

24,816

Asurion

LLC,

First

Lien,

New

CME

Term

Loan,

B11

,

8.066 %

,

(1-month

SOFR

+

4.25 %),

8/21/28

.....................

United

States

9,032

9,059

Broadstreet

Partners

Group

LLC,

First

Lien,

2024

CME

Term

Loan,

B

,

6.466 %

,

(1-month

SOFR

+

2.75 %),

6/16/31

.......

United

States

121,139

121,679

Sedgwick

Claims

Management

Services,

Inc.,

First

Lien,

2024

CME

Term

Loan

,

6.216 %

,

(1-month

SOFR

+

2.5 %),

7/31/31

..

United

States

68,649

68,942

282,971

a

a

a

a

a

a

h

#### IT

#### Services

#### 0.1%
Kaseya,

Inc.,

First

Lien,

Initial

CME

Term

Loan

,

6.716 %

,

(1-month

SOFR

+

%),

3/22/32

...............................

United

States

79,391

79,554

MH

Sub

I

LLC

(Micro

Holding

Corp.),

First

Lien,

CME

Term

Loan

,

8.252 %

,

(3-month

SOFR

+

4.25 %),

5/03/28

..............

United

States

15,718

14,661

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

g

#### Senior

#### Floating

#### Rate

#### Interests
(continued)

h

#### IT

#### Services
(continued)

MH

Sub

I

LLC,

First

Lien,

2024

December

New

CME

Term

Loan

,

7.966 %

,

(1-month

SOFR

+

4.25 %),

12/31/31

.............

United

States

10,639

$

9,154

103,369

a

a

a

a

a

a

h

#### Machinery

#### 0.0%

#### †
CPM

Holdings,

Inc.,

First

Lien,

Initial

CME

Term

Loan

,

8.343 %

,

(1-month

SOFR

+

4.5 %),

9/28/28

......................

United

States

53,060

52,883

Tiger

Acquisition

LLC,

First

Lien,

Refinancing

Initial

CME

Term

Loan

,

6.23 %

,

(1-month

SOFR

+

2.5 %),

8/23/32

...........

United

States

11,638

11,689

64,572

a

a

a

a

a

a

h

#### Media

#### 0.1%
i

Advantage

Sales

&

Marketing,

Inc.,

First

Lien,

CME

Term

Loan,

B1

,

8.446 %

,

(3-month

SOFR

+

4.25 %),

10/28/27

..........

United

States

29,910

25,020

Cengage

Learning,

Inc.,

First

Lien,

2024

Refinancing

CME

Term

Loan

,

7.227 %

,

(1-month

SOFR

+

3.5 %),

3/24/31

..........

United

States

52,073

52,348

Wasserman

Media

Group

LLC,

First

Lien,

Initial

CME

Term

Loan

,

6.716 %

,

(1-month

SOFR

+

%),

6/23/32

................

United

States

25,650

25,810

103,178

a

a

a

a

a

a

h

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 0.1%
Delek

US

Holdings,

Inc.,

First

Lien,

CME

Term

Loan,

B

,

7.316 %

,

(1-month

SOFR

+

3.5 %),

11/09/29

.....................

United

States

49,744

49,851

UGI

Energy

Services

LLC,

First

Lien,

Initial

CME

Term

Loan

,

6.216 %

,

(1-month

SOFR

+

2.5 %),

2/22/30

...............

United

States

83,009

83,433

133,284

a

a

a

a

a

a

h

#### Passenger

#### Airlines

#### 0.1%
AAdvantage

Loyalty

IP

Ltd.,

First

Lien,

CME

Term

Loan

,

6.134 %

,

(3-month

SOFR

+

2.25 %),

4/20/28

.....................

United

States

30,619

30,730

American

Airlines,

Inc.,

First

Lien,

Initial

CME

Term

Loan

,

6.258 %

,

(6-month

SOFR

+

2.25 %),

6/04/29

.....................

United

States

63,353

63,522

AS

Mileage

Plan

IP

Ltd.,

First

Lien,

Initial

CME

Term

Loan

,

5.634 %

,

(3-month

SOFR

+

1.75 %),

10/15/31

.............

United

States

67,789

68,212

United

Airlines,

Inc.,

First

Lien,

CME

Term

Loan,

B

,

5.732 %

,

(1-month

SOFR

+

%),

2/24/31

.......................

United

States

43,973

44,234

206,698

a

a

a

a

a

a

#### Pharmaceuticals

#### 0.0%

#### †
h

Southern

Veterinary

Partners

LLC,

First

Lien,

2025

New

CME

Term

Loan

,

6.365 %

,

(3-month

SOFR

+

2.5 %),

12/04/31

.....

United

States

29,925

29,922

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 0.0%

#### †
h

Altar

Bidco,

Inc.,

First

Lien,

CME

Term

Loan

,

6.783 %

,

(12-month

SOFR

+

3.1 %),

2/01/29

.............................

United

States

49,871

49,431

h

#### Software

#### 0.2%
Adeia,

Inc.,

First

Lien,

Initial

CME

Term

Loan,

B6

,

6.216 %

,

(1-month

SOFR

+

2.5 %),

6/08/28

......................

United

States

92,561

92,995

Central

Parent

LLC,

First

Lien,

2024

Refinancing

CME

Term

Loan

,

7.252 %

,

(3-month

SOFR

+

3.25 %),

7/06/29

.........

United

States

59,250

50,380

Clover

Holdings

LLC,

First

Lien,

Initial

CME

Term

Loan

,

7.522 %

,

(1-month

SOFR

+

3.75 %),

12/09/31

....................

United

States

23,634

23,682

ConnectWise

LLC,

First

Lien,

Initial

CME

Term

Loan

,

7.763 %

,

(3-month

SOFR

+

3.5 %),

9/29/28

......................

United

States

44,755

44,056

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

g

#### Senior

#### Floating

#### Rate

#### Interests
(continued)

h

#### Software
(continued)

i

Dawn

Bidco

LLC,

First

Lien,

CME

Term

Loan

,

7.259 %

,

(12-month

SOFR

+

3.5 %),

8/20/32

.............................

United

States

70,000

$

69,875

KnowBe4,

Inc.,

First

Lien,

CME

Term

Loan

,

7.59 %

,

(3-month

SOFR

+

3.75 %),

7/23/32

............................

United

States

31,250

31,309

McAfee

Corp.,

First

Lien,

CME

Term

Loan,

B1

,

6.716 %

,

(1-month

SOFR

+

%),

3/01/29

...............................

United

States

66,238

61,345

Ping

Identity

Holding

Corp.,

First

Lien,

Initial

CME

Term

Loan

,

6.591 %

,

(3-month

SOFR

+

2.75 %),

11/15/32

.............

United

States

16,588

16,650

390,292

a

a

a

a

a

a

h

#### Specialty

#### Retail

#### 0.2%
Evergreen

Acqco

LP,

First

Lien,

Initial

CME

Term

Loan

,

6.701 %

,

(3-month

SOFR

+

%),

9/17/32

.......................

United

States

42,749

43,011

b,e

GNC

Holdings,

Inc.,

Second

Lien,

CME

Term

Loan

,

PIK,

10.016 %

,

(1-month

SOFR

+

%),

10/07/26

...............

United

States

316,647

237,485

Great

Outdoors

Group

LLC,

First

Lien,

CME

Term

Loan,

B

,

6.966 %

,

(1-month

SOFR

+

3.25 %),

1/23/32

..............

United

States

46,114

46,442

RealTruck

Group,

Inc.,

First

Lien,

Initial

CME

Term

Loan

,

7.581 %

,

(1-month

SOFR

+

3.75 %),

1/31/28

.....................

United

States

64,392

49,904

White

Cap

Supply

Holdings

LLC,

First

Lien,

CME

Term

Loan,

C

,

6.966 %

,

(1-month

SOFR

+

3.25 %),

10/19/29

.............

United

States

79,508

79,922

456,764

a

a

a

a

a

a

#### Textiles,

#### Apparel

#### &

#### Luxury

#### Goods

#### 0.0%

#### †
h

Flash

Charm,

Inc.,

First

Lien,

CME

Term

Loan,

B2

,

7.354 %

,

(3-month

SOFR

+

3.5 %),

3/02/28

......................

United

States

59,282

55,470

#### Trading

#### Companies

#### &

#### Distributors

#### 0.0%

#### †
h

DXP

Enterprises,

Inc.,

First

Lien,

Initial

CME

Term

Loan

,

7.166 %

,

(1-month

SOFR

+

3.25 %),

10/11/30

....................

United

States

24,938

25,187

#### Water

#### Utilities

#### 0.0%

#### †
h

Deep

Blue

Operating

I

LLC,

First

Lien,

Initial

CME

Term

Loan

,

6.593 %

,

(1-month

SOFR

+

2.75 %),

10/01/32

.............

United

States

13,922

13,989

#### Total

#### Senior

#### Floating

#### Rate

#### Interests

#### (Cost

#### $

#### 6,056,812

####)
.........................

#### 5,553,517
k

#### Marketplace

#### Loans

#### 0.2%
b

#### Financial

#### Services

#### 0.2%
a

a

a

a

a

a

#### Total

#### Marketplace

#### Loans

#### (Cost

#### $

#### 554,109

####)
.....................................

#### 495,644

#### Foreign

#### Government

#### and

#### Agency

#### Securities

#### 7.1%
c

Armenia

Government

Bond

,

Senior

Bond

,

Reg

S,

3.6 %

,

2/02/31

Armenia

600,000

547,240

c

Benin

Government

Bond

,

Senior

Bond

,

Reg

S,

4.95 %

,

1/22/35

.

Benin

600,000

EUR

656,934

Brazil

Government

Bond

,

Senior

Bond

,

3.875 %

,

6/12/30

........................

Brazil

1,100,000

1,052,370

Senior

Bond

,

%

,

10/20/33

...........................

Brazil

230,000

232,990

c

Bulgaria

Government

Bond

,

Senior

Bond

,

Reg

S,

%

,

3/05/37

......................

Bulgaria

160,000

159,886

Senior

Note

,

Reg

S,

3.625 %

,

9/05/32

...................

Bulgaria

190,000

EUR

230,150

c

Cameroon

Government

Bond

,

Senior

Bond

,

Reg

S,

5.95 %

,

7/07/32

.........................................

Cameroon

240,000

EUR

239,051

Chile

Government

Bond

,

Senior

Bond

,

5.65 %

,

1/13/37

.......

Chile

600,000

635,160

Colombia

Government

Bond

,

Senior

Bond

,

%

,

11/14/35

...........................

Colombia

523,000

558,564

Senior

Note

,

7.375 %

,

4/25/30

.........................

Colombia

200,000

211,700

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Foreign

#### Government

#### and

#### Agency

#### Securities
(continued)

Colombia

Government

Bond,

(continued)

Senior

Note

,

4.5 %

,

11/26/30

..........................

Colombia

200,000

EUR

$

230,798

c

Costa

Rica

Government

Bond

,

Senior

Bond

,

Reg

S,

6.125 %

,

2/19/31

.........................................

Costa

Rica

660,000

697,125

c

Dominican

Republic

Government

Bond

,

Senior

Bond

,

Reg

S,

%

,

7/19/28

.........................................

Dominican

Republic

910,000

933,342

c

Eagle

Funding

Luxco

SARL

,

Senior

Note

,

144A,

5.5 %

,

8/17/30

.

Mexico

350,000

356,944

Ecopetrol

SA

,

Senior

Bond

,

4.625 %

,

11/02/31

..............

Colombia

250,000

224,269

c

Egypt

Government

Bond

,

Senior

Note

,

144A,

8.625 %

,

2/04/30

.

Egypt

690,000

767,626

c

Electricite

de

France

SA

,

Senior

Note

,

144A,

5.7 %

,

5/23/28

....

France

200,000

206,716

c

Gabon

Government

Bond

,

Senior

Bond

,

144A,

6.625 %

,

2/06/31

Gabon

260,000

202,348

c

Ghana

Government

Bond

,

Senior

Bond

,

144A,

%

,

7/03/35

....

Ghana

200,000

183,471

c

Guatemala

Government

Bond

,

Senior

Note

,

144A,

7.05 %

,

10/04/32

........................................

Guatemala

850,000

935,106

c

Hungary

Government

Bond

,

Senior

Note

,

Reg

S,

5.25 %

,

6/16/29

Hungary

600,000

612,864

c

Indonesia

Government

Bond

,

Senior

Bond

,

Reg

S,

4.35 %

,

1/08/27

.........................................

Indonesia

480,000

481,904

c

Iraq

Government

Bond

,

Senior

Bond

,

Reg

S,

5.8 %

,

1/15/28

....

Iraq

350,000

348,943

c

Istanbul

Metropolitan

Municipality

,

Senior

Note

,

Reg

S,

10.5 %

,

12/06/28

........................................

Turkiye

210,000

230,835

c

Ivory

Coast

Government

Bond

,

Senior

Bond

,

Reg

S,

4.875 %

,

1/30/32

.........................................

Ivory

Coast

570,000

EUR

651,158

c

Jordan

Government

Bond

,

Senior

Note

,

144A,

7.5 %

,

1/13/29

..

Jordan

200,000

210,607

c

Montenegro

Government

Bond

,

Senior

Note

,

144A,

4.875 %

,

4/01/32

.........................................

Montenegro

320,000

EUR

380,781

c

Nigeria

Government

Bond

,

Senior

Bond

,

144A,

8.631 %

,

1/13/36

Nigeria

200,000

215,043

Panama

Government

Bond

,

Senior

Note

,

7.5 %

,

3/01/31

......

Panama

420,000

466,662

c

Paraguay

Government

Bond

,

Senior

Bond

,

Reg

S,

4.95 %

,

4/28/31

.........................................

Paraguay

690,000

701,557

Peru

Government

Bond

,

Senior

Bond

,

2.783 %

,

1/23/31

.......

Peru

520,000

481,156

Petroleos

Mexicanos

,

Senior

Note

,

%

,

2/07/33

............

Mexico

305,000

353,625

Philippines

Government

Bond

,

Senior

Bond

,

5.5 %

,

2/04/35

....

Philippines

400,000

424,062

c

Power

Finance

Corp.

Ltd.

,

Senior

Bond

,

Reg

S,

3.95 %

,

4/23/30

.

India

600,000

585,290

c

Romania

Government

Bond

,

Senior

Bond

,

Reg

S,

5.625 %

,

2/22/36

..................

Romania

500,000

EUR

582,342

Senior

Note

,

144A,

%

,

2/27/27

.......................

Romania

710,000

699,455

c

Serbia

Government

Bond

,

Senior

Bond

,

Reg

S,

6.5 %

,

9/26/33

....................

Serbia

210,000

225,195

Senior

Note

,

Reg

S,

6.25 %

,

5/26/28

....................

Serbia

220,000

228,457

South

Africa

Government

Bond

,

Senior

Bond

,

5.875 %

,

4/20/32

.

South

Africa

600,000

619,304

c

Southern

Gas

Corridor

CJSC

,

Senior

Bond

,

Reg

S,

6.875 %

,

3/24/26

.........................................

Azerbaijan

450,000

453,896

Turkiye

Government

Bond

,

Senior

Note

,

9.125 %

,

7/13/30

.....

Turkiye

620,000

710,363

c

Uzbekistan

Government

Bond

,

Senior

Note

,

Reg

S,

6.9 %

,

2/28/32

.........................................

Uzbekistan

400,000

431,329

#### Total

#### Foreign

#### Government

#### and

#### Agency

#### Securities

#### (Cost

#### $

#### 18,466,588

####)
............

#### 19,356,618

#### U.S.

#### Government

#### and

#### Agency

#### Securities

#### 15.2%
FFCB

,

2.1 %,

2/25/36

.................................

United

States

805,000

648,877

U.S.

Treasury

Bonds

,

4.625 %,

11/15/55

..................

United

States

950,000

915,414

U.S.

Treasury

Notes

,

3.875 %,

1/15/26

..................................

United

States

3,050,000

3,050,152

%,

2/15/26

.....................................

United

States

11,200,000

11,203,601

3.625 %,

5/15/26

..................................

United

States

400,000

400,145

2.25 %,

2/15/27

...................................

United

States

1,400,000

1,380,832

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### U.S.

#### Government

#### and

#### Agency

#### Securities
(continued)

U.S.

Treasury

Notes,

(continued)

2.75 %,

7/31/27

...................................

United

States

3,850,000

$

3,807,063

3.875 %,

11/30/27

.................................

United

States

4,000,000

4,028,906

2.875 %,

5/15/28

..................................

United

States

2,500,000

2,464,746

3.125 %,

11/15/28

.................................

United

States

2,900,000

2,867,998

2.625 %,

2/15/29

..................................

United

States

1,000,000

972,480

3.5 %,

1/31/30

....................................

United

States

1,750,000

1,740,225

4.125 %,

8/31/30

..................................

United

States

2,600,000

2,646,211

2.875 %,

5/15/32

..................................

United

States

1,300,000

1,225,986

2.75 %,

8/15/32

...................................

United

States

500,000

466,162

4.125 %,

11/15/32

.................................

United

States

3,500,000

3,540,469

#### Total

#### U.S.

#### Government

#### and

#### Agency

#### Securities

#### (Cost

#### $

#### 40,902,916

####)
...............

#### 41,359,267

#### Asset-Backed

#### Securities

#### 2.9%

#### Financial

#### Services

#### 2.9%
c

,h

BRAVO

Residential

Funding

Trust

,

2025-HE1

,

A1

,

144A,

FRN

,

5.224 %

,

(30-day

SOFR

Average

+

1.35 %),

9/25/72

.

........

United

States

318,173

318,183

c

Compass

Datacenters

Issuer

II

LLC

,

2025-2A

,

A1

,

144A,

4.926 %

,

11/25/50

.

........................................

United

States

667,000

666,657

c

,h

Dryden

CLO

Ltd.

,

2019-75A

,

AR3

,

144A,

FRN

,

4.913 %

,

(3-month

SOFR

+

1.04 %),

4/14/34

.

....................

United

States

1,400,000

1,399,808

c

FIGRE

Trust

,

2025-FL1

,

A1

,

144A,

5.265 %

,

7/25/55

..................

United

States

233,952

234,870

l

2025-HE4

,

A

,

144A,

FRN

,

5.408 %

,

7/25/55

..............

United

States

561,332

566,010

l

2025-HE5

,

A

,

144A,

FRN

,

5.285 %

,

8/25/55

..............

United

States

166,171

166,939

c

GS

Mortgage-Backed

Securities

Trust

,

2025-CES2

,

A1

,

144A,

5.18 %

,

9/25/55

..................

United

States

253,677

254,495

h

2025-HE1

,

A1

,

144A,

FRN

,

5.424 %

,

(30-day

SOFR

Average

+

1.55 %),

10/25/55

..................................

United

States

276,014

276,875

c

Home

Partners

of

America

Trust

,

2021-2

,

B

,

144A,

2.302 %

,

12/17/26

....................

United

States

1,218,559

1,194,111

2021-3

,

B

,

144A,

2.649 %

,

1/17/41

.....................

United

States

431,277

406,669

c

,l

J.P.

Morgan

Mortgage

Trust

,

2025-CES2

,

A1

,

144A,

FRN

,

5.592 %

,

6/25/55

.

..................................

United

States

240,260

242,317

c

,h

LCM

XVII

LP

,

17A

,

BRR

,

144A,

FRN

,

5.766 %

,

(3-month

SOFR

+

1.862 %),

10/15/31

.

.................................

United

States

350,000

351,010

c

,h

Octagon

Investment

Partners

Ltd.

,

2018-1A

,

A1

,

144A,

FRN

,

5.136 %

,

(3-month

SOFR

+

1.232 %),

4/15/31

.

.............

United

States

84,469

84,511

c

PK

Alift

Loan

Funding

LP

,

2025-2

,

A

,

144A,

4.75 %

,

3/15/43

.

..

United

States

244,196

245,048

c

Towd

Point

Mortgage

Trust

,

2024-CES6

,

A1

,

144A,

5.725 %

,

11/25/64

................

United

States

480,219

485,038

h

2025-HE1

,

A1A

,

144A,

FRN

,

5.224 %

,

(30-day

SOFR

Average

+

1.35 %),

7/25/65

...................................

United

States

200,429

200,728

c

,h

Voya

CLO

Ltd.

,

2013-2A

,

BR

,

144A,

FRN

,

5.97 %

,

(3-month

SOFR

+

2.112 %),

4/25/31

.

...........................

United

States

780,000

785,410

7,878,679

a

a

a

a

a

a

#### Passenger

#### Airlines

#### 0.0%

#### †
United

Airlines

Pass-Through

Trust

,

2020-1

,

B

,

4.875 %

,

7/15/27

.

United

States

22,913

22,914

#### Total

#### Asset-Backed

#### Securities

#### (Cost

#### $

#### 7,931,208

####)
..............................

#### 7,901,593

#### Commercial

#### Mortgage-Backed

#### Securities

#### 5.1%

#### Financial

#### Services

#### 5.1%
l

Banc

of

America

Commercial

Mortgage

Trust

,

2015-UBS7

,

B

,

FRN

,

4.197 %

,

9/15/48

..............................

United

States

695,000

671,867

l

,m

BANK

,

2020-BN26

,

XA

,

IO,

FRN

,

1.19 %

,

3/15/63

...........

United

States

2,914,170

107,257

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Commercial

#### Mortgage-Backed

#### Securities
(continued)

#### Financial

#### Services
(continued)

l

,m

BANK5

Trust

,

c

2025-5YR13

,

XA

,

IO,

144A,

FRN

,

1.062 %

,

1/15/58

.........

United

States

5,494,476

$

215,457

2025-5YR14

,

XA

,

IO,

FRN

,

0.983 %

,

4/15/58

.............

United

States

4,483,945

169,573

l

,m

BBCMS

Mortgage

Trust

,

2024-5C25

,

XA

,

IO,

FRN

,

1.193 %

,

3/15/57

...............

United

States

4,999,086

168,568

2024-5C31

,

XA

,

IO,

FRN

,

1.061 %

,

12/15/57

..............

United

States

4,213,109

156,094

2025-5C33

,

XA

,

IO,

FRN

,

0.817 %

,

3/15/58

...............

United

States

6,007,182

180,114

l

,m

Benchmark

Mortgage

Trust

,

2020-B17

,

XA

,

IO,

FRN

,

1.372 %

,

3/15/53

................

United

States

7,387,656

293,161

2020-B20

,

XA

,

IO,

FRN

,

1.523 %

,

10/15/53

...............

United

States

4,125,213

201,927

2020-B22

,

XA

,

IO,

FRN

,

1.49 %

,

1/15/54

.................

United

States

2,890,286

172,854

2024-V12

,

XA

,

IO,

FRN

,

0.847 %

,

12/15/57

...............

United

States

5,599,607

176,064

2025-V13

,

XA

,

IO,

FRN

,

0.914 %

,

2/15/58

................

United

States

5,224,000

164,630

2025-V14

,

XA

,

IO,

FRN

,

0.768 %

,

4/15/57

................

United

States

6,944,723

202,154

c

,l

BFLD

Commercial

Mortgage

Trust

,

2025-5MW

,

A

,

144A,

FRN

,

4.674 %

,

10/10/42

..................................

United

States

411,000

411,428

l

,m

BMO

Mortgage

Trust

,

2024-5C8

,

XA

,

IO,

FRN

,

1.021 %

,

12/15/57

...............

United

States

5,157,551

190,650

2025-5C9

,

XA

,

IO,

FRN

,

0.707 %

,

4/15/58

................

United

States

6,417,776

175,076

c

,h

BX

Commercial

Mortgage

Trust

,

2022-LP2

,

A

,

144A,

FRN

,

4.763 %

,

(1-month

SOFR

+

1.013 %),

2/15/39

.............

United

States

140,479

140,340

c

BX

Trust

,

l

2025-ARIA

,

C

,

144A,

FRN

,

5.517 %

,

12/13/42

.............

United

States

410,000

413,542

h

2025-VOLT

,

A

,

144A,

FRN

,

5.45 %

,

(1-month

SOFR

+

1.7 %),

12/15/44

........................................

United

States

175,000

175,427

CFCRE

Commercial

Mortgage

Trust

,

2016-C6

,

B

,

3.804 %

,

11/10/49

........................

United

States

437,000

415,600

2016-C7

,

A3

,

3.839 %

,

12/10/54

.......................

United

States

280,000

278,247

Citigroup

Commercial

Mortgage

Trust

,

l

2014-GC21

,

C

,

FRN

,

4.78 %

,

5/10/47

...................

United

States

43,940

43,002

l

2015-GC33

,

C

,

FRN

,

4.335 %

,

9/10/58

..................

United

States

127,000

111,163

2016-P4

,

A2

,

2.45 %

,

7/10/49

.........................

United

States

180,288

179,897

l

COMM

Mortgage

Trust

,

c

2014-LC15

,

D

,

144A,

FRN

,

4.762 %

,

4/10/47

.............

United

States

139,984

137,743

2015-CR26

,

B

,

FRN

,

4.613 %

,

10/10/48

.................

United

States

219,584

216,922

l

CSAIL

Commercial

Mortgage

Trust

,

2015-C1

,

B

,

FRN

,

3.833 %

,

4/15/50

....................

United

States

344,379

329,802

m

2019-C17

,

XA

,

IO,

FRN

,

1.309 %

,

9/15/52

................

United

States

11,651,757

422,535

m

2021-C20

,

XA

,

IO,

FRN

,

0.988 %

,

3/15/54

................

United

States

4,318,017

163,377

GS

Mortgage

Securities

Trust

,

c,l

2013-GC13

,

AS

,

144A,

FRN

,

3.859 %

,

7/10/46

............

United

States

107,441

106,144

l

2014-GC24

,

B

,

FRN

,

4.43 %

,

9/10/47

...................

United

States

428,000

413,146

2016-GS2

,

A4

,

3.05 %

,

5/10/49

........................

United

States

130,000

129,595

J.P.

Morgan

Chase

Commercial

Mortgage

Securities

Trust

,

2016-JP2

,

AS

,

3.056 %

,

8/15/49

.......................

United

States

420,000

409,997

2016-JP3

,

AS

,

3.144 %

,

8/15/49

.......................

United

States

429,000

419,821

JPMBB

Commercial

Mortgage

Securities

Trust

,

2016-C1

,

A5

,

3.576 %

,

3/17/49

...................................

United

States

127,719

127,486

JPMDB

Commercial

Mortgage

Securities

Trust

,

2017-C5

,

A4

,

3.414 %

,

3/15/50

...................................

United

States

247,465

244,954

Morgan

Stanley

Bank

of

America

Merrill

Lynch

Trust

,

l

2013-C10

,

B

,

FRN

,

3.952 %

,

7/15/46

...................

United

States

359,420

343,274

l

2013-C10

,

C

,

FRN

,

3.952 %

,

7/15/46

...................

United

States

777,000

722,724

l

2013-C9

,

B

,

FRN

,

3.708 %

,

5/15/46

....................

United

States

669,846

652,742

l

2013-C9

,

C

,

FRN

,

3.707 %

,

5/15/46

....................

United

States

459,000

430,155

l

2015-C22

,

C

,

FRN

,

3.972 %

,

4/15/48

...................

United

States

678,000

600,779

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Commercial

#### Mortgage-Backed

#### Securities
(continued)

#### Financial

#### Services
(continued)

Morgan

Stanley

Bank

of

America

Merrill

Lynch

Trust,

(continued)

l

2015-C25

,

C

,

FRN

,

4.374 %

,

10/15/48

..................

United

States

276,284

$

275,626

2015-C27

,

AS

,

4.068 %

,

12/15/47

......................

United

States

18,005

17,875

l

2015-C27

,

B

,

FRN

,

4.363 %

,

12/15/47

...................

United

States

559,000

552,222

l

2016-C32

,

AS

,

FRN

,

3.994 %

,

12/15/49

.................

United

States

231,000

228,681

l,m

2025-5C1

,

XA

,

IO,

FRN

,

1.156 %

,

3/15/58

................

United

States

4,396,567

186,780

l

,m

Morgan

Stanley

Capital

I

Trust

,

2021-L5

,

XA

,

IO,

FRN

,

1.261 %

,

5/15/54

.........................................

United

States

3,268,066

143,044

l

Wells

Fargo

Commercial

Mortgage

Trust

,

2016-C32

,

B

,

FRN

,

4.684 %

,

1/15/59

...................

United

States

121,000

118,906

m

2019-C49

,

XA

,

IO,

FRN

,

1.232 %

,

3/15/52

................

United

States

8,121,397

232,273

m

2025-5C3

,

XA

,

IO,

FRN

,

0.814 %

,

1/15/58

................

United

States

4,621,953

138,942

l

WFRBS

Commercial

Mortgage

Trust

,

2014-C21

,

B

,

FRN

,

4.213 %

,

8/15/47

...................

United

States

364,643

356,986

2014-C23

,

B

,

FRN

,

4.279 %

,

10/15/57

...................

United

States

215,000

208,511

13,745,134

a

a

a

a

a

a

#### Total

#### Commercial

#### Mortgage-Backed

#### Securities

#### (Cost

#### $

#### 13,583,433

####)
..............

#### 13,745,134

#### Mortgage-Backed

#### Securities

#### 18.9%
n

#### Federal

#### Home

#### Loan

#### Mortgage

#### Corp.
(FHLMC)

#### Adjustable

#### Rate

#### 0.0%

#### †
FHLMC

,

6.473 %,

(1-year

CMT

T-Note

+/-

MBS

Margin),

1/01/33

United

States

3,405

3,479

#### Federal

#### Home

#### Loan

#### Mortgage

#### Corp.
(FHLMC)

#### Fixed

#### Rate

#### 2.7%
FHLMC

Gold

Pool,

Year

,

%,

4/01/34

-

8/01/35

...........

United

States

50,656

51,933

FHLMC

Gold

Pool,

Year

,

5.5 %,

6/01/33

-

1/01/35

.........

United

States

27,286

27,803

FHLMC

Gold

Pool,

Year

,

%,

4/01/33

-

2/01/36

...........

United

States

33,277

34,355

FHLMC

Gold

Pool,

Year

,

6.5 %,

11/01/27

-

7/01/32

........

United

States

2,218

2,313

FHLMC

Gold

Pool,

Year

,

%,

4/01/30

..................

United

States

FHLMC

Gold

Pool,

Year

,

7.5 %,

8/01/30

................

United

States

FHLMC

Pool,

Year

,

%,

3/01/52

......................

United

States

1,598,950

1,297,679

FHLMC

Pool,

Year

,

%,

6/01/52

......................

United

States

2,199,517

2,100,323

FHLMC

Pool,

Year

,

4.5 %,

8/01/52

.....................

United

States

1,418,636

1,392,220

FHLMC

Pool,

Year

,

5.5 %,

11/01/52

....................

United

States

2,346,461

2,392,732

7,299,806

n

#### Federal

#### National

#### Mortgage

#### Association
(FNMA)

#### Adjustable

#### Rate

#### 0.0%

#### †
FNMA

,

6.05 %,

(1-year

CMT

T-Note

+/-

MBS

Margin),

12/01/34

.

United

States

14,445

14,872

#### Federal

#### National

#### Mortgage

#### Association
(FNMA)

#### Fixed

#### Rate

#### 14.6%
FNMA,

Year

,

%,

4/01/30

...........................

United

States

6,384

6,475

FNMA,

Year

,

%,

9/01/48

-

9/01/51

....................

United

States

1,474,189

1,325,012

FNMA,

Year

,

%,

2/01/49

...........................

United

States

451,938

439,272

FNMA,

Year

,

4.5 %,

5/01/48

.........................

United

States

924,798

919,029

FNMA,

Year

,

%,

8/01/53

...........................

United

States

2,013,453

2,072,411

FNMA,

Year

,

6.5 %,

5/01/31

-

10/01/37

.................

United

States

26,128

27,441

o

Uniform

Mortgage-Backed

Securities

,

2.5 %

,

TBA,

1/25/56

.....

United

States

1,660,000

1,403,608

o

Uniform

Mortgage-Backed

Securities

,

%

,

TBA,

1/25/56

......

United

States

3,160,000

3,151,853

o

Uniform

Mortgage-Backed

Securities

,

5.5 %

,

TBA,

1/25/56

.....

United

States

28,000,000

28,395,888

o

Uniform

Mortgage-Backed

Securities

,

%

,

TBA,

1/25/56

......

United

States

2,000,000

2,053,767

39,794,756

#### Government

#### National

#### Mortgage

#### Association
(GNMA)

#### Fixed

#### Rate

#### 1.6%
GNMA

I,

Single-family,

Year

,

%,

11/15/33

-

7/15/34

.......

United

States

48,004

48,445

GNMA

I,

Single-family,

Year

,

%,

10/15/28

-

2/15/29

.......

United

States

4,920

5,038

GNMA

I,

Single-family,

Year

,

7.5 %,

9/15/30

..............

United

States

GNMA

II,

Year

,

6.5 %,

2/20/34

........................

United

States

615

611

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Mortgage-Backed

#### Securities
(continued)

#### Government

#### National

#### Mortgage

#### Association
(GNMA)

#### Fixed

#### Rate
(continued)

o

GNMA

II,

Single-family,

Year

,

3.5 %,

1/15/56

.............

United

States

1,330,000

$

1,210,559

GNMA

II,

Single-family,

Year

,

%,

9/20/33

-

11/20/33

.......

United

States

12,996

13,223

o

GNMA

II,

Single-family,

Year

,

5.5 %,

1/15/56

.............

United

States

1,550,000

1,565,272

GNMA

II,

Single-family,

Year

,

%,

11/20/34

..............

United

States

20,765

21,956

o

GNMA

II,

Single-family,

Year

,

%,

1/15/56

...............

United

States

1,520,000

1,549,153

GNMA

II,

Single-family,

Year

,

6.5 %,

4/20/31

-

1/20/33

......

United

States

7,272

7,558

GNMA

II,

Single-family,

Year

,

7.5 %,

1/20/28

-

4/20/32

......

United

States

1,772

1,812

4,424,002

#### Total

#### Mortgage-Backed

#### Securities

#### (Cost

#### $

#### 51,585,289

####)
..........................

#### 51,536,915

#### Residential

#### Mortgage-Backed

#### Securities

#### 2.7%

#### Financial

#### Services

#### 2.7%
c

A&D

Mortgage

Trust

,

2023-NQM2

,

A1

,

144A,

6.132 %

,

5/25/68

.

United

States

166,844

167,040

c

,h

Bellemeade

Re

Ltd.

,

2021-3A

,

B1

,

144A,

FRN

,

7.724 %

,

(30-day

SOFR

Average

+

3.85 %),

9/25/31

.....................

United

States

430,000

444,974

c

BRAVO

Residential

Funding

Trust

,

l

2019-2

,

A3

,

144A,

FRN

,

3.5 %

,

10/25/44

.................

United

States

177,149

170,673

2024-NQM1

,

A1

,

144A,

5.943 %

,

12/01/63

...............

United

States

288,684

290,856

2024-NQM5

,

A1

,

144A,

5.803 %

,

6/25/64

................

United

States

1,157,365

1,168,091

c

,h

Chase

Home

Lending

Mortgage

Trust

,

2025-7

,

A11

,

144A,

FRN

,

5.274 %

,

(30-day

SOFR

Average

+

1.4 %),

5/25/56

.........

United

States

196,958

197,702

c

,l

CIM

Trust

,

2019-INV1

,

A1

,

144A,

FRN

,

%

,

2/25/49

................

United

States

36,426

34,947

2019-INV2

,

A3

,

144A,

FRN

,

%

,

5/25/49

................

United

States

124,990

118,395

c

COLT

Mortgage

Loan

Trust

,

2024-2

,

A1

,

144A,

6.125 %

,

4/25/69

....................

United

States

257,465

260,108

2024-3

,

A1

,

144A,

6.393 %

,

6/25/69

....................

United

States

513,178

520,335

c

Cross

Mortgage

Trust

,

2024-H1

,

A1

,

144A,

6.085 %

,

12/25/68

..................

United

States

219,095

220,988

2024-H5

,

A1

,

144A,

5.854 %

,

8/26/69

...................

United

States

415,466

419,722

c

,h

FHLMC

STACR

REMIC

Trust

,

2025-DNA3

,

M1

,

144A,

FRN

,

4.974 %

,

(30-day

SOFR

Average

+

1.1 %),

9/25/45

.........

United

States

210,325

210,780

c

,h

FHLMC

STACR

Trust

,

2019-DNA3

,

B1

,

144A,

FRN

,

7.239 %

,

(30-

day

SOFR

Average

+

3.364 %),

7/25/49

.................

United

States

327,000

341,522

h

FNMA

Connecticut

Avenue

Securities

Trust

,

2016-C01

,

1M2

,

FRN

,

10.739 %

,

(30-day

SOFR

Average

+

6.864 %),

8/25/28

..

United

States

22,797

23,005

c

,l

J.P.

Morgan

Mortgage

Trust

,

2021-15

,

A4

,

144A,

FRN

,

2.5 %

,

6/25/52

.........................................

United

States

324,577

292,386

c

,l

Mill

City

Mortgage

Loan

Trust

,

2018-4

,

A1B

,

144A,

FRN

,

3.5 %

,

4/25/66

.........................................

United

States

307,900

303,737

c

Morgan

Stanley

Residential

Mortgage

Loan

Trust

,

2024-NQM1

,

A1

,

144A,

6.152 %

,

12/25/68

..........................

United

States

254,857

257,154

c

OBX

Trust

,

l

2021-J3

,

A4

,

144A,

FRN

,

2.5 %

,

10/25/51

................

United

States

92,284

83,261

h

2025-J2

,

AF

,

144A,

FRN

,

5.174 %

,

(30-day

SOFR

Average

+

1.3 %),

9/25/55

....................................

United

States

196,672

196,780

h

2025-NQM14

,

A1F

,

144A,

FRN

,

5.074 %

,

(30-day

SOFR

Average

+

1.2 %),

7/25/65

............................

United

States

317,206

318,296

c

,l

Onity

Loan

Investment

Trust

,

2025-HB1

,

A

,

144A,

FRN

,

%

,

6/25/38

.........................................

United

States

161,400

158,748

c

,l

Provident

Funding

Associates

LLP

,

2021-J1

,

A3

,

144A,

FRN

,

2.5 %

,

2/20/49

....................................

United

States

165,467

148,485

c

,l

Provident

Funding

Mortgage

Trust

,

2019-1

,

A2

,

144A,

FRN

,

%

,

12/25/49

........................................

United

States

120,016

104,851

c

,l

PSMC

Trust

,

2021-3

,

A3

,

144A,

FRN

,

2.5 %

,

8/25/51

.........

United

States

846,762

770,795

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Residential

#### Mortgage-Backed

#### Securities
(continued)

#### Financial

#### Services
(continued)

c

,h

Sequoia

Mortgage

Trust

,

2025-8

,

A26F

,

144A,

FRN

,

5.274 %

,

(30-

day

SOFR

Average

+

1.4 %),

9/25/55

...................

United

States

175,272

$

175,438

7,399,069

a

a

a

a

a

a

#### Total

#### Residential

#### Mortgage-Backed

#### Securities

#### (Cost

#### $

#### 7,578,658

####)
................

#### 7,399,069

#### Agency

#### Commercial

#### Mortgage-Backed

#### Securities

#### 4.5%

#### Financial

#### Services

#### 4.5%
m

FHLMC

,

5083

,

IC

,

IO,

3.5 %

,

10/25/50

.........................

United

States

4,269,597

794,387

5418

,

EI

,

IO,

%

,

12/25/51

...........................

United

States

4,193,129

684,316

m

FNMA

,

2020-95

,

IO,

%

,

12/25/47

...........................

United

States

2,860,238

648,932

2021-56

,

QI

,

IO,

4.5 %

,

9/25/51

........................

United

States

2,109,291

539,796

2021-84

,

KI

,

IO,

%

,

12/25/51

........................

United

States

7,854,085

1,250,154

2023-20

,

IA

,

IO,

2.5 %

,

10/25/51

.......................

United

States

4,048,440

640,619

2023-59

,

IK

,

IO,

3.5 %

,

4/25/51

........................

United

States

3,833,933

824,199

m

GNMA

,

2016-42

,

IO,

%

,

2/20/46

............................

United

States

1,236,542

243,108

2020-134

,

ID

,

IO,

%

,

9/20/50

........................

United

States

4,686,424

799,845

2020-146

,

KI

,

IO,

2.5 %

,

10/20/50

......................

United

States

7,363,296

1,093,043

2021-213

,

PI

,

IO,

4.5 %

,

4/20/50

.......................

United

States

3,103,188

685,476

2022-78

,

IO,

%

,

8/20/51

............................

United

States

2,664,489

434,427

2022-81

,

BI

,

IO,

2.5 %

,

11/20/50

.......................

United

States

4,023,150

595,924

2022-88

,

IO,

2.5 %

,

1/20/52

..........................

United

States

4,942,585

730,780

2023-168

,

IE

,

IO,

%

,

11/20/51

.......................

United

States

3,500,592

577,428

2023-185

,

BI

,

IO,

2.5 %

,

1/20/51

.......................

United

States

7,677,136

1,070,933

2025-5

,

IO,

3.5 %

,

4/20/51

...........................

United

States

3,268,311

639,165

12,252,532

a

a

a

a

a

a

#### Total

#### Agency

#### Commercial

#### Mortgage-Backed

#### Securities

#### (Cost

#### $

#### 12,217,041

####)
.......

#### 12,252,532

#### Shares
a

#### Escrows

#### and

#### Litigation

#### Trusts

#### 0.0%

#### †
a,b

K2016470219

South

Africa

Ltd.,

Escrow

Account

............

South

Africa

72,822

1,159

a

Mesquite

Energy,

Inc.,

Escrow

Account

...................

United

States

243,000

1,227

#### Total

#### Escrows

#### and

#### Litigation

#### Trusts

#### (Cost

#### $

#### 243,000

####)
...........................

#### 2,386

#### Total

#### Long

#### Term

#### Investments

#### (Cost

#### $

#### 295,761,328

####)
.............................

#### 295,309,727

#### a

#### Number

#### of

#### Contracts

#### Notional

#### Amount

#### #

#### a

#### aa

#### Options

#### Purchased

#### 0.1%

#### Puts

#### -

#### Over-the-Counter

#### Currency

#### Options

#### 0.0%

#### †
Foreign

Exchange

EUR/JPY

,

Counterparty

JPHQ

,

March

Strike

Price

181.05 JPY

,

Expires

3/16/26

.....................

8,565,000

EUR

79,317

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Number

#### of

#### Contracts

#### Notional

#### Amount

#### #
a

#### Value
a

a

#### a

#### aa
a

#### a

#### Options

#### Purchased
(continued)

#### Puts

#### -

#### Over-the-Counter

#### Interest

#### Rate

#### Swaptions

#### 0.1%
Receive

Floating

1-day

SOFR

,

Pay

Fixed

3.753%

,

Counterparty

CITI

,

Expires

3/18/26

...............................

24,573,000

$

325,430

404,747

#### Total

#### Options

#### Purchased

#### (Cost

#### $

#### 420,878

####)
....................................

#### 404,747

#### Short

#### Term

#### Investments

#### 4.4%
a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Money

#### Market

#### Funds

#### 4.4%
p,q

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

.........................................

United

States

11,926,602

11,926,602

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $

#### 11,926,602

####)
................................

#### 11,926,602

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $

#### 11,926,602

####)
..............................

#### 11,926,602

#### a

#### Total

#### Investments

#### (Cost

#### $

#### 308,108,808

####)
113.0 #### %
................................

#### $307,641,076

#### Options

#### Written

#### (0.1 ####)

#### %
.....................................................

#### (363,132)

#### Other

#### Assets,

#### less

#### Liabilities

#### (12.9 ####)

#### %
........................................

#### (35,061,360)

#### Net

#### Assets

#### 100.0%

#### .........................................................

#### $272,216,584

#### a

#### Number

#### of

#### Contracts

#### Notional

#### Amount

#### #
r

#### Options

#### Written

#### (0.1)%

#### Puts

#### -

#### Over-the-Counter

#### Currency

#### Options

#### (0.0)%

#### †
Foreign

Exchange

EUR/JPY

,

Counterparty

JPHQ

,

March

Strike

Price

176.45 JPY

,

Expires

3/16/26

.....................

8,565,000

EUR

(28,914)

#### Interest

#### Rate

#### Swaptions

#### (0.1)%
Receive

Floating

1-day

SOFR

,

Pay

Fixed

3.401%

,

Counterparty

CITI

,

Expires

3/18/26

...............................

(42,407,000)

(334,218)

(363,132)

#### Total

#### Options

#### Written

#### (Premiums

#### received

#### $

#### 328,356

####)
..........................

#### $

#### (#### 363,132

####)
Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#

Notional

amount

is

the

number

of

contracts

multiplied

by

contract

size,

and

may

be

multiplied

by

the

underlying

price.

May

include

currency

units,

bushels,

shares,

pounds,

barrels

or

other

units.

Currency

units

are

stated

in

U.S.

dollars

unless

otherwise

indicated.

\*

The

principal

amount

is

stated

in

U.S.

dollars

unless

otherwise

indicated.

†

Rounds

to

less

than

0.1%

of

net

assets.

a

Non-income

producing.

b

Fair

valued

using

significant

unobservable

inputs.

See

Note

regarding

fair

value

measurements.

c

Security

was

purchased

pursuant

to

Rule

144A

or

Regulation

S

under

the

Securities

Act

of

1933. 144A

securities

may

be

sold

in

transactions

exempt

from

registration

only

to

qualified

institutional

buyers

or

in

a

public

offering

registered

under

the

Securities

Act

of

1933. Regulation

S

securities

cannot

be

sold

in

the

United

States

without

either

an

effective

registration

statement

filed

pursuant

to

the

Securities

Act

of

1933,

or

pursuant

to

an

exemption

from

registration.

At

December

31,

2025,

the

aggregate

value

of

these

securities

was

$115,601,757,

representing

42.5%

of

net

assets.

d

Defaulted

security

or

security

for

which

income

has

been

deemed

uncollectible.

See

Note

6. e

Income

may

be

received

in

additional

securities

and/or

cash.

f

The

rate

shown

represents

the

yield

at

period

end.

g

See

Note

1(g)

regarding

senior

floating

rate

interests.

h

The

coupon

rate

shown

represents

the

rate

inclusive

of

any

caps

or

floors,

if

applicable,

in

effect

at

period

end.

i

A

portion

or

all

of

the

security

purchased

on

a

delayed

delivery

basis.

See

Note

1(c).

j

A

portion

or

all

of

the

security

represents

an

unsettled

loan

commitment.

The

coupon

rate

is

to-be

determined

(TBD)

at

the

time

of

the

settlement

and

will

be

based

upon

a

reference

index/floor

plus

a

spread.

k

See

Note

1(h)

regarding

Marketplace

Lending.

See

full

breakdown

of

marketplace

loans

holdings

in

the

table

at

the

end

of

this

schedule.

l

Adjustable

rate

security

with

an

interest

rate

that

is

not

based

on

a

published

reference

index

and

spread.

The

rate

is

based

on

the

structure

of

the

agreement

and

current

market

conditions.

The

coupon

rate

shown

represents

the

rate

at

period

end.

m

Investment

in

an

interest-only

security

entitles

holders

to

receive

only

the

interest

payment

on

the

underlying

instruments.

The

principal

amount

shown

is

the

notional

amount

of

the

underlying

instruments.

n

Adjustable

Rate

Mortgage-Backed

Security

(ARM);

the

rate

shown

is

the

effective

rate

at

period

end.

ARM

rates

are

not

based

on

a

published

reference

rate

and

spread;

they

are

based

on

the

weighted

average

rates

of

the

underlying

mortgage

loans,

less

the

applicable

servicing

and

guarantee

fees

(MBS

margin).

o

Security

purchased

on

a

to-be-announced

(TBA)

basis.

See

Note

1(c).

p

See

Note

3(e)

regarding

investments

in

affiliated

management

investment

companies.

q

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

r

See

Note

1(d)

regarding

written

options.

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments,

December

31,

2025

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

At

December

31,

2025,

the

Fund

had

the

following

marketplace

loans

outstanding.

See

Note

1(h).

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans

#### -

#### 0.2%
Freedom

Financial

Asset

Management

LLC

APP-11823715.FP.FTS.B,

14.99%,

2/05/26

$

1,841

$

1,856

APP-11819292.FP.FTS.B,

18.99%,

3/31/26

1,283

1,302

APP-14159522.FP.FTS.B,

10.34%,

6/15/26

2,900

2,918

APP-14167786.FP.FTS.B,

10.34%,

6/17/26

4,535

4,563

APP-14974854.FP.FTS.B,

16.49%,

8/10/26

3,575

3,638

APP-11605924.FP.FTS.B,

11.74%,

12/20/26

9,170

9,246

APP-11803939.FP.FTS.B,

10.99%,

2/10/27

9,458

9,560

APP-11798689.FP.FTS.B,

16.99%,

2/12/27

5,997

6,094

APP-12249339.FP.FTS.B,

19.49%,

3/13/27

549

548

APP-12106231.FP.FTS.B,

11.74%,

3/22/27

12,827

12,998

APP-13685540.FP.FTS.B,

13.59%,

5/20/27

12,549

12,741

APP-14058204.FP.FTS.B,

11.59%,

6/05/27

4,631

4,684

APP-14057383.FP.FTS.B,

11.34%,

6/15/27

12,565

12,735

APP-14163864.FP.FTS.B,

11.34%,

6/19/27

13,994

14,194

APP-14975701.FP.FTS.B,

11.74%,

7/15/27

7,333

7,433

APP-11806622.FP.FTS.B,

18.99%,

8/11/27

3,697

2,864

107,374

LendingClub

Corp.

-

LCX

PM

170715926. LC.FTS.B,

16.08%,

10/25/35

..

2,707

–

Prosper

Funding

LLC

1605968. PS.FTS.B,

14.29%,

8/17/26

....

1,336

1,352

1644821. PS.FTS.B,

16.18%,

10/26/26

...

3,183

3,226

1646507. PS.FTS.B,

16%,

11/02/26

......

3,998

4,052

1654273. PS.FTS.B,

11.4%,

11/05/26

.....

3,421

3,416

1661382. PS.FTS.B,

16.7%,

11/05/26

....

1,250

1,267

1660956. PS.FTS.B,

18.25%,

11/05/26

....

1,796

1,820

1686756. PS.FTS.B,

20.08%,

12/16/26

...

2,150

2,185

1695804. PS.FTS.B,

10.8%,

1/04/27

.....

1,322

1,318

1701348. PS.FTS.B,

11.1%,

1/13/27

.....

1,328

1,328

1702140. PS.FTS.B,

11.55%,

1/14/27

....

4,015

4,014

1701774. PS.FTS.B,

19.3%,

1/16/27

.....

2,454

2,492

1692578. PS.FTS.B,

13.1%,

1/20/27

.....

1,083

1,083

1702129. PS.FTS.B,

12.7%,

1/25/27

.....

1,911

1,915

1709019. PS.FTS.B,

19%,

1/25/27

.......

3,629

3,715

1691666. PS.FTS.B,

11.88%,

2/08/27

....

2,379

2,377

1714696. PS.FTS.B,

12.6%,

2/15/27

.....

1,881

1,877

1711397. PS.FTS.B,

18.15%,

2/22/27

....

5,731

5,788

1750201. PS.FTS.B,

19.9%,

4/06/27

.....

3,700

3,746

1750603. PS.FTS.B,

14.29%,

4/07/27

....

1,700

1,699

1753401. PS.FTS.B,

16.9%,

4/15/27

.....

6,823

1,780

1645643. PS.FTS.B,

18.5%,

5/10/27

.....

4,321

3,097

53,547

Upgrade,

Inc.

-

Card

a

992330039. UG.FTS.B,

22.97%,

11/03/28

.

546

992293228. UG.FTS.B,

28.98%,

5/03/29

..

Upstart

Network,

Inc.

L1739715.UP.FTS.B,

9.65%,

9/20/26

....

4,557

4,475

L1736636.UP.FTS.B,

14.78%,

9/20/26

....

2,802

2,761

FW1739526.UP.FTS.B,

17.22%,

9/20/26

..

1,673

1,655

#### Description

#### Principal

#### Amount

#### Value
Upstart

Network,

Inc.

(continued)

L1739562.UP.FTS.B,

22.68%,

9/20/26

....

$

689

$

679

L1738904.UP.FTS.B,

24.36%,

9/20/26

....

1,773

1,414

L1915447.UP.FTS.B,

20.32%,

10/25/26

...

1,088

1,075

L1915468.UP.FTS.B,

23.09%,

10/25/26

...

1,207

1,192

L1897015.UP.FTS.B,

23.49%,

10/25/26

...

3,076

3,040

L1915081.UP.FTS.B,

25.35%,

10/25/26

...

739

731

FW1915312.UP.FTS.B,

31.22%,

10/25/26

.

1,286

1,283

L2024110.UP.FTS.B,

7.78%,

11/16/26

....

3,819

3,743

L2052804.UP.FTS.B,

9.15%,

11/16/26

....

8,619

8,451

L2052126.UP.FTS.B,

12.52%,

11/16/26

...

3,719

3,658

L2055412.UP.FTS.B,

14.29%,

11/16/26

...

730

718

FW2056157.UP.FTS.B,

15.18%,

11/16/26

.

2,190

2,165

L2052051.UP.FTS.B,

15.75%,

11/16/26

...

1,106

1,093

FW2055175.UP.FTS.B,

19.05%,

11/16/26

.

4,639

4,571

L2047823.UP.FTS.B,

23.05%,

11/16/26

...

L2055855.UP.FTS.B,

25.11%,

11/16/26

...

555

547

L2056364.UP.FTS.B,

25.24%,

11/16/26

...

L2049616.UP.FTS.B,

25.29%,

11/16/26

...

L2052082.UP.FTS.B,

25.42%,

11/16/26

...

FW2054089.UP.FTS.B,

26.17%,

11/16/26

.

656

FW2046105.UP.FTS.B,

29.67%,

11/16/26

.

1,375

1,356

FW2057500.UP.FTS.B,

30.64%,

11/16/26

.

1,543

1,520

FW2054534.UP.FTS.B,

31.22%,

11/16/26

.

FW2057162.UP.FTS.B,

32.15%,

11/16/26

.

2,961

2,920

L2242685.UP.FTS.B,

9%,

12/13/26

......

3,560

3,487

L2242651.UP.FTS.B,

11.78%,

12/13/26

...

3,740

3,675

L2242098.UP.FTS.B,

12.31%,

12/13/26

...

1,762

1,731

L2242668.UP.FTS.B,

12.46%,

12/13/26

...

5,552

5,456

L2241756.UP.FTS.B,

12.69%,

12/13/26

...

1,629

L2242202.UP.FTS.B,

14.09%,

12/13/26

...

4,306

4,232

L2239758.UP.FTS.B,

14.15%,

12/13/26

...

2,986

2,936

L2241045.UP.FTS.B,

17.22%,

12/13/26

...

2,324

2,296

L2242791.UP.FTS.B,

17.38%,

12/13/26

...

4,140

4,072

L2241989.UP.FTS.B,

17.5%,

12/13/26

....

715

706

FW2241711.UP.FTS.B,

21.36%,

12/13/26

.

3,798

3,730

L2230478.UP.FTS.B,

21.97%,

12/13/26

...

2,267

2,231

L2242489.UP.FTS.B,

22.19%,

12/13/26

...

6,415

6,305

L2232043.UP.FTS.B,

23.76%,

12/13/26

...

1,667

1,639

L2242200.UP.FTS.B,

24.08%,

12/13/26

...

1,767

1,736

L2241600.UP.FTS.B,

24.51%,

12/13/26

...

1,048

1,032

FW2241764.UP.FTS.B,

27.11%,

12/13/26

.

1,496

1,472

a

FW2242232.UP.FTS.B,

27.33%,

12/13/26

.

1,520

FW2241624.UP.FTS.B,

31.84%,

12/13/26

.

FW2465936.UP.FTS.B,

5.53%,

1/19/27

...

10,819

10,537

L2465582.UP.FTS.B,

5.92%,

1/19/27

....

595

583

L2465889.UP.FTS.B,

6.5%,

1/19/27

.....

1,567

1,103

FW2466269.UP.FTS.B,

6.87%,

1/19/27

...

1,415

FW2465536.UP.FTS.B,

7.64%,

1/19/27

...

4,997

4,891

L2465717.UP.FTS.B,

8.6%,

1/19/27

.....

1,018

997

FW2464781.UP.FTS.B,

9.13%,

1/19/27

...

2,436

2,385

FW2465681.UP.FTS.B,

9.16%,

1/19/27

...

2,707

2,650

L2466129.UP.FTS.B,

9.84%,

1/19/27

....

5,196

5,106

L2465666.UP.FTS.B,

10.14%,

1/19/27

....

653

639

L2463372.UP.FTS.B,

11.09%,

1/19/27

....

1,326

1,304

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Description

#### Principal

#### Amount

#### Value

#### Marketplace

#### Loans
(continued)

Upstart

Network,

Inc.

(continued)

L2465986.UP.FTS.B,

15.77%,

1/19/27

....

$

$

FW2466368.UP.FTS.B,

16.6%,

1/19/27

...

1,018

1,001

L2465805.UP.FTS.B,

18.87%,

1/19/27

....

7,091

5,209

L2465928.UP.FTS.B,

20.32%,

1/19/27

....

924

911

FW2466202.UP.FTS.B,

23.59%,

1/19/27

..

1,046

784

a

L2458881.UP.FTS.B,

24.14%,

1/19/27

....

1,713

L2466086.UP.FTS.B,

25.1%,

1/19/27

....

1,103

1,087

a

FW2465642.UP.FTS.B,

25.73%,

1/19/27

..

1,773

FW2465882.UP.FTS.B,

28.77%,

1/19/27

..

FW2465848.UP.FTS.B,

30.66%,

1/19/27

..

823

FW2464665.UP.FTS.B,

30.79%,

1/19/27

..

503

FW2465741.UP.FTS.B,

30.94%,

1/19/27

..

634

626

FW2466141.UP.FTS.B,

32%,

1/19/27

....

2,248

2,221

FW1738592.UP.FTS.B,

28.44%,

2/20/27

..

1,993

1,966

L2675715.UP.FTS.B,

6.52%,

2/22/27

....

2,814

1,952

FW2676020.UP.FTS.B,

6.82%,

2/22/27

...

2,009

1,954

FW2676337.UP.FTS.B,

8.57%,

2/22/27

...

1,725

1,696

FW2675837.UP.FTS.B,

9.42%,

2/22/27

...

1,924

1,883

FW2675651.UP.FTS.B,

9.54%,

2/22/27

...

1,884

1,844

FW2675315.UP.FTS.B,

9.86%,

2/22/27

...

7,458

7,332

FW2675769.UP.FTS.B,

11.04%,

2/22/27

..

9,659

9,492

FW2675417.UP.FTS.B,

12.04%,

2/22/27

..

2,463

2,420

L2675483.UP.FTS.B,

14.22%,

2/22/27

....

1,376

1,353

L2675701.UP.FTS.B,

15.05%,

2/22/27

....

2,066

2,032

FW2676119.UP.FTS.B,

15.87%,

2/22/27

..

1,382

1,368

FW2674729.UP.FTS.B,

15.98%,

2/22/27

..

1,477

1,452

L2675286.UP.FTS.B,

16.53%,

2/22/27

....

4,730

4,684

FW2676275.UP.FTS.B,

16.64%,

2/22/27

..

6,818

6,751

FW2673151.UP.FTS.B,

16.69%,

2/22/27

..

1,557

1,542

L2675889.UP.FTS.B,

18.95%,

2/22/27

....

17,602

12,660

FW2675506.UP.FTS.B,

19.13%,

2/22/27

..

3,476

3,428

L2676048.UP.FTS.B,

19.28%,

2/22/27

....

11,640

11,482

FW2675725.UP.FTS.B,

19.97%,

2/22/27

..

2,102

1,524

FW2676447.UP.FTS.B,

21.12%,

2/22/27

..

2,346

2,325

a

L2675653.UP.FTS.B,

22.41%,

2/22/27

....

1,828

FW2675530.UP.FTS.B,

23.25%,

2/22/27

..

1,028

1,014

FW2675911.UP.FTS.B,

24.61%,

2/22/27

..

1,048

1,034

L2676213.UP.FTS.B,

25.44%,

2/22/27

....

924

912

L2676015.UP.FTS.B,

26.95%,

2/22/27

....

FW2675330.UP.FTS.B,

27.13%,

2/22/27

..

1,192

1,177

FW2675561.UP.FTS.B,

27.52%,

2/22/27

..

2,612

2,580

FW2675198.UP.FTS.B,

30.64%,

2/22/27

..

2,571

2,542

FW2675958.UP.FTS.B,

30.93%,

2/22/27

..

FW2676100.UP.FTS.B,

31.11%,

2/22/27

..

FW2676065.UP.FTS.B,

31.64%,

2/22/27

..

3,699

3,658

FW2675468.UP.FTS.B,

31.91%,

2/22/27

..

3,132

2,325

FW2675534.UP.FTS.B,

32.24%,

2/22/27

..

3,430

3,392

FW2676248.UP.FTS.B,

25.38%,

3/05/27

..

1,324

800

FW1908593.UP.FTS.B,

28.41%,

3/25/27

..

9,550

9,444

FW2053732.UP.FTS.B,

16.83%,

4/16/27

..

a

L2057372.UP.FTS.B,

23.63%,

4/16/27

....

3,604

FW2056081.UP.FTS.B,

30.81%,

4/16/27

..

789

779

L2981847.UP.FTS.B,

12.88%,

4/20/27

....

3,204

3,155

FW2981800.UP.FTS.B,

15.54%,

4/20/27

..

6,615

6,519

L2982362.UP.FTS.B,

19.25%,

4/20/27

....

754

749

FW2980976.UP.FTS.B,

25.24%,

4/20/27

..

5,709

5,646

#### Description

#### Principal

#### Amount

#### Value
Upstart

Network,

Inc.

(continued)

FW2981812.UP.FTS.B,

25.87%,

4/20/27

..

$

1,285

$

1,270

L2981818.UP.FTS.B,

25.89%,

4/20/27

....

4,075

2,878

L2981438.UP.FTS.B,

25.94%,

4/20/27

....

740

FW2982476.UP.FTS.B,

28.13%,

4/20/27

..

12,445

12,313

FW2982596.UP.FTS.B,

28.27%,

4/20/27

..

622

615

FW2982248.UP.FTS.B,

30.44%,

4/20/27

..

2,126

2,105

a

FW2982470.UP.FTS.B,

30.66%,

4/20/27

..

1,172

FW2981459.UP.FTS.B,

31.69%,

4/20/27

..

3,911

3,875

L2981618.UP.FTS.B,

6.67%,

4/22/27

....

4,149

2,783

FW2982593.UP.FTS.B,

14.46%,

4/25/27

..

2,717

2,677

L2241857.UP.FTS.B,

11.98%,

5/13/27

....

3,704

3,632

L2241610.UP.FTS.B,

15.37%,

5/13/27

....

2,503

1,396

L2241971.UP.FTS.B,

20.32%,

5/13/27

....

1,543

824

FW2242379.UP.FTS.B,

28.85%,

5/13/27

..

1,943

1,904

FW2451492.UP.FTS.B,

6.07%,

6/19/27

...

15,687

15,186

FW2464664.UP.FTS.B,

10.42%,

6/19/27

..

2,553

2,504

FW2464742.UP.FTS.B,

26.31%,

6/19/27

..

611

601

a

FW2676429.UP.FTS.B,

14.76%,

7/22/27

..

12,379

669

FW2674944.UP.FTS.B,

22.84%,

8/22/27

..

2,070

FW2982412.UP.FTS.B,

19.87%,

9/20/27

..

5,366

5,291

L2982002.UP.FTS.B,

25.37%,

2/20/28

....

3,828

2,558

334,270

#### Total

#### Marketplace

#### Loans

#### (Cost

#### $554,109

####)

#### $495,644
a

Defaulted

security

or

security

for

which

income

has

been

deemed

uncollectible.

See

Note

6. Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments,

December

31,

2025

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

At

December

31,

2025,

the

Fund

had

the

following futures

contracts

outstanding.

See

Note

(d).

At

December

31,

2025,

the

Fund

had

the

following

forward

exchange

contracts

outstanding.

See

Note

(d).

#### Futures

#### Contracts

#### Description

#### Type

#### Number

#### of

#### Contracts

#### Notional

#### Amount

#### \*

#### Expiration

#### Date

#### Value/

#### Unrealized

#### Appreciation
(Depreciation)

#### Interest

#### rate

#### contracts
Euro-

Bobl

..................................

Short

$

1,228,601

3/06/26

$

6,127

Euro-Bund

.................................

Short

1,199,362

3/06/26

10,712

U.S.

Treasury

Year

Ultra

Notes

................

Short

2,990,406

3/20/26

(2,470)

U.S.

Treasury

Year

Notes

.....................

Short

4,593,359

3/31/26

(5,009)

U.S.

Treasury

Year

Notes

.....................

Long

30,605,313

3/31/26

(100,981)

U.S.

Treasury

Long

Bonds

.....................

Short

1,502,719

3/20/26

(12,205)

U.S.

Treasury

Ultra

Bonds

......................

Short

236,000

3/20/26

1,247

Total

Futures

Contracts

......................................................................

$(102,579)

\*

As

of

period

end.

#### Forward

#### Exchange

#### Contracts

#### Currency

#### Counter-

#### party

#### a

#### Type

#### Quantity

#### Contract

#### Amount

#### \*

#### Settlement

#### Date

#### Unrealized

#### Appreciation

#### Unrealized

#### Depreciation

#### a

#### OTC

#### Forward

#### Exchange

#### Contracts
Euro

.............

JPHQ

Sell

768,000

891,702

5/04/26

$

—

$

(15,840)

Euro

.............

JPHQ

Sell

1,149,000

1,334,321

5/26/26

—

(24,725)

Euro

.............

JPHQ

Sell

814,000

966,083

6/22/26

2,167

—

Total

Forward

Exchange

Contracts

...................................................

$2,167

$(40,565)

Net

unrealized

appreciation

(depreciation)

............................................

$(38,398)

\*

In

U.S.

dollars

unless

otherwise

indicated.

a

May

be

comprised

of

multiple

contracts

with

the

same

counterparty,

currency

and

settlement

date.

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

At

December

31,

2025,

the

Fund

had

the

following credit

default

swap

contracts outstanding.

See

Note

(d).

At

December

31,

2025,

the

Fund

had

the

following

interest

rate

swap

contracts

outstanding.

See

Note

1(d).

#### Credit

#### Default

#### Swap

#### Contracts

#### Description

#### Periodic

#### Payment

#### Rate

#### Received
(Paid)

#### Payment

#### Frequency

#### Maturity

#### Date

#### Notional

#### Amount

#### a

#### Value

#### Upfront

#### Payments
(Receipts)

#### Unrealized

#### Appreciation
(Depreciation)

#### Rating

#### b

#### Centrally

#### Cleared

#### Swap

#### Contracts

#### to

#### Sell

#### Protection

#### c,d

#### Traded

#### Index
CDX.NA.HY.44

.

5.00%

Quarterly

6/20/30

7,400,000

$

596,925

$

416,925

$

180,000

Non-

Investment

Grade

Total

Centrally

Cleared

Swap

Contracts

.....................................

$596,925

$416,925

$180,000

a

In

U.S.

dollars

unless

otherwise

indicated.

For

contracts

to

sell

protection,

the

notional

amount

is

equal

to

the

maximum

potential

amount

of

the

future

payments

and

no

recourse

provisions

have

been

entered

into

in

association

with

the

contracts.

b

Based

on

Standard

and

Poor's

(S&P)

Rating

for

single

name

swaps

and

internal

ratings

for

index

swaps.

Internal

ratings

based

on

mapping

into

equivalent

ratings

from

external

vendors.

c

Performance

triggers

for

settlement

of

contract

include

default,

bankruptcy

or

restructuring

for

single

name

swaps,

and

failure

to

pay

or

bankruptcy

of

the

underlying

securities

for

traded

index

swaps.

d

The

fund

enters

contracts

to

sell

protection

to

create

a

long

credit

position.

#### Interest

#### Rate

#### Swap

#### Contracts

#### Description

#### Payment

#### Frequency

#### Maturity

#### Date

#### Notional

#### Amount

#### \*

#### Value

#### Upfront

#### Payments
(Receipts)

#### Unrealized

#### Appreciation
(Depreciation)

aa

#### aa

#### Centrally

#### Cleared

#### Swap

#### Contracts
Receive

Floating

1-day

SOFR

......

Pay

Fixed

3.75%

...............

Annual

3/18/36

2,467,000

$

13,599

$

886

$

12,713

Total

Interest

Rate

Swap

Contracts

...............................

$13,599

$

886

$12,713

\*

In

U.S.

dollars

unless

otherwise

indicated.

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

At

December

31,

2025,

the

Fund

had

the

following total

return swap

contracts

outstanding.

See

Note

1(d).

See

Note 8 regarding

other

derivative

information.

See

Abbreviations

on

.

#### Total

#### Return

#### Swap

#### Contracts

#### Underlying

#### Instruments

#### Financing

#### Rate

#### Payment

#### Frequency

#### Counter-

#### party

#### Maturity

#### Date

#### Notional

#### Value

#### \*

#### Value/

#### Unrealized

#### Appreciation
(Depreciation)

#### OTC

#### Swap

#### Contracts

#### Long

#### a
Markit

iBoxx

USD

Liquid

Leveraged

Loans

Total

Return

Index

...................

1-day

SOFR

Quarterly

BNDP

6/20/26

5,525,000

$

74,160

Total

Return

Swap

Contracts

....................................................................

$74,160

\*

In

U.S.

dollars

unless

otherwise

indicated.

a

The

Fund

receives

the

total

return

on

the

underlying

instrument

and

pays

a

variable

financing

rate.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Assets

and

Liabilities

December

31,

2025

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
Assets:

Investments

in

securities:

Cost

-

Unaffiliated

issuers

...................................................................

$296,182,206

Cost

-

Non-controlled

affiliates

(Note

e)

........................................................

11,926,602

Value

-

Unaffiliated

issuers

..................................................................

$295,714,474

Value

-

Non-controlled

affiliates

(Note

e)

.......................................................

11,926,602

Cash

....................................................................................

152,846

Foreign

currency,

at

value

(cost

$

22,509)

.........................................................

22,475

Receivables:

Investment

securities

sold

...................................................................

412,625

Capital

shares

sold

........................................................................

250,815

Dividends

and

interest

.....................................................................

3,964,913

Deposits

with

brokers

for:

Futures

contracts

........................................................................

311,033

Unrealized

appreciation

on

OTC

forward

exchange

contracts

..........................................

2,167

Unrealized

appreciation

on

OTC

swap

contracts

....................................................

74,160

Unrealized

appreciation

on

unfunded

loan

commitments

(Note

7)

.......................................

Deferred

tax

benefit

.........................................................................

135,841

Total

assets

..........................................................................

312,967,971

Liabilities:

Payables:

Investment

securities

purchased

..............................................................

613,301

Payable

for

purchases

of

TBA

securities

(Note

c)

.................................................

39,185,665

Capital

shares

redeemed

...................................................................

106,033

Management

fees

.........................................................................

143,506

Distribution

fees

..........................................................................

24,956

Professional

fees

.........................................................................

112,539

Trustees'

fees

and

expenses

.................................................................

Variation

margin

on

futures

contracts

...........................................................

22,771

Variation

margin

on

centrally

cleared

swap

contracts

...............................................

2,614

OTC

swap

contracts

(upfront

receipts

$

54,567)

....................................................

50,415

Options

written,

at

value

(premiums

received

$

328,356)

..............................................

363,132

Unrealized

depreciation

on

OTC

forward

exchange

contracts

..........................................

40,565

Unrealized

depreciation

on

unfunded

loan

commitments

(Note

7)

.......................................

Accrued

expenses

and

other

liabilities

...........................................................

85,823

Total

liabilities

.........................................................................

40,751,387

Net

assets,

at

value

.................................................................

$272,216,584

Net

assets

consist

of:

Paid-in

capital

.............................................................................

$354,849,534

Total

distributable

earnings

(losses)

.............................................................

(82,632,950)

Net

assets,

at

value

.................................................................

$272,216,584

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Assets

and

Liabilities

(continued)

December

31,

2025

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund

#### Class

#### 1:
Net

assets,

at

value

.......................................................................

$168,601,932

Shares

outstanding

........................................................................

17,654,249

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$9.55

#### Class

#### 2:
Net

assets,

at

value

.......................................................................

$70,243,202

Shares

outstanding

........................................................................

7,697,279

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$9.13

#### Class

#### 4:
Net

assets,

at

value

.......................................................................

$33,371,450

Shares

outstanding

........................................................................

3,523,568

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$9.47

a

Net

asset

value

per

share

may

not

recalculate

due

to

rounding.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Operations

for

the

year

ended

December

31,

2025

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
Investment

income:

Dividends:

Unaffiliated

issuers

........................................................................

$13,894

Non-controlled

affiliates

(Note

e)

.............................................................

708,839

Interest:

Unaffiliated

issuers

........................................................................

14,261,227

Income

from

securities

loaned:

Unaffiliated

entities

(net

of

fees

and

rebates)

.....................................................

1,146

Non-controlled

affiliates

(Note

e)

.............................................................

Total

investment

income

...................................................................

14,985,443

Expenses:

Management

fees

(Note

a)

...................................................................

1,709,334

Distribution

fees:

(Note

3c)

Class

................................................................................

172,844

Class

................................................................................

118,153

Custodian

fees

............................................................................

2,806

Reports

to

shareholders

fees

..................................................................

19,216

Professional

fees

...........................................................................

140,281

Trustees'

fees

and

expenses

..................................................................

3,179

Marketplace

lending

fees

(Note

h)

.............................................................

247,607

Other

....................................................................................

93,113

Total

expenses

.........................................................................

2,506,533

Expenses

waived/paid

by

affiliates

(Note

e)

...................................................

(31,573)

Net

expenses

.........................................................................

2,474,960

Net

investment

income

................................................................

12,510,483

Realized

and

unrealized

gains

(losses):

Net

realized

gain

(loss)

from:

Investments:

Unaffiliated

issuers

......................................................................

(5,878,479)

Non-controlled

affiliates

(Note

e)

...........................................................

37,224

Written

options

...........................................................................

87,210

Foreign

currency

transactions

................................................................

(6,973)

Forward

exchange

contracts

.................................................................

(90,081)

Futures

contracts

.........................................................................

406,592

TBA

sale

commitments

.....................................................................

(9,006)

Swap

contracts

...........................................................................

540,355

Net

realized

gain

(loss)

..................................................................

(4,913,158)

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments:

Unaffiliated

issuers

......................................................................

12,594,461

Non-controlled

affiliates

(Note

e)

...........................................................

(78,162)

Translation

of

other

assets

and

liabilities

denominated

in

foreign

currencies

..............................

3,016

Unfunded

loan

commitments

(Note

7)

..........................................................

Written

options

...........................................................................

(34,776)

Forward

exchange

contracts

.................................................................

(188,355)

Futures

contracts

.........................................................................

(161,132)

Swap

contracts

...........................................................................

(436,159)

Net

change

in

unrealized

appreciation

(depreciation)

............................................

11,698,912

Net

realized

and

unrealized

gain

(loss)

............................................................

6,785,754

Net

increase

(decrease)

in

net

assets

resulting

from

operations

..........................................

$19,296,237

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statements

of

Changes

in

Net

Assets

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024
Increase

(decrease)

in

net

assets:

Operations:

Net

investment

income

.................................................

$12,510,483

$12,766,587

Net

realized

gain

(loss)

.................................................

(4,913,158)

(1,548,027)

Net

change

in

unrealized

appreciation

(depreciation)

...........................

11,698,912

752,267

Net

increase

(decrease)

in

net

assets

resulting

from

operations

................

19,296,237

11,970,827

Distributions

to

shareholders:

Class

.............................................................

(8,271,456)

(8,092,061)

Class

.............................................................

(3,331,446)

(3,314,844)

Class

.............................................................

(1,462,157)

(1,550,557)

Total

distributions

to

shareholders

..........................................

(13,065,059)

(12,957,462)

Capital

share

transactions:

(Note

2)

Class

.............................................................

(7,875,610)

(9,451,014)

Class

.............................................................

774,777

(5,045,612)

Class

.............................................................

(2,441,341)

(1,033,362)

Total

capital

share

transactions

............................................

(9,542,174)

(15,529,988)

Net

increase

(decrease)

in

net

assets

...................................

(3,310,996)

(16,516,623)

Net

assets:

Beginning

of

year

.......................................................

275,527,580

292,044,203

End

of

year

...........................................................

$272,216,584

$275,527,580

Franklin

Templeton

Variable

Insurance

Products

Trust

franklintempleton.com

Annual

Report

Notes

to

Financial

Statements

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
Franklin

Templeton

Variable

Insurance

Products

Trust

(Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-end

management

investment

company,

consisting

of seventeen separate

funds.

The Trust

follows the

accounting

and

reporting

guidance

in

Financial

Accounting

Standards

Board

(FASB)

Accounting

Standards

Codification

Topic

946,

Financial

Services

–

Investment

Companies

(ASC

946)

and

applies

the

specialized

accounting

and

reporting

guidance

in

U.S.

Generally

Accepted

Accounting

Principles

(U.S.

GAAP),

including,

but

not

limited

to,

ASC

946. Franklin

Strategic

Income

VIP

Fund

(Fund)

is

included

in

this

report.

Shares

of

the

Fund

are

generally

sold

only

to

insurance

company

separate

accounts

to

fund

the

benefits

of

variable

life

insurance

policies

or

variable

annuity

contracts. At

December

31,

2025,

72.8%

of

the

Fund's

shares

were

held

through

one

insurance

company.

Investment

activities

of

these

insurance

company

separate

accounts

could

have

a

material

impact

on

the

Fund.

The

Fund

offers three classes

of

shares:

Class

1,

Class

and

Class

4. Each

class

of

shares

may

differ

by

its

distribution

fees,

voting

rights

on

matters

affecting

a

single

class

and

its

exchange

privilege.

The

following

summarizes

the Fund's

significant

accounting

policies.

a. #### Financial

#### Instrument

#### Valuation
The

Fund's

investments

in

financial

instruments

are

carried

at

fair

value

daily.

Fair

value

is

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

market

participants

on

the

measurement

date.

The

Fund

calculates

the

net

asset

value

(NAV)

per

share

each business

day as

of

p.m.

Eastern

time

or

the

regularly

scheduled

close

of

the

New

York

Stock

Exchange

(NYSE),

whichever

is

earlier.

Under

compliance

policies

and

procedures

approved

by

the Trust's

Board

of

Trustees

(the

Board),

the

Board

has

designated

the

Fund's

investment

manager

as

the

valuation

designee

and

has

responsibility

for

oversight

of

valuation.

The

investment

manager

is

assisted

by

the

Fund's

administrator

in

performing

this

responsibility,

including

leading

the

cross-

functional

Valuation

Committee

(VC).

The

Fund

may

utilize

independent

pricing

services,

quotations

from

securities

and

financial

instrument

dealers,

and

other

market

sources

to

determine

fair

value.

Equity

securities

and

derivative

financial instruments listed

on

an

exchange

or

on

the

NASDAQ

National

Market

System

are

valued

at

the

last

quoted

sale

price

or

the

official

closing

price of

the

day,

respectively. Foreign

equity

securities

are

valued

as

of

the

close

of

trading

on

the

foreign

stock

exchange

on

which

the

security

is

primarily

traded,

or

as

of

p.m.

Eastern

time.

The

value

is

then

converted

into

its

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

p.m.

Eastern

time

on

the

day

that

the

value

of

the

security

is

determined.

Over-the-counter

(OTC)

securities

are

valued

within

the

range

of

the

most

recent

quoted

bid

and

ask

prices.

Securities

that

trade

in

multiple

markets

or

on

multiple

exchanges

are

valued

according

to

the

broadest

and

most

representative

market.

Certain

equity

securities

are

valued

based

upon

fundamental

characteristics

or

relationships

to

similar

securities.

Debt

securities

generally

trade

in

the OTC

market

rather

than

on

a

securities

exchange.

The

Fund's

pricing

services

use

multiple

valuation

techniques

to

determine

fair

value.

In

instances

where

sufficient

market

activity

exists,

the

pricing

services

may

utilize

a

market-based

approach

through

which

quotes

from

market

makers

are

used

to

determine

fair

value.

In

instances

where

sufficient

market

activity

may

not

exist

or

is

limited,

the

pricing

services

also

utilize

proprietary

valuation

models

which

may

consider

market

characteristics

such

as

benchmark

yield

curves,

credit

spreads,

estimated

default

rates,

anticipated

market

interest

rate

volatility,

coupon

rates,

anticipated

timing

of

principal

repayments,

underlying

collateral,

and

other

unique

security

features

in

order

to

estimate

the

relevant

cash

flows,

which

are

then

discounted

to

calculate

the

fair

value.

Securities

denominated

in

a

foreign

currency

are

converted

into

their

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

p.m.

Eastern

time

on

the

date

that

the

values

of

the

foreign

debt

securities

are

determined.

Investments

in open-end mutual

funds

are

valued

at

the

closing

NAV.

Certain

derivative

financial

instruments

are

centrally

cleared

or

trade

in

the

OTC

market.

The

Fund's

pricing

services

use

various

techniques

including

industry

standard

option

pricing

models

and

proprietary

discounted

cash

flow

models

to

determine

the

fair

value

of

those

instruments.

The

Fund's

net

benefit

or

obligation

under

the

derivative

contract,

as

measured

by

the

fair

value

of

the

contract,

is

included

in

net

assets.

Franklin

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Insurance

Products

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Financial

Statements

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#### Franklin

#### Strategic

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#### VIP

#### Fund
(continued)

The

Fund

has

procedures

to

determine

the

fair

value

of

financial

instruments

for

which

market

prices

are

not

reliable

or

readily

available.

Under

these

procedures,

the Fund

primarily

employs

a

market-based

approach

which

may

use

related

or

comparable

assets

or

liabilities,

recent

transactions,

market

multiples,

and

other

relevant

information

for

the

investment

to

determine

the

fair

value

of

the

investment.

An

income-based

valuation

approach

may

also

be

used

in

which

the

anticipated

future

cash

flows

of

the

investment

are

discounted

to

calculate

fair

value.

Discounts

may

also

be

applied

due

to

the

nature

or

duration

of

any

restrictions

on

the

disposition

of

the

investments.

Due

to

the

inherent

uncertainty

of

valuations

of

such

investments,

the

fair

values

may

differ

significantly

from

the

values

that

would

have

been

used

had

an

active

market

existed.

Trading

in

securities

on

foreign

securities

stock

exchanges

and

OTC

markets

may

be

completed

before

p.m.

Eastern

time.

In

addition,

trading

in

certain

foreign

markets

may

not

take

place

on

every

Fund's

business

day. Events

can occur

between

the

time

at

which

trading

in

a

foreign

security

is

completed

and

p.m.

Eastern

time

that

might

call

into

question

the

reliability

of

the

value

of

a

portfolio

security

held

by

the

Fund.

As

a

result,

differences

may

arise

between

the

value

of

the

Fund's

portfolio

securities

as

determined

at

the

foreign

market

close

and

the

latest

indications

of

value

at

p.m.

Eastern

time. In

order

to

minimize

the

potential

for

these

differences,

an

independent

pricing

service

may

be

used

to

adjust

the

value

of

the

Fund's

portfolio

securities

to

the

latest

indications

of

fair

value

at

p.m.

Eastern

time.

When

the

last

day

of

the

reporting

period

is

a

non-business

day,

certain

foreign

markets

may

be

open

on

those

days

that

the

Fund's

NAV

is

not

calculated,

which

could

result

in

differences

between

the

value

of

the

Fund's

portfolio

securities

on

the

last

business

day

and

the

last

calendar

day

of

the

reporting

period.

Any

security

valuation

changes

due

to

an

open

foreign

market

are

adjusted

and

reflected

by

the

Fund

for

financial

reporting

purposes.

b. #### Foreign

#### Currency

#### Translation
Portfolio

securities

and

other

assets

and

liabilities

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

based

on

the

exchange

rate

of

such

currencies

against

U.S.

dollars

on

the

date

of

valuation.

The

Fund

may

enter

into

foreign

currency

exchange

contracts

to

facilitate

transactions

denominated

in

a

foreign

currency.

Purchases

and

sales

of

securities,

income

and

expense

items

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

at

the

exchange

rate

in

effect

on

the

transaction

date.

Portfolio

securities

and

assets

and

liabilities

denominated

in

foreign

currencies

contain

risks

that

those

currencies

will

decline

in

value

relative

to

the

U.S.

dollar.

Occasionally,

events

may

impact

the

availability

or

reliability

of

foreign

exchange

rates

used

to

convert

the

U.S.

dollar

equivalent

value.

If

such

an

event

occurs,

the

foreign

exchange

rate

will

be

valued

at

fair

value

using

procedures

established

and

approved

by

the

Board.

The

Fund

does

not

separately

report

the

effect

of

changes

in

foreign

exchange

rates

from

changes

in

market

prices

on

securities

held.

Such

changes

are

included

in

net

realized

and

unrealized

gain

or

loss

from

investments

in

the

Statement of

Operations.

Realized

foreign

exchange

gains

or

losses

arise

from

sales

of

foreign

currencies,

currency

gains

or

losses

realized

between

the

trade

and

settlement

dates

on

securities

transactions

and

the

difference

between

the

recorded

amounts

of

dividends,

interest,

and

foreign

withholding

taxes

and

the

U.S.

dollar

equivalent

of

the

amounts

actually

received

or

paid.

Net

unrealized

foreign

exchange

gains

and

losses

arise

from

changes

in

foreign

exchange

rates

on

foreign

denominated

assets

and

liabilities

other

than

investments

in

securities

held

at

the

end

of

the

reporting

period.

c. #### Securities

#### Purchased

#### on

#### a

#### When-Issued,

#### Forward Commitment or

#### Delayed

#### Delivery

#### Basis

#### and

#### TBA

#### Basis
The

Fund

may

purchase

securities

on

a when-issued,

forward

commitment

or

delayed

delivery

and to-be-

announced

(TBA)

basis,

with

payment

and

delivery

scheduled

for

a

future

date.

These

transactions

are

subject

to

market

fluctuations

and

are

subject

to

the

risk

that

the

value

at

delivery

may

be

more

or

less

than

the

trade

date

purchase

price.

Although

the

Fund

will

generally

purchase

these

securities

with

the

intention

of

holding

the

securities, it

may

sell

the

securities

before

the

settlement

date.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

a. #### Financial

#### Instrument

#### Valuation
(continued)

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#### Fund
(continued)

d. #### Derivative

#### Financial

#### Instruments
The

Fund invested

in

derivative

financial

instruments

in

order

to

manage

risk

or

gain

exposure

to

various

other

investments

or

markets.

Derivatives

are

financial

contracts

based

on

an

underlying

or

notional

amount,

require

no

initial

investment

or

an

initial

net

investment

that

is

smaller

than

would

normally

be

required

to

have

a

similar

response

to

changes

in

market

factors,

and

require

or

permit

net

settlement.

Derivatives

contain

various

risks

including

the

potential

inability

of

the

counterparty

to

fulfill

their

obligations

under

the

terms

of

the

contract,

the

potential

for

an

illiquid

secondary

market,

and/or

the

potential

for

market

movements

which

expose

the

Fund

to

gains

or

losses

in

excess

of

the

amounts

shown

in

the

Statement

of

Assets

and

Liabilities.

Realized

gain

and

loss

and

unrealized

appreciation

and

depreciation

on

these

contracts

for

the

period

are

included

in

the

Statement

of

Operations.

Derivative

counterparty

credit

risk

is

managed

through

a

formal

evaluation

of

the

creditworthiness

of

all

potential

counterparties.

The

Fund

attempts

to

reduce

its

exposure

to

counterparty

credit

risk

on

OTC

derivatives,

whenever

possible,

by

entering

into

International

Swaps

and

Derivatives

Association

(ISDA)

master

agreements

with

certain

counterparties.

These

agreements

contain

various

provisions,

including

but

not

limited

to

collateral

requirements,

events

of

default,

or

early

termination.

Termination

events

applicable

to

the

counterparty

include

certain

deteriorations

in

the

credit

quality

of

the

counterparty.

Termination

events

applicable

to

the

Fund

include

failure

of

the

Fund

to

maintain

certain

net

asset

levels

and/or

limit

the

decline

in

net

assets

over

various

periods

of

time.

In

the

event

of

default

or

early

termination,

the

ISDA

master

agreement

gives

the

non-defaulting

party

the

right

to

net

and

close-out

all

transactions

traded,

whether

or

not

arising

under

the

ISDA

agreement,

to

one

net

amount

payable

by

one

counterparty

to

the

other.

However,

absent

an

event

of

default

or

early

termination,

OTC

derivative

assets

and

liabilities

are

presented

gross

and

not

offset

in

the

Statement

of

Assets

and

Liabilities.

Early

termination

by

the

counterparty

may

result

in

an

immediate

payment

by

the

Fund

of

any

net

liability

owed

to

that

counterparty

under

the

ISDA

agreement.

At

December

31,

2025,

the

Fund

had

OTC

derivatives

in

a

net

liability

position

of

$8,788.

Collateral

requirements

differ

by

type

of

derivative.

Collateral

or

initial

margin

requirements

are

set

by

the

broker

or

exchange

clearing

house

for

exchange

traded

and

centrally

cleared

derivatives.

Initial

margin

deposited

is

held

at

the

exchange

or

at

the

broker and

can

be

in

the

form

of

cash

and/or

securities.

For

OTC

derivatives

traded

under

an

ISDA

master

agreement,

posting

of

collateral

is

required

by

either

the

Fund

or

the

applicable

counterparty

if

the

total

net

exposure

of

all

OTC

derivatives

with

the

applicable

counterparty

exceeds

the

minimum

transfer

amount,

which

typically

ranges

from

$100,000

to

$250,000,

and

can

vary

depending

on

the

counterparty

and

the

type

of agreement.

Generally,

collateral

is

determined

at

the

close

of

Fund

business

each

day

and

any

additional

collateral

required

due

to

changes

in

derivative

values

may

be

delivered

by

the

Fund

or

the

counterparty

the

next

business

day,

or

within

a

few

business

days.

Collateral

pledged

and/or

received

by

the

Fund

for

OTC

derivatives,

if

any,

is

held

in

segregated

accounts

with

the

Fund's

custodian/counterparty

broker

and

can

be

in

the

form

of

cash

and/or

securities.

Unrestricted

cash

may

be

invested

according

to

the

Fund's

investment

objectives.

To

the

extent

that

the

amounts

due

to

the

Fund

from

its

counterparties

are

not

subject

to

collateralization

or

are

not

fully

collateralized,

the

Fund

bears

the

risk

of

loss

from

counterparty

non-performance.

The

Fund

entered

into

exchange

traded

futures

contracts

primarily

to

manage

and/or

gain

exposure

to

interest

rate

risk.

A

futures

contract

is

an

agreement

between

the

Fund

and

a

counterparty

to

buy

or

sell

an

asset

at

a

specified

price

on

a

future

date.

Required

initial

margins

are

pledged

by

the

Fund,

and

the

daily

change

in

fair

value

is

accounted

for

as

a

variation

margin

payable

or

receivable

in

the

Statement

of

Assets

and

Liabilities.

Futures

contracts

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

The

Fund entered

into

OTC

forward

exchange

contracts

primarily

to

manage

and/or

gain exposure

to

certain

foreign

currencies.

A

forward

exchange

contract

is

an

agreement

between

the

Fund

and

a

counterparty

to

buy

or

sell

a

foreign

currency at

a

specific

exchange

rate

on

a

future

date.

Forward

exchange

contracts

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

The

Fund

entered

into

credit

default

swap

contracts

primarily

to

manage

and/or

gain

exposure

to

credit

risk.

A

credit

default

swap

is

an

agreement

between

the

Fund

and

a

counterparty

whereby

the

buyer

of

the

contract

receives

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

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(continued)

credit

protection

and

the

seller

of

the

contract

guarantees

the

credit

worthiness

of

a

referenced

debt

obligation.

These

agreements

may

be

privately

negotiated

in

the

over-the-

counter

market

(OTC

credit

default

swaps)

or

may

be

executed

in

a

multilateral

trade

facility

platform,

such

as

a

registered

exchange

(centrally

cleared

credit

default

swaps).

The

underlying

referenced

debt

obligation

may

be

a

single

issuer

of

corporate

or

sovereign

debt,

a

credit

index,

a

basket

of

issuers

or

indices,

or

a

tranche

of

a

credit

index

or

basket

of

issuers

or

indices.

In

the

event

of

a

default

of

the

underlying

referenced

debt

obligation,

the

buyer

is

entitled

to

receive

the

notional

amount

of

the

credit

default

swap

contract

from

the

seller

in

exchange

for

the

referenced

debt

obligation,

a

net

settlement

amount

equal

to

the

notional

amount

of

the

credit

default

swap

less

the

recovery

value

of

the

referenced

debt

obligation,

or

other

agreed

upon

amount.

For

centrally

cleared

credit

default

swaps,

required

initial

margins

are

pledged

by

the

Fund,

and

the

daily

change

in

fair

value

is

accounted

for

as

a

variation

margin

payable

or

receivable

in

the

Statement

of

Assets

and

Liabilities.

Over

the

term

of

the

contract,

the

buyer

pays

the

seller

a

periodic

stream

of

payments,

provided

that

no

event

of

default

has

occurred.

Such

periodic

payments

are

accrued

daily

as

an

unrealized

appreciation or

depreciation

until

the

payments

are

made,

at

which

time

they

are

realized.

Upfront

payments

and

receipts

are

reflected

in

the Statement

of

Assets

and

Liabilities

and

represent

compensating

factors

between

stated

terms

of

the

credit

default

swap

agreement

and

prevailing

market

conditions

(credit

spreads

and

other

relevant

factors).

These

upfront

payments

and

receipts

are

amortized

over

the

term

of

the

contract

as

a

realized

gain

or

loss

in

the Statement

of

Operations.

Credit

default

swap

contracts

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

The

Fund entered

into

interest

rate

swap

contracts

primarily

to

manage

interest

rate

risk.

An

interest

rate

swap

is

an

agreement

between

the

Fund

and

a

counterparty

to

exchange

cash

flows

based

on

the

difference

between

two

interest

rates,

applied

to

a

notional

amount.

These

agreements

may

be

privately

negotiated

in

the

over-the-

counter

market

(OTC

interest

rate

swaps)

or

may

be

executed

on

a

registered

exchange

(centrally

cleared

interest

rate

swaps).

For

centrally

cleared

interest

rate

swaps,

required

initial

margins

are

pledged

by

the

Fund,

and

the

daily

change

in

fair

value

is

accounted

for

as

a

variation

margin

payable

or

receivable

in

the

Statement

of

Assets

and

Liabilities.

Over

the

term

of

the

contract,

contractually

required

payments

to

be

paid

and

to

be

received

are

accrued

daily

and

recorded

as

unrealized

appreciation

or

depreciation

until

the

payments

are

made,

at

which

time

they

are

realized.

Interest

rate

swap

contracts

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

The

Fund

entered

into

OTC

total

return

swap

contracts

primarily

to

manage

and/or

gain exposure

to

credit risk

of

an

underlying

instrument

such

as

a

stock,

bond,

index

or

basket

of

securities

or

indices.

A

total

return

swap

is

an

agreement

between

the

Fund

and

a

counterparty

to

exchange

a

return

linked

to

an

underlying

instrument

for

a

floating

or

fixed

rate

payment,

both

based

upon

a

notional

amount.

Over

the

term

of

the

contract,

contractually

required

payments

to

be

paid

or

received

are

accrued

daily

and

recorded

as

unrealized

appreciation or

depreciation

until

the

payments

are

made,

at

which

time

they

are

recognized

as

realized

gain

or

loss. Total

return

swap contracts outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

See

Note

regarding

other

derivative

information.

e. #### Securities

#### Lending
The

Fund

participates

in

an

agency

based

securities

lending

program

to

earn

additional

income.

The

Fund

receives

collateral

in

the

form

of

cash

and/or

U.S.

Government

and

Agency

securities

against

the

loaned

securities

in

an

amount

equal

to

at

least

102%

of

the

fair

value

of

the

loaned

securities.

Collateral

is

maintained

over

the

life

of

the

loan

in

an

amount

not

less

than

100%

of

the

fair

value

of

loaned

securities,

as

determined

at

the

close

of

Fund

business

each

day;

any

additional

collateral

required

due

to

changes

in

security

values

is

delivered

to

the

Fund

on

the

next

business

day.

Any

cash

collateral

received

is

deposited

into

a

joint

cash

account

with

other

funds

and

is

used

to

invest

in

a

money

market

fund

managed

by

Franklin

Advisers,

Inc.,

an

affiliate

of

the

Fund. The

Fund

may

receive

income

from

the

investment

of

cash

collateral,

in

addition

to

lending

fees paid

by

the

borrower.

Income

from

securities

loaned,

net

of

fees

paid

to

the

securities

lending

agent

and/or

third-party

vendor,

is

reported

separately

in

the Statement of

Operations.

The

Fund

bears

the

market

risk

with

respect

to

any

cash

collateral

investment,

securities

loaned,

and

the

risk

that

the

agent

may

default

on

its

obligations

to

the

Fund.

If

the

borrower

defaults

on

its

obligation

to

return

the

securities

loaned,

the

Fund

has

the

right

to

repurchase

the

securities

in

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

d. #### Derivative

#### Financial

#### Instruments
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

the

open

market

using

the

collateral

received.

The

securities

lending

agent

has

agreed

to

indemnify

the

Fund

in

the

event

of

default

by

a

third

party

borrower.

Securities

on

loan

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

f. #### Mortgage

#### Dollar

#### Rolls
The

Fund

enters

into

mortgage

dollar

rolls,

typically

on

a

TBA

basis.

Mortgage

dollar

rolls

are

agreements

between

the

Fund

and

a

financial

institution

where

the

Fund

sells

(or

buys)

mortgage-backed

securities

for

delivery

on

a

specified

date

and

simultaneously

contracts

to

repurchase

(or

sell)

substantially

similar

(same

type,

coupon,

and

maturity)

securities

at

a

future

date

and

at

a

predetermined

price.

Gains

or

losses

are

realized

on

the

initial

sale,

and

the

difference

between

the

repurchase

price

and

the

sale

price

is

recorded

as

an

unrealized

gain

or

loss

to

the

Fund

upon

entering

into

the

mortgage

dollar

roll.

In

addition,

the

Fund

may

invest

the

cash

proceeds

that

are

received

from

the

initial

sale.

During

the

period

between

the

sale

and

repurchase,

the

Fund

is

not

entitled

to

principal

and

interest

paid

on

the

mortgage

backed

securities.

Transactions

in

mortgage

dollar

rolls

are

accounted

for

as

purchases

and

sales

and

may

result

in

an

increase

to

the

Fund's

portfolio

turnover

rate.

The

risks

of

mortgage

dollar

roll

transactions

include

the

potential

inability

of

the

counterparty

to

fulfill

its

obligations.

g. #### Senior

#### Floating

#### Rate

#### Interests
The

Fund

invests

in

senior

secured

corporate

loans

that

pay

interest

at

rates

which

are

periodically

reset

by

reference

to

a

base

lending

rate

plus

a

spread.

These

base

lending

rates

are

generally

the

prime

rate

offered

by

a

designated

U.S.

bank

or

the

Secured

Overnight

Financing

Rate

(SOFR).

Senior

secured

corporate

loans

often

require

prepayment

of

principal

from

excess

cash

flows

or

at

the

discretion

of

the

borrower.

As

a

result,

actual

maturity

may

be

substantially

less

than

the

stated

maturity.

Senior

secured

corporate

loans

in

which

the Fund

invests

are

generally

readily

marketable,

but

may

be

subject

to

certain

restrictions

on

resale.

h. #### Marketplace

#### Lending
The

Fund

invests

in

loans

obtained

through

marketplace

lending.

Marketplace

lending,

sometimes

referred

to

as

peer-to-peer

lending,

is

a

method

of

financing

in

which

a

platform

facilitates

the

borrowing

and

lending

of

money.

It

is

considered

an

alternative

to

more

traditional

forms

of

debt

financing.

Prospective

borrowers

are

required

to

provide

certain

financial

information

to

the

platform,

including,

but

not

limited

to,

the

intended

purpose

of

the

loan,

income,

employment

information,

credit

score,

debt-to-income

ratio,

credit

history

(including

defaults

and

delinquencies)

and

home

ownership

status.

Based

on

this

and

other

information,

the

platform

assigns

its

own

credit

rating

to

the

borrower

and

sets

the

interest

rate

for

the

requested

loan.

The

platform

then

posts

the

borrowing

requests

online,

giving

investors

the

opportunity

to

purchase

the

loans

based

on

factors

such

as

the

interest

rates

and

expected

yields

of

the

loans,

the

borrower

background

data,

and

the

credit

rating

assigned

by

the

platform.

When

the

Fund

invests

in

these

loans,

it

usually

purchases

all

rights,

title

and

interest

in

the

loans

pursuant

to

a

loan

purchase

agreement

directly

from

the

platform.

The

platform

or

a

third-party

servicer

typically

continues

to

service

the

loans,

collecting

payments

and

distributing

them

to

the

Fund,

less

any

servicing

fees

assessed.

The

servicer

is

typically

responsible

for

taking

actions

against

a

borrower

in

the

event

of

a

default

on

the

loan.

Servicing

fees,

along

with

other

administration

fees,

are

included

in

marketplace

lending

fees

in

the

Statement

of

Operations.

The Fund,

as

an

investor

in

a

loan,

would

be

entitled

to

receive

payment

only

from

the

borrower

and

would

not

be

able

to

recover

any

deficiency

from

the

platform,

except

under

very

narrow

circumstances.

The

loans

in

which

the

Fund

may

invest

are

unsecured.

i. #### Income

#### and

#### Deferred

#### Taxes
It

is the Fund's

policy

to

qualify

as

a

regulated

investment

company

under

the

Internal

Revenue

Code. The Fund

intends

to

distribute

to

shareholders

substantially

all

of

its

taxable

income

and

net

realized

gains

to

relieve

it

from

federal

income

and if

applicable,

excise

taxes.

As

a

result,

no

provision

for

U.S.

federal

income

taxes

is

required.

The Fund

may

be

subject

to

foreign

taxation

related

to

income

received,

capital

gains

on

the

sale

of

securities

and

certain

foreign

currency

transactions

in

the

foreign

jurisdictions

in

which

it

invests.

Foreign

taxes,

if

any,

are

recorded

based

on

the

tax

regulations

and

rates

that

exist

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

e. #### Securities

#### Lending
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

in

the

foreign

markets

in

which

the

Fund

invests.

When

a

capital

gain

tax

is

determined

to

apply,

the

Fund

records

an

estimated

deferred

tax

liability

in

an

amount

that

would

be

payable

if

the

securities

were

disposed

of

on

the

valuation

date.

The Fund

may

recognize

an

income

tax

liability

related

to

its

uncertain

tax

positions

under

U.S.

GAAP

when

the

uncertain

tax

position

has

a

less

than

50%

probability

that

it

will

be

sustained

upon

examination

by

the

tax

authorities

based

on

its

technical

merits.

As

of

December

31,

2025, the Fund

has

determined

that

no

tax

liability

is

required

in

its

financial

statements

related

to

uncertain

tax

positions

for

any

open

tax

years

(or

expected

to

be

taken

in

future

tax

years).

The

Fund's

federal

and

state

income

and

federal

excise

tax

returns

for

the

prior

three

fiscal

years

are

subject

to

examination

by

the

Internal

Revenue

Service

and

state

departments

of

revenue.

j. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
Security

transactions

are

accounted

for

on

trade

date.

Realized

gains

and

losses

on

security

transactions

are

determined

on

a

specific

identification

basis.

Interest

income

(including

interest

income

from

payment-in-kind

securities,

if

any)

and

estimated

expenses

are

accrued

daily.

Amortization

of

premium

and

accretion

of

discount

on

debt

securities

are

included

in

interest

income.

Paydown

gains

and

losses

are

recorded

as

an

adjustment

to

interest

income.

The

Fund

may

receive

other

income

from

investments

in

senior

secured

corporate

loans

or

unfunded

commitments,

including

amendment

fees,

consent

fees

or

commitment

fees.

These

fees

are

recorded

as

income

when

received

by

the

Fund.

Facility

fees

are

recognized

as

income

over

the

expected

term

of

the

loan.

Dividend

income

is

recorded

on

the

ex-

dividend

date

except

for

certain

dividends

from

securities

where

the

dividend

rate

is

not

available.

In

such

cases,

the

dividend

is

recorded

as

soon

as

the

information

is

received

by

the

Fund.

Distributions

to

shareholders

are

recorded

on

the

ex-dividend

date.

Distributable

earnings

are

determined

according

to

income

tax

regulations

(tax

basis)

and

may

differ

from

earnings

recorded

in

accordance

with

U.S.

GAAP.

These

differences

may

be

permanent

or

temporary.

Permanent

differences

are

reclassified

among

capital

accounts

to

reflect

their

tax

character.

These

reclassifications

have

no

impact

on

net

assets

or

the

results

of

operations.

Temporary

differences

are

not

reclassified,

as

they

may

reverse

in

subsequent

periods.

Common

expenses

incurred

by

the

Trust

are

allocated

among

the

Funds

based

on

the

ratio

of

net

assets

of

each

Fund

to

the

combined

net

assets

of

the

Trust

or

based

on

the

ratio

of

number

of

shareholders

of

each

Fund

to

the

combined

number

of

shareholders

of

the

Trust.

Fund

specific

expenses

are

charged

directly

to

the

Fund

that

incurred

the

expense.

Realized

and

unrealized

gains

and

losses

and

net

investment

income,

excluding

class

specific

expenses,

are

allocated

daily

to

each

class

of

shares

based

upon

the

relative

proportion

of

net

assets

of

each

class.

Differences

in

per

share

distributions

by

class

are

generally

due

to

differences

in

class

specific

expenses.

Inflation-indexed

bonds

are

adjusted

for

inflation

through

periodic

increases

or

decreases

in

the

security's

interest

accruals,

face

amount,

or

principal

redemption

value,

by

amounts

corresponding

to

the

rate

of

inflation

as

measured

by

an

index.

Any

increase

or

decrease

in

the

face

amount

or

principal

redemption

value

will

be

included

as

interest

income

in

the

Statement

of

Operations.

k. #### Accounting

#### Estimates
The

preparation

of

financial

statements

in

accordance

with

U.S.

GAAP

requires

management

to

make

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

amounts

of

income

and

expenses

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

l. #### Guarantees

#### and

#### Indemnifications
Under

the Trust's

organizational

documents,

its

officers

and trustees

are

indemnified

by

the Trust against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Trust.

Additionally,

in

the

normal

course

of

business,

the Trust,

on

behalf

of

the

Fund, enters

into

contracts

with

service

providers

that

contain

general

indemnification

clauses.

The Trust's

maximum

exposure

under

these

arrangements

is

unknown

as

this

would

involve

future

claims

that

may

be

made

against

the Trust

that

have

not

yet

occurred.

Currently,

the Trust

expects

the

risk

of

loss

to

be

remote.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

i. #### Income

#### and

#### Deferred

#### Taxes
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

2. #### Shares

#### of

#### Beneficial

#### Interest
At

December

31,

2025,

there

were

an

unlimited

number

of

shares

authorized

(without

par

value).

Transactions

in

the

Fund's

shares

were

as

follows:

3. #### Transactions

#### with

#### Affiliates
Franklin

Resources,

Inc.

is

the

holding

company

for

various

subsidiaries

that

together

are

referred

to

as

Franklin

Templeton.

Certain

officers

and trustees

of

the Fund are

also

officers

and/or directors

of

the

following

subsidiaries:

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### 1

#### Shares:
Shares

sold

...................................

1,041,139

$9,785,327

799,640

$7,486,031

Shares

issued

in

reinvestment

of

distributions

..........

904,973

8,271,456

891,196

8,092,061

Shares

redeemed

...............................

(2,747,949)

(25,932,393)

(2,674,742)

(25,029,106)

Net

increase

(decrease)

..........................

(801,837)

$(7,875,610)

(983,906)

$(9,451,014)

#### Class

#### 2

#### Shares:
Shares

sold

...................................

1,202,750

$10,817,816

1,524,842

$13,708,559

Shares

issued

in

reinvestment

of

distributions

..........

381,172

3,331,446

381,017

3,314,844

Shares

redeemed

...............................

(1,484,932)

(13,374,485)

(2,461,400)

(22,069,015)

Net

increase

(decrease)

..........................

98,990

$774,777

(555,541)

$(5,045,612)

#### Class

#### 4

#### Shares:
Shares

sold

...................................

373,146

$3,438,361

273,885

$2,541,636

Shares

issued

in

reinvestment

of

distributions

..........

161,031

1,462,157

171,902

1,550,557

Shares

redeemed

...............................

(786,921)

(7,341,859)

(552,406)

(5,125,555)

Net

increase

(decrease)

..........................

(252,744)

$(2,441,341)

(106,619)

$(1,033,362)

#### Subsidiary

#### Affiliation
Franklin

Advisers,

Inc.

(Advisers)

Investment

manager

Franklin

Templeton

Services,

LLC

(FT

Services)

Administrative

manager

Franklin

Distributors,

LLC

(Distributors)

Principal

underwriter

Franklin

Templeton

Investor

Services,

LLC

(Investor

Services)

Transfer

agent

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

a. #### Management

#### Fees
The

Fund

pays

an

investment

management fee,

calculated daily and

paid

monthly,

to

Advisers based

on the

average

daily net

assets

of

the

Fund

as

follows:

For

the

year

ended

December

31,

2025,

the

gross

effective

investment

management

fee

rate

was 0.625%

of

the

Fund's

average daily

net

assets.

b. #### Administrative

#### Fees
Under

an

agreement

with

Advisers,

FT

Services

provides

administrative

services

to

the

Fund.

The

fee

is

paid

by Advisers

based

on

the Fund's

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Fund.

c. #### Distribution

#### Fees
The

Board

has

adopted

distribution

plans

for

Class

2 and

Class

shares

pursuant

to

Rule

12b-1

under

the

1940

Act.

Under

the

Fund's

compensation

distribution

plans,

the

Fund

pays

Distributors

for

costs

incurred

in

connection

with

the

servicing,

sale

and

distribution

of

the

Fund's

shares

up

to

0.25%

and

0.35%

per

year

of

its

average

daily

net

assets

of

Class

and

Class

4,

respectively.

The

plan

year,

for

purposes

of

monitoring

compliance

with

the

maximum

annual

plan

rates,

is

February

through

January

31. d. #### Transfer

#### Agent

#### Fees
Investor

Services,

under

terms

of

an

agreement,

performs

shareholder

servicing

for

the

Fund and

is

not

paid

by

the Fund

for

the

services.

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
The

Fund

invests

in

one

or

more

affiliated

management

investment

companies.

As

defined

in

the

1940

Act,

an

investment

is

deemed

to

be

a

"Controlled

Affiliate"

of

a

fund

when

a

fund

owns,

either

directly

or

indirectly,

25%

or

more

of

the

affiliated

fund's

outstanding

shares

or

has

the

power

to

exercise

control

over

management

or

policies

of

such

fund.

The

Fund

does

not

invest

for

purposes

of

exercising

a

controlling

influence

over

the

management

or

policies.

Management

fees

paid

by

the

Fund

are

waived

on

assets

invested

in

the

affiliated

management

investment

companies,

as

noted

in

the

Statement

of

Operations,

in

an

amount

not

to

exceed

the

management

and

administrative

fees,

if

applicable, paid

directly

or

indirectly

by

each

affiliate.

During

the

year

ended

December

31,

2025,

the

Fund

held

investments

in

affiliated

management

investment

companies

as

follows:

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
0.625%

Up

to

and

including

$500

million

0.525%

Over

$500

million,

up

to

and

including

$1

billion

0.480%

Over

$1

billion,

up

to

and

including

$1.5

billion

0.435%

Over

$1.5

billion,

up

to

and

including

$6.5

billion

0.415%

Over

$6.5

billion,

up

to

and

including

$11.5

billion

0.400%

Over

$11.5

billion,

up

to

and

including

$16.5

billion

0.390%

Over

$16.5

billion,

up

to

and

including

$19

billion

0.380%

Over

$19

billion,

up

to

and

including

$21.5

billion

0.370%

In

excess

of

$21.5

billion

3. #### Transactions

#### with

#### Affiliates
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

f. #### Other

#### Affiliated

#### Transactions
During

the

year

ended

December

31,

2024,

the

Fund

realized

$1,084,209

of

net

losses

resulting

from

in-kind

transactions

in

which

the

Fund

redeemed

shares

of

the

Franklin

Floating

Rate

Income

Fund,

a

series

of

Franklin

Floating

Rate

Master

Trust,

for

securities

held

by

the

underlying

fund

rather

than

for

cash.

4. #### Income

#### Taxes
For

tax

purposes,

capital

losses

may

be

carried

over

to

offset

future

capital

gains.

At

December

31,

2025,

the

capital

loss

carryforwards

were

as

follows:

During

the

year

ended

December

31,

2025,

the

Fund

utilized

$655,863

of

capital

loss

carryforwards.

The

tax

character

of

distributions

paid

during

the

years

ended

December

31,

2025

and

2024,

was

as

follows:

#### &nbsp;&nbsp;&nbsp;&nbsp;aa

#### Value

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### Sales

#### Realized

#### Gain
(Loss)

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### Value

#### at

#### End

#### of

#### Year

#### Number

#### of

#### Shares

#### Held

#### at

#### End

#### of

#### Year

#### Investment

#### Income

#### a&nbsp;&nbsp;&nbsp;&nbsp;

#### a

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund

#### Non-Controlled

#### Affiliates
Dividends

Franklin

BSP

Real

Estate

Debt

BDC

..................

$1,823,176

$809,104

$(2,591,342)

$37,224

$(78,162)

$—

—

$198,717

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

3,347,828

96,290,170

(87,711,396)

—

—

11,926,602

11,926,602

510,122

#### Non-Controlled

#### Affiliates
Income

from

securities

loaned

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$—

$2,474,000

$(2,474,000)

$—

$—

$—

—

$337

#### Total

#### Affiliated

#### Securities

#### ...
$5,171,004

$99,573,274

$(92,776,738)

$37,224

$(78,162)

$11,926,602

$709,176

Capital

loss

carryforwards

not

subject

to

expiration:

Short

term

................................................................................

$

8,186,755

Long

term

................................................................................

83,070,084

Total

capital

loss

carryforwards

...............................................................

$91,256,839

#### 2025

#### 2024
Distributions

paid

from:

Ordinary

income

..........................................................

$13,065,059

$12,957,462

3. #### Transactions

#### with

#### Affiliates
(continued)

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

At

December

31,

2025,

the

cost

of

investments,

net

unrealized

appreciation

(depreciation)

and

undistributed

ordinary

income for

income

tax

purposes

were

as

follows:

Differences

between

income

and/or

capital

gains

as

determined

on

a

book

basis

and

a

tax

basis

are

primarily

due

to

differing

treatments

of

foreign

currency

transactions,

paydown

losses,

payments-in-kind,

bond

discounts

and

premiums

and

tax

straddles.

5. #### Investment

#### Transactions
Purchases

and

sales

of

investments (excluding

short

term

securities) for

the

year

ended

December

31,

2025,

aggregated

$365,433,568 and

$361,022,316,

respectively.

6. #### Credit

#### Risk

#### and

#### Defaulted

#### Securities
At

December

31,

2025,

the

Fund

had 31.2% of

its

portfolio

invested

in

high

yield

securities,

senior

secured

floating

rate

loans,

or

other

securities rated

below

investment

grade

and

unrated

securities.

These

securities

may

be

more

sensitive

to

economic

conditions

causing

greater

price

volatility

and

are

potentially

subject

to

a

greater

risk

of

loss

due

to

default

than

higher

rated

securities.

The

Fund held

defaulted

securities

and/or

other

securities

for

which

the

income

has

been

deemed

uncollectible.

At

December

31,

2025,

the

aggregate

value

of

these

securities represents less

than

0.1%

of

the

Fund's net

assets.

The

Fund

discontinues

accruing

income

on

securities

for

which

income

has

been

deemed

uncollectible

and

provides

an

estimate

for

losses

on

interest

receivable.

The

securities

have

been

identified

in

the

accompanying

Schedule

of

Investments.

7. #### Unfunded

#### Loan

#### Commitments
The

Fund

enters

into

certain

credit

agreements,

all

or

a

portion

of

which

may

be

unfunded.

The Fund

is

obligated

to

fund

these

loan

commitments

at

the

borrowers'

discretion.

Unfunded

loan

commitments

and

funded

portions

of

credit

agreements

are

marked

to

market

daily

and

any

unrealized

appreciation

or

depreciation

is

included

in

the

Statement

of

Assets

and

Liabilities

and

the

Statement

of

Operations.

Funded

portions

of

credit

agreements

are

presented

in

the

Schedule

of

Investments.

At

December

31,

2025,

unfunded

commitments

were

as

follows:

Cost

of

investments

..........................................................................

$310,078,839

Unrealized

appreciation

........................................................................

$6,016,424

Unrealized

depreciation

........................................................................

(8,273,838)

Net

unrealized

appreciation

(depreciation)

..........................................................

$(2,257,414)

Distributable

earnings:

Undistributed

ordinary

income

...................................................................

$11,052,471

#### Borrower

#### Unfunded

#### Commitment

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
GC

Ferry

Acquisition

I,

Inc.

$

9,642

Pinnacle

Buyer

LLC

3,934

$

13,576

4. #### Income

#### Taxes
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

8. #### Other

#### Derivative

#### Information
At

December

31,

2025,

investments

in

derivative

contracts

are

reflected

in

the Statement of

Assets

and

Liabilities

as

follows:

#### Asset

#### Derivatives

#### Liability

#### Derivatives

#### Derivative

#### Contracts

#### Not

#### Accounted

#### for

#### as

#### Hedging

#### Instruments

#### Statement

#### of

#### Assets

#### and

#### Liabilities

#### Location

#### Fair

#### Value

#### Statement

#### of

#### Assets

#### and

#### Liabilities

#### Location

#### Fair

#### Value

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
Interest

rate

contracts

.......

Investments

in

securities,

at

value

$

325,430

a

Options

written,

at

value

$

334,218

Variation

margin

on

futures

contracts

18,086

b

Variation

margin

on

futures

contracts

120,665

b

Variation

margin

on

centrally

cleared

swap

contracts

12,713

b

Variation

margin

on

centrally

cleared

swap

contracts

—

Foreign

exchange

contracts

..

Investments

in

securities,

at

value

79,317

a

Options

written,

at

value

28,914

Unrealized

appreciation

on

OTC

forward

exchange

contracts

2,167

Unrealized

depreciation

on

OTC

forward

exchange

contracts

40,565

Credit

contracts

............

Variation

margin

on

centrally

cleared

swap

contracts

180,000

b

Variation

margin

on

centrally

cleared

swap

contracts

—

OTC

swap

contracts

(upfront

payments)

—

OTC

swap

contracts

(upfront

receipts)

50,415

Unrealized

appreciation

on

OTC

swap

contracts

74,160

Unrealized

depreciation

on

OTC

swap

contracts

—

Total

....................

$691,873

$574,777

a

Purchased

option

contracts

are

included

in

investments

in

securities,

at

value

in

the

Statement

of

Assets

and

Liabilities.

b

This

amount

reflects

the

cumulative

appreciation

(depreciation)

of

futures

contracts

and

centrally

cleared

swap

contracts

as

reported

in

the

Schedule

of

Investments.

Only

the

variation

margin

receivable/payable

at

year

end

is

separately

reported

within

the

Statement

of

Assets

and

Liabilities.

Prior

variation

margin

movements

were

recorded

to

cash

upon

receipt

or

payment.

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

For

the

year

ended

December

31,

2025,

the

effect

of

derivative

contracts

in

the Statement

of

Operations

was

as

follows:

For

the

year

ended

December

31,

2025,

the

average

month

end

notional

amount

of

futures

contracts,

swap

contracts

and

options,

and

the

average month

end

contract

value

for forward

exchange

contracts,

were as

follows:

See

Note

1(d)

regarding

derivative

financial

instruments.

See

Abbreviations

on

.

9. #### Credit

#### Facility
The

Fund,

together

with

other

U.S.

registered

and

foreign

investment

funds

(collectively,

Borrowers),

managed

by

Franklin

Templeton,

are

borrowers

in

a

joint

syndicated

senior

unsecured

credit

facility

totaling

$2.995

billion

(Global

Credit

Facility)

which

matured

on

January

30,

2026. This

Global

Credit

Facility

provides

a

source

of

funds

to

the

Borrowers

for

temporary

#### Derivative

#### Contracts

#### Not

#### Accounted

#### for

#### as

#### Hedging

#### Instruments

#### Statement

#### of

#### Operations

#### Location

#### Net

#### Realized

#### Gain
(Loss)

#### for

#### the

#### Year

#### Statement

#### of

#### Operations

#### Location

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### for

#### the

#### Year

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
Net

realized

gain

(loss)

from:

Net

change

in

unrealized

&nbsp;&nbsp;&nbsp;&nbsp;appreciation

(depreciation)

on:

Interest

rate

contracts

..........

Investments

$—

Investments

$50,186

a

Written

options

—

Written

options

(63,334)

Futures

contracts

406,592

Futures

contracts

(161,132)

Swap

contracts

(47,533)

Swap

contracts

12,713

Foreign

exchange

contracts

.....

Investments

—

Investments

(66,317)

a

Written

options

—

Written

options

28,558

Forward

exchange

contracts

(90,081)

Forward

exchange

contracts

(188,355)

Credit

contracts

...............

Investments

171,000

a

Investments

—

Written

options

87,210

Written

options

—

Swap

contracts

587,888

Swap

contracts

(448,872)

Total

.......................

$1,115,076

$(836,553)

a

Purchased

option

contracts

are

included

in

net

realized

gain

(loss)

from

investments

and

net

change

in

unrealized

appreciation

(depreciation)

on

investments

in

the

Statement

of

Operations.

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
Futures

contracts

............................................................................

$27,148,293

Swap

contracts

..............................................................................

14,359,385

Forward

exchange

contracts

....................................................................

2,952,579

Options

....................................................................................

4,823,398

8. #### Other

#### Derivative

#### Information
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

and

emergency

purposes,

including

the

ability

to

meet

future

unanticipated

or

unusually

large

redemption

requests.

Effective

January

30,

2026,

the

Borrowers

renewed

the

Global

Credit

Facility

for

a

one-year

term,

maturing

January

29,

2027,

for

a

total

of

$2.995

billion.

Under

the

terms

of

the

Global

Credit

Facility,

the

Fund

may,

in

addition

to

interest

charged

on

any

borrowings

made

by

the

Fund

and

other

costs

incurred

by

the

Fund,

pay

its

share

of

fees

and

expenses

incurred

in

connection

with

the

implementation

and

maintenance

of

the

Global

Credit

Facility,

based

upon

its

relative

share

of

the

aggregate

net

assets

of

all

of

the

Borrowers,

including

an

annual

commitment

fee

of

0.15%

based

upon

the

unused

portion

of

the

Global

Credit

Facility.

These

fees

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

During

the

year

ended

December

31,

2025,

the Fund

did

not

use

the

Global

Credit

Facility.

10. #### Fair

#### Value

#### Measurements
The

Fund

follows

a

fair

value

hierarchy

that

distinguishes

between

market

data

obtained

from

independent

sources

(observable

inputs)

and

the Fund's

own

market

assumptions

(unobservable

inputs).

These

inputs

are

used

in

determining

the

value

of

the

Fund's financial

instruments

and

are

summarized

in

the

following

fair

value

hierarchy:

Level

–

quoted

prices

in

active

markets

for

identical

financial

instruments

Level

–

other

significant

observable

inputs

(including

quoted

prices

for

similar

financial

instruments,

interest

rates,

prepayment

speed,

credit

risk,

etc.)

Level

–

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

financial

instruments)

The

input

levels

are

not

necessarily

an

indication

of

the

risk

or

liquidity

associated

with

financial

instruments

at

that

level.

A

summary

of

inputs

used

as

of

December

31,

2025,

in

valuing

the

Fund's assets

and

liabilities carried

at

fair

value,

is

as

follows:

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund

#### Assets:
Investments

in

Securities:

a

Common

Stocks

:

Hotels,

Restaurants

&

Leisure

.............

$

—

$

1,125

$

—

$

1,125

Machinery

............................

—

—

91,659

91,659

Oil,

Gas

&

Consumable

Fuels

.............

1,970

22,202

—

24,172

Corporate

Bonds

:

Aerospace

&

Defense

...................

—

3,770,450

—

3,770,450

Automobile

Components

.................

—

1,019,929

—

1,019,929

Automobiles

..........................

—

857,273

—

857,273

Banks

...............................

—

12,297,356

—

12,297,356

Beverages

...........................

—

487,040

—

487,040

Biotechnology

.........................

—

1,836,674

—

1,836,674

Broadline

Retail

.......................

—

417,882

—

b

417,882

Building

Products

......................

—

2,162,046

—

2,162,046

Capital

Markets

........................

—

4,285,724

—

4,285,724

Chemicals

...........................

—

2,060,451

—

2,060,451

Commercial

Services

&

Supplies

...........

—

1,239,111

—

1,239,111

Communications

Equipment

..............

—

921,598

—

921,598

Construction

&

Engineering

...............

—

788,160

—

788,160

Consumer

Finance

.....................

—

4,117,478

—

4,117,478

9. #### Credit

#### Facility
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

#### Assets:
(continued)

Investments

in

Securities:

a

(continued)

Corporate

Bonds:

(continued)

Consumer

Staples

Distribution

&

Retail

......

$

—

$

412,670

$

—

$

412,670

Containers

&

Packaging

.................

—

1,265,130

—

1,265,130

Distributors

...........................

—

287,847

—

287,847

Diversified

Consumer

Services

............

—

696,221

—

696,221

Diversified

REITs

......................

—

849,552

—

849,552

Diversified

Telecommunication

Services

.....

—

3,329,784

—

3,329,784

Electric

Utilities

........................

—

5,514,963

—

5,514,963

Electronic

Equipment,

Instruments

&

Components

........................

—

1,402,165

—

1,402,165

Energy

Equipment

&

Services

.............

—

2,136,172

—

2,136,172

Entertainment

.........................

—

692,160

—

692,160

Financial

Services

......................

—

3,708,219

—

3,708,219

Food

Products

........................

—

2,234,345

—

2,234,345

Gas

Utilities

..........................

—

206,988

—

206,988

Ground

Transportation

..................

—

3,029,211

—

3,029,211

Health

Care

Equipment

&

Supplies

.........

—

1,308,125

—

1,308,125

Health

Care

Providers

&

Services

..........

—

7,120,783

—

7,120,783

Health

Care

REITs

.....................

—

1,781,313

—

1,781,313

Health

Care

Technology

.................

—

680,009

—

680,009

Hotel

&

Resort

REITs

...................

—

1,326,574

—

1,326,574

Hotels,

Restaurants

&

Leisure

.............

—

5,806,099

—

5,806,099

Household

Durables

....................

—

1,201,113

—

1,201,113

Household

Products

....................

—

378,858

—

378,858

Independent

Power

and

Renewable

Electricity

Producers

..........................

—

3,657,479

—

3,657,479

Insurance

............................

—

4,289,205

—

4,289,205

IT

Services

...........................

—

1,663,417

—

1,663,417

Leisure

Products

.......................

—

394,313

—

394,313

Machinery

............................

—

1,726,396

—

1,726,396

Media

...............................

—

6,965,247

—

6,965,247

Metals

&

Mining

.......................

—

1,903,966

—

1,903,966

Multi-Utilities

..........................

—

1,742,873

—

1,742,873

Oil,

Gas

&

Consumable

Fuels

.............

—

13,532,883

—

13,532,883

Passenger

Airlines

.....................

—

1,274,225

—

1,274,225

Personal

Care

Products

.................

—

640,574

—

640,574

Pharmaceuticals

.......................

—

2,964,476

—

2,964,476

Professional

Services

...................

—

233,084

—

233,084

Real

Estate

Management

&

Development

....

—

132,687

—

132,687

Residential

REITs

......................

—

308,782

—

308,782

Semiconductors

&

Semiconductor

Equipment

.

—

1,839,734

—

1,839,734

Software

.............................

—

1,779,105

—

1,779,105

Specialized

REITs

......................

—

1,739,357

—

1,739,357

Technology

Hardware,

Storage

&

Peripherals

.

—

1,235,823

—

1,235,823

Textiles,

Apparel

&

Luxury

Goods

..........

—

319,989

—

319,989

Tobacco

.............................

—

1,563,341

—

1,563,341

Trading

Companies

&

Distributors

..........

—

1,620,921

—

1,620,921

Transportation

Infrastructure

..............

—

111,569

—

111,569

Wireless

Telecommunication

Services

.......

—

2,318,956

2,221

2,321,177

Senior

Floating

Rate

Interests

...............

—

5,316,032

237,485

5,553,517

Marketplace

Loans

.......................

—

—

495,644

b

495,644

Foreign

Government

and

Agency

Securities

....

—

19,356,618

—

19,356,618

U.S.

Government

and

Agency

Securities

.......

—

41,359,267

—

41,359,267

10. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

A

reconciliation

of

assets

in

which

Level

inputs

are

used

in

determining

fair

value

is

presented

when

there

are

significant

Level

assets

and/or

liabilities

at

the

beginning

and/or

end

of

the

year.

At

December

31,

2025,

the

reconciliation

is

as

follows:

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

#### Assets:
(continued)

Investments

in

Securities:

a

(continued)

Asset-Backed

Securities

...................

$

—

$

7,901,593

$

—

$

7,901,593

Commercial

Mortgage-Backed

Securities

......

—

13,745,134

—

13,745,134

Mortgage-Backed

Securities

................

—

51,536,915

—

51,536,915

Residential

Mortgage-Backed

Securities

.......

—

7,399,069

—

7,399,069

Agency

Commercial

Mortgage-Backed

Securities

—

12,252,532

—

12,252,532

Escrows

and

Litigation

Trusts

...............

—

1,227

1,159

2,386

Options

Purchased

.......................

—

404,747

—

404,747

Short

Term

Investments

...................

11,926,602

—

—

11,926,602

Total

Investments

in

Securities

...........

$11,928,572

$294,884,336

$828,168

$307,641,076

Other

Financial

Instruments:

Forward

Exchange

Contracts

...............

$—

$2,167

$—

$2,167

Futures

Contracts

.......................

18,086

—

—

18,086

Swap

Contracts

.........................

—

266,873

—

266,873

Unfunded

Loan

Commitments

..............

—

—

Total

Other

Financial

Instruments

.........

$18,086

$269,060

$—

$287,146

#### Liabilities:
Other

Financial

Instruments:

Options

Written

..........................

$—

$363,132

$—

$363,132

Forward

Exchange

Contracts

...............

—

40,565

—

40,565

Futures

Contracts

........................

120,665

—

—

120,665

Unfunded

Loan

Commitments

...............

—

—

Total

Other

Financial

Instruments

.........

$120,665

$403,698

$—

$524,363

a

For

detailed

categories,

see

the

accompanying

Schedule

of

Investments.

b

Includes

financial

instruments

determined

to

have

no

value.

#### Balance

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### a

#### Sales

#### b,b

#### Transfer

#### Into

#### Level

#### 3

#### c

#### Transfer

#### Out

#### of

#### Level

#### 3

#### Net

#### Accretion

#### (Amortiza-

#### tion)

#### Net

#### Realized

#### Gain
(Loss)

#### Net

#### Unr

#### ealized

#### Appreciatio

#### n

#### (#### Depreciation

####)

#### Balance

#### at

#### End

#### of

#### Year

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### on

#### Assets

#### Held

#### at

#### Year

#### End

#### a

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund

#### Assets:
Investments

in

Securities:

Common

Stocks

:

Broadline

Retail

.....

$

—

d

$

—

$

—

d

$

—

$

—

$

—

$

(115,861)

$

115,861

$

—

$

—

Machinery

.........

—

—

—

73,135

—

—

—

18,524

91,659

18,524

Management

Investment

Companies

:

Capital

Markets

.....

1,823,176

809,104

(2,591,343)

—

—

—

37,224

(78,161)

—

—

Corporate

Bonds

:

Broadline

Retail

.....

—

d

—

—

—

—

—

—

—

—

d

—

Wireless

Telecommunication

Services

........

1,440

—

(1,347)

—

—

1,208

983

(63) 2,221

982

Senior

Floating

Rate

Interests

:

Specialty

Retail

.....

—

(10,672)

(847) 222,948

—

26,971

(1,041)

237,485

15,041

10. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

11. #### Operating

#### Segments
The Fund operates

as

a

single

operating

segment,

which

is

an

investment

portfolio.

The

portfolio

managers

assigned

to

the

Fund

within

the

Fund's

Investment

manager serve

as

the

Chief

Operating

Decision

Maker

("CODM")

and

are

responsible

for

evaluating

the

Fund's

operating

results

and

allocating

resources

in

accordance

with

the

Fund's

investment

strategy.

Internal

reporting

provided

to

the

CODM

aligns

with

the

accounting

policies

and

measurement

principles

used

in

the financial

statements.

For

information

regarding

segment

assets,

segment

profit

or

loss,

and

significant

expenses,

refer

to

the Statement

of

Assets

and

Liabilities

and

the Statement

of

Operations,

along

with

the

related

notes

to

the financial

statements.

The Schedule

of

Investments

provides

details

of

the Fund's investments

that

generate

returns

such

as

interest,

dividends,

and

realized

and

unrealized

gains

or

losses.

Performance

metrics,

including

portfolio

turnover

and

expense

ratios,

are

disclosed

in

the Financial

Highlights.

12. #### Subsequent

#### Events
The Fund

has

evaluated

subsequent

events

through

the

issuance

of

the

financial

statements

and

determined

that

no

events

have

occurred

that

require

disclosure

other

than

those

already

disclosed

in

the

financial

statements.

#### Balance

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### a

#### Sales

#### b,b

#### Transfer

#### Into

#### Level

#### 3

#### c

#### Transfer

#### Out

#### of

#### Level

#### 3

#### Net

#### Accretion

#### (Amortiza-

#### tion)

#### Net

#### Realized

#### Gain
(Loss)

#### Net

#### Unrealized

#### Appreciation
(Depreciation)

#### Balance

#### at

#### End

#### of

#### Year

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### on

#### Assets

#### Held

#### at

#### Year

#### End

#### a

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

#### Assets:
(continued)

Investments

in

Securities:

(continued)

Marketplace

Loans

:

Financial

Services

...

$

1,392,974

$

12,185

$

(1,135,380)

$

—

$

—

$

—

$

23,734

$

202,131

$

495,644

d

$

30,596

Escrows

and

Litigation

Trusts

:

—

d

—

—

—

—

—

—

1,159

1,159

1,159

Total

Investments

in

Securities

............

$3,217,590

$810,617

$(3,728,917)

$296,083

$—

$28,179

$(53,794)

$258,410

$828,168

$66,302

a

Purchases

include

all

purchases

of

securities

and

securities

received

in

corporate

actions.

b

Sales

include

all

sales

of

securities,

maturities,

paydowns

and

securities

tendered

in

corporate

actions.

c

Transferred

into

Level

as

a

result

of

the

unavailability

of

a

quoted

market

price

in

an

active

market

for

identical

securities

or

as

a

result

of

the

unreliability

of

the

foreign

exchange

rate

and

other

significant

observable

valuation

inputs.

May

include

amounts

related

to

a

corporate

action.

d

Includes

financial

instruments

determined

to

have

no

value.

10. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
(continued)

#### Abbreviations

#### Counterparty

#### BNDP
BNP

Paribas

SA

#### CITI
Citibank

NA

#### JPHQ
JPMorgan

Chase

Bank

NA

#### Cu

#### r

#### rency

#### EUR
Euro

#### USD
United

States

Dollar

#### Index

#### CDX.NA.HY.

#### Series

#### number
CDX

North

America

High

Yield

Index

#### Selected

#### Portfolio

#### BDC
Business

Development

Company

#### CLO
Collateralized

Loan

Obligation

#### CME
Chicago

Mercantile

Exchange

#### CMT
Constant

Monthly

U.S.

Treasury

Securities

Yield

Curve

Rate

Index

#### FFCB
Federal

Farm

Credit

Banks

Funding

Corp.

#### FHLMC
Federal

Home

Loan

Mortgage

Corp.

#### FNMA
Federal

National

Mortgage

Association

#### FRN
Floating

Rate

Note

#### GNMA
Government

National

Mortgage

Association

#### IO
Interest

Only

#### MBS
Mortgage-Backed

Security

#### PIK
Payment-In-Kind

#### REIT
Real

Estate

Investment

Trust

#### REMIC
Real

Estate

Mortgage

Investment

Conduit

#### SOFR
Secured

Overnight

Financing

Rate

#### STACR
Structured

Agency

Credit

Risk

#### T-Note
Treasury

Note

The

following

reference

rates,

and

their

values

as

of

period

end,

are

used

for

security

descriptions:

#### Reference

#### Index

#### Reference

#### Rate
1-day

SOFR

........................

3.87%

Franklin

Templeton

Variable

Insurance

Products

Trust

Report

of

Independent

Registered

Public

Accounting

Firm

franklintempleton.com

Annual

Report

To

the

Board

of

Trustees

of

Franklin

Templeton

Variable

Insurance

Products

Trust

and

Shareholders

of

Franklin

Strategic

Income

VIP

Fund

#### Opinion

#### on

#### the

#### Financial

#### Statements
We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

investments,

of

Franklin

Strategic

Income

VIP

Fund

(one

of

the

funds

constituting

Franklin

Templeton

Variable

Insurance

Products

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2025,

the

related

statement

of

operations

for

the

year

ended

December

31,

2025,

the

statement

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

four

years

in

the

period

ended

December

31,

2025

and

the

consolidated

financial

highlights

for

the

year

ended

December

31,

2021

(collectively

referred

to

as

the

"financial

statements").

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2025,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025,

the

financial

highlights

for

each

of

the

four

years

in

the

period

ended

December

31,

2025

and

the

consolidated

financial

highlights

for

the

year

ended

December

31,

2021

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

#### Basis

#### for

#### Opinion
These

financial

statements

are

the

responsibility

of

the

Fund's

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund's

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2025

by

correspondence

with

the

custodians,

private

placement

agents,

transfer

agent,

agent

banks

and

brokers;

when

replies

were

not

received

from

agent

banks

or

a

private

placement

agent,

we

performed

other

auditing

procedures.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/PricewaterhouseCoopers

LLP

San

Francisco,

California

February

19,

2026

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Franklin

Templeton

Group

of

Funds

since

1948. Franklin

Templeton

Variable

Insurance

Products

Trust

Tax

Information

(unaudited)

franklintempleton.com

Annual

Report

#### Franklin

#### Strategic

#### Income

#### VIP

#### Fund
By

mid-February,

tax

information

related

to

a

shareholder's

proportionate

share

of

distributions

paid

during

the

preceding

calendar

year

will

be

received,

if

applicable.

Please

also

refer

to

www.franklintempleton.com

for

per

share

tax

information

related

to

any

distributions

paid

during

the

preceding

calendar

year.

Shareholders

are

advised

to

consult

with

their

tax

advisors

for

further

information

on

the

treatment

of

these

amounts

on

their

tax

returns.

The

following

tax

information

for

the

Fund

is

required

to

be

furnished

to

shareholders

with

respect

to

income

earned

and

distributions

paid

during

its

fiscal

year.

The

Fund

hereby

reports

the

following

amounts,

or

if

subsequently

determined

to

be

different,

the

maximum

allowable

amounts,

for

the

fiscal

year

ended

December

31,

2025:

Note

(1) -

The

Law

varies

in

each

state

as

to

whether

and

what

percentage

of

dividend

income

attributable

to

Federal

obligations

is

exempt

from

state

income

tax.

Shareholders

are

advised

to

consult

with

their

tax

advisors

to

determine

if

any

portion

of

the

dividends

received

is

exempt

from

state

income

taxes.

#### Pursuant

#### to:

#### Amount

#### Reported
Income

Eligible

for

Dividends

Received

Deduction

(DRD)

§854(b)(1)(A)

$146,698

Interest

Earned

from

Federal

Obligations

Note

(1) $2,797,673

Franklin

Templeton

Variable

Insurance

Products

Trust

franklintempleton.com

Annual

Report

#### Changes

#### In

#### and

#### Disagreements

#### with

#### Accountants
For

the

period

covered

by

this

report

Not

applicable.

#### Results

#### of

#### Meeting(s)

#### of

#### Shareholders
For

the

period

covered

by

this

report

Not

applicable.

#### Remuneration

#### Paid

#### to

#### Directors,

#### Officers

#### and

#### Others
For

the

period

covered

by

this

report

Refer

to

the

financial

statements

included

herein.

Remuneration

to

officers

is

paid

by

the

Fund's

investment

manager

according

to

the

terms

of

the

agreement.

#### Board

#### Approval

#### of

#### Management

#### and

#### Subadvisory

#### Agreements
For

the

period

covered

by

this

report

Not

applicable.

4884-AFSOI

02/26©

2026

Franklin

Templeton.

All

rights

reserved.

#### Franklin

#### U.S.

#### Government

#### Securities

#### VIP

#### Fund

#### Financial

#### Statements

#### and

#### Other

#### Important

#### Information

#### Annual
\|

December

31,

2025

#### Table

#### of

#### Contents
franklintempleton.com

Financial

Statements

and

Other

Important

Information—Annual

Financial

Highlights

and

Schedule

of

Investments

#### 2
Financial

Statements

#### 7
Notes

to

Financial

Statements

#### 10
Report

of

Independent

Registered

Public

Accounting

Firm

#### 17
Tax

Information

#### 18
Changes

In

and

Disagreements

with

Accountants

#### 19
Results

of

Meeting(s)

of

Shareholders

Remuneration

Paid

to

Directors,

Officers

and

Others

Board

Approval

of

Management

and

Subadvisory

Agreements

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### U.S.

#### Government

#### Securities

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 1

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$10.43

$10.62

$10.44

$11.85

$12.37

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.33 0.31 0.28 0.20 0.12 Net

realized

and

unrealized

gains

(losses)

...........

0.38 (0.16)

0.21 (1.32)

(0.32)

Total

from

investment

operations

....................

0.71 0.15 0.49 (1.12)

(0.20)

Less

distributions

from:

Net

investment

income

..........................

(0.37)

(0.34)

(0.31)

(0.29)

(0.32)

Net

asset

value,

end

of

year

.......................

$10.77

$10.43

$10.62

$10.44

$11.85

Total

return

c

...................................

7.01%

1.50%

4.76%

(9.50)%

(1.62)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

.....................................

0.53%

d

0.53%

0.52%

e

0.49%

e

0.53%

e

Net

investment

income

...........................

3.08%

2.96%

2.70%

1.79%

1.03%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$29,696

$32,918

$35,731

$37,066

$45,733

Portfolio

turnover

rate

............................

23.32%

11.16%

16.46%

9.28%

80.81%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Franklin

#### U.S.

#### Government

#### Securities

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 2

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$10.18

$10.36

$10.19

$11.57

$12.08

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.29 0.28 0.25 0.16 0.09 Net

realized

and

unrealized

gains

(losses)

...........

0.38 (0.14)

0.20 (1.28)

(0.31)

Total

from

investment

operations

....................

0.67 0.14 0.45 (1.12)

(0.22)

Less

distributions

from:

Net

investment

income

..........................

(0.35)

(0.32)

(0.28)

(0.26)

(0.29)

Net

asset

value,

end

of

year

.......................

$10.50

$10.18

$10.36

$10.19

$11.57

Total

return

c

...................................

6.69%

1.37%

4.47%

(9.75)%

(1.83)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

.....................................

0.78%

d

0.78%

0.77%

e

0.74%

e

0.78%

e

Net

investment

income

...........................

2.83%

2.71%

2.45%

1.53%

0.78%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$467,523

$489,726

$522,181

$555,028

$730,340

Portfolio

turnover

rate

............................

23.32%

11.16%

16.46%

9.28%

80.81%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments,

December

31,

2025

#### Franklin

#### U.S.

#### Government

#### Securities

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Corporate

#### Bonds

#### 2.1%

#### Financial

#### Services

#### 1.8%
Private

Export

Funding

Corp.

,

TT

,

Senior

Note

,

3.65 %

,

3/15/30

.

United

States

9,075,000

$

8,972,320

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 0.3%
Reliance

Industries

Ltd.

,

Senior

Bond

,

2.512 %

,

1/15/26

........................

India

656,250

655,741

Senior

Note

,

1.87 %

,

1/15/26

.........................

India

368,421

368,053

Senior

Note

,

2.06 %

,

1/15/26

.........................

India

312,500

312,202

1,335,996

#### Total

#### Corporate

#### Bonds

#### (Cost

#### $

#### 10,351,766

####)
....................................

#### 10,308,316

#### U.S.

#### Government

#### and

#### Agency

#### Securities

#### 13.3%
U.S.

International

Development

Finance

Corp.

(The)

,

4.01 %,

5/15/30

.........................................

United

States

860,000

857,969

U.S.

Treasury

Notes

,

2.25 %,

8/15/27

...................................

United

States

34,040,000

33,383,134

%,

7/31/29

.....................................

United

States

24,000,000

24,314,532

0.625 %,

8/15/30

..................................

United

States

8,500,000

7,397,656

#### Total

#### U.S.

#### Government

#### and

#### Agency

#### Securities

#### (Cost

#### $

#### 68,008,551

####)
...............

#### 65,953,291

#### Mortgage-Backed

#### Securities

#### 76.9%
a

#### Federal

#### Home

#### Loan

#### Mortgage

#### Corp.
(FHLMC)

#### Adjustable

#### Rate

#### 0.6%
FHLMC

,

6.435 %,

(1-year

CMT

T-Note

+/-

MBS

Margin),

5/01/37

United

States

40,691

41,921

FHLMC

,

6.535 %

-

6.708 %,

(1-year

Refinitiv

USD

IBOR

Consumer

Cash

Fallbacks

+/-

MBS

Margin),

3/01/36

-

4/01/40

........

United

States

2,840,678

2,940,433

2,982,354

#### Federal

#### Home

#### Loan

#### Mortgage

#### Corp.
(FHLMC)

#### Fixed

#### Rate

#### 10.8%
FHLMC

Gold

Pool,

Year

,

3.5 %,

3/01/32

................

United

States

585,575

577,889

FHLMC

Gold

Pool,

Year

,

%,

5/01/43

..................

United

States

112,805

104,509

FHLMC

Gold

Pool,

Year

,

3.5 %,

5/01/43

................

United

States

18,680

17,836

FHLMC

Gold

Pool,

Year

,

%,

9/01/40

-

12/01/41

..........

United

States

1,719,360

1,685,690

FHLMC

Gold

Pool,

Year

,

4.5 %,

5/01/40

-

7/01/41

.........

United

States

499,102

503,669

FHLMC

Gold

Pool,

Year

,

%,

9/01/33

-

4/01/40

...........

United

States

1,524,346

1,568,146

FHLMC

Gold

Pool,

Year

,

5.5 %,

7/01/33

-

5/01/38

.........

United

States

281,968

293,776

FHLMC

Gold

Pool,

Year

,

%,

7/01/28

-

8/01/35

...........

United

States

267,471

278,472

FHLMC

Gold

Pool,

Year

,

6.5 %,

5/01/29

-

5/01/35

.........

United

States

59,240

61,965

FHLMC

Gold

Pool,

Year

,

%,

2/01/31

-

9/01/31

...........

United

States

20,822

21,897

FHLMC

Gold

Pool,

Year

,

8.5 %,

7/01/31

................

United

States

20,757

21,956

FHLMC

Pool,

Year

,

%,

1/01/51

......................

United

States

3,854,300

3,166,302

FHLMC

Pool,

Year

,

%,

11/01/45

.....................

United

States

6,208,597

6,010,670

FHLMC

Pool,

Year

,

4.5 %,

1/01/49

.....................

United

States

1,864,121

1,857,255

FHLMC

Pool,

Year

,

4.5 %,

10/01/52

....................

United

States

12,441,949

12,201,281

FHLMC

Pool,

Year

,

%,

12/01/52

.....................

United

States

11,992,917

12,016,694

FHLMC

Pool,

Year

,

5.5 %,

1/01/53

.....................

United

States

10,944,112

11,146,515

FHLMC

Pool,

Year

,

%,

10/01/55

.....................

United

States

2,132,904

2,191,905

53,726,427

a

#### Federal

#### National

#### Mortgage

#### Association
(FNMA)

#### Adjustable

#### Rate

#### 1.5%
FNMA

,

4.125 %

-

5.563 %,

(COFI

11th

District

+/-

MBS

Margin),

6/01/26

-

11/01/36

.................................

United

States

9,148

9,070

FNMA

,

4.995 %

-

6.47 %,

(12-month

average

of

1-year

CMT

+/-

MBS

Margin),

9/01/35

-

10/01/44

......................

United

States

68,760

69,123

FNMA

,

5.795 %

-

7.005 %,

(1-year

Refinitiv

USD

IBOR

Consumer

Cash

Fallbacks

+/-

MBS

Margin),

1/01/32

-

4/01/41

........

United

States

5,892,469

6,078,446

FNMA

,

5.22 %

-

7.005 %,

(6-month

Refinitiv

USD

IBOR

Consumer

Cash

Fallbacks

+/-

MBS

Margin),

9/01/27

-

3/01/37

........

United

States

138,302

142,092

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### U.S.

#### Government

#### Securities

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Mortgage-Backed

#### Securities
(continued)

a

#### Federal

#### National

#### Mortgage

#### Association
(FNMA)

#### Adjustable

#### Rate
(continued)

FNMA

,

5.412 %

-

7.258 %,

(1-year

CMT

T-Note

+/-

MBS

Margin),

9/01/26

-

12/01/40

.................................

United

States

1,533,982

$

1,581,570

7,880,301

#### Federal

#### National

#### Mortgage

#### Association
(FNMA)

#### Fixed

#### Rate

#### 19.1%
FNMA

,

3.28 %,

7/01/27

...............................

United

States

4,000,000

3,965,754

FNMA

,

5.5 %,

4/01/34

................................

United

States

217,713

223,935

FNMA,

Year

,

%,

9/01/35

...........................

United

States

1,463,813

1,361,999

FNMA,

Year

,

%,

9/01/37

...........................

United

States

8,784,987

8,455,904

FNMA,

Year

,

2.5 %,

8/01/51

.........................

United

States

7,642,009

6,517,460

FNMA,

Year

,

2.5 %,

9/01/51

.........................

United

States

16,870,429

14,385,249

FNMA,

Year

,

2.5 %,

11/01/51

.........................

United

States

3,912,627

3,340,295

FNMA,

Year

,

2.5 %,

12/01/51

.........................

United

States

5,348,052

4,556,897

FNMA,

Year

,

2.5 %,

2/01/52

.........................

United

States

7,050,394

6,002,998

FNMA,

Year

,

%,

7/01/51

...........................

United

States

3,239,416

2,885,716

FNMA,

Year

,

%,

12/01/42

-

9/01/51

...................

United

States

2,760,472

2,455,585

FNMA,

Year

,

3.5 %,

7/01/45

.........................

United

States

7,283,953

6,941,104

FNMA,

Year

,

%,

1/01/41

-

8/01/41

....................

United

States

1,617,638

1,584,011

FNMA,

Year

,

%,

9/01/52

...........................

United

States

12,697,358

12,104,071

FNMA,

Year

,

4.5 %,

8/01/40

-

6/01/41

..................

United

States

1,582,914

1,587,587

FNMA,

Year

,

%,

3/01/34

-

7/01/41

....................

United

States

1,004,629

1,032,156

FNMA,

Year

,

5.5 %,

12/01/32

-

8/01/35

.................

United

States

599,900

612,245

FNMA,

Year

,

5.5 %,

3/01/54

.........................

United

States

3,089,643

3,137,115

FNMA,

Year

,

%,

6/01/29

-

8/01/38

....................

United

States

471,759

489,658

FNMA,

Year

,

%,

8/01/53

...........................

United

States

8,266,114

8,508,164

FNMA,

Year

,

6.5 %,

12/01/29

-

9/01/36

.................

United

States

61,839

64,990

FNMA,

Year

,

6.5 %,

10/01/55

.........................

United

States

4,494,210

4,670,894

94,883,787

#### Government

#### National

#### Mortgage

#### Association
(GNMA)

#### Fixed

#### Rate

#### 44.9%
GNMA

I,

Year

,

%,

9/15/40

..........................

United

States

5,337,833

5,440,421

GNMA

I,

Year

,

5.5 %,

3/15/32

-

2/15/38

.................

United

States

152,180

158,573

GNMA

I,

Year

,

%,

7/15/29

-

11/15/38

..................

United

States

121,144

127,502

GNMA

I,

Year

,

6.5 %,

12/15/28

-

1/15/33

................

United

States

45,167

46,832

GNMA

I,

Year

,

%,

12/15/28

.........................

United

States

1,520

1,554

GNMA

I,

Year

,

7.5 %,

12/15/31

-

8/15/33

................

United

States

29,320

30,802

GNMA

I,

Single-family,

Year

,

%,

7/15/42

...............

United

States

162,959

150,431

GNMA

I,

Single-family,

Year

,

%,

10/15/40

-

8/15/46

.......

United

States

2,518,755

2,430,997

GNMA

I,

Single-family,

Year

,

4.5 %,

1/15/39

-

6/15/41

......

United

States

3,855,585

3,866,139

GNMA

I,

Single-family,

Year

,

5.5 %,

1/15/29

-

10/15/39

......

United

States

1,119,417

1,150,983

GNMA

I,

Single-family,

Year

,

%,

3/15/29

-

9/15/38

........

United

States

481,812

496,731

GNMA

I,

Single-family,

Year

,

6.5 %,

4/15/26

-

5/15/37

......

United

States

204,129

210,592

GNMA

I,

Single-family,

Year

,

%,

4/15/28

-

9/15/31

........

United

States

14,131

14,499

GNMA

I,

Single-family,

Year

,

7.5 %,

2/15/27

..............

United

States

GNMA

II,

Single-family,

Year

,

%,

10/20/50

..............

United

States

5,730,349

4,753,115

GNMA

II,

Single-family,

Year

,

%,

8/20/51

...............

United

States

4,046,667

3,355,275

GNMA

II,

Single-family,

Year

,

%,

12/20/51

..............

United

States

9,053,402

7,506,586

GNMA

II,

Single-family,

Year

,

%,

3/20/52

...............

United

States

5,774,188

4,787,640

GNMA

II,

Single-family,

Year

,

2.5 %,

6/20/51

.............

United

States

8,892,970

7,680,548

GNMA

II,

Single-family,

Year

,

2.5 %,

7/20/51

.............

United

States

3,752,865

3,241,207

GNMA

II,

Single-family,

Year

,

2.5 %,

8/20/51

.............

United

States

25,195,542

21,760,410

GNMA

II,

Single-family,

Year

,

2.5 %,

10/20/51

............

United

States

8,302,944

7,170,894

GNMA

II,

Single-family,

Year

,

%,

12/20/42

-

9/20/45

......

United

States

2,408,094

2,200,188

GNMA

II,

Single-family,

Year

,

%,

4/20/46

...............

United

States

4,551,900

4,145,565

GNMA

II,

Single-family,

Year

,

%,

7/20/51

...............

United

States

12,348,247

11,117,421

GNMA

II,

Single-family,

Year

,

%,

8/20/51

...............

United

States

4,802,500

4,323,805

GNMA

II,

Single-family,

Year

,

%,

10/20/51

..............

United

States

12,883,826

11,599,615

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Franklin

#### U.S.

#### Government

#### Securities

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

See

Abbreviations

on

.

a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

#### a
a

#### Mortgage-Backed

#### Securities
(continued)

#### Government

#### National

#### Mortgage

#### Association
(GNMA)

#### Fixed

#### Rate
(continued)

GNMA

II,

Single-family,

Year

,

3.5 %,

9/20/42

.............

United

States

4,915,941

$

4,654,639

GNMA

II,

Single-family,

Year

,

3.5 %,

11/20/42

............

United

States

2,984,696

2,824,887

GNMA

II,

Single-family,

Year

,

3.5 %,

1/20/43

.............

United

States

3,996,071

3,782,141

GNMA

II,

Single-family,

Year

,

3.5 %,

5/20/47

.............

United

States

7,323,414

6,810,067

GNMA

II,

Single-family,

Year

,

3.5 %,

9/20/47

.............

United

States

12,247,521

11,336,578

GNMA

II,

Single-family,

Year

,

3.5 %,

7/20/42

-

10/20/47

.....

United

States

11,599,656

10,940,465

GNMA

II,

Single-family,

Year

,

3.5 %,

11/20/47

............

United

States

3,281,610

3,057,517

GNMA

II,

Single-family,

Year

,

%,

11/20/39

-

2/20/44

.......

United

States

5,268,176

5,111,486

GNMA

II,

Single-family,

Year

,

4.5 %,

10/20/39

-

10/20/44

....

United

States

7,141,002

7,176,845

GNMA

II,

Single-family,

Year

,

%,

9/20/33

-

6/20/44

.......

United

States

2,764,965

2,841,858

GNMA

II,

Single-family,

Year

,

%,

9/20/54

...............

United

States

5,298,916

5,296,289

GNMA

II,

Single-family,

Year

,

5.5 %,

5/20/34

-

6/20/38

......

United

States

1,096,194

1,138,720

GNMA

II,

Single-family,

Year

,

5.5 %,

3/20/54

.............

United

States

4,225,135

4,276,554

GNMA

II,

Single-family,

Year

,

5.5 %,

8/20/54

.............

United

States

9,058,178

9,168,420

GNMA

II,

Single-family,

Year

,

5.5 %,

10/20/55

............

United

States

9,832,680

9,937,957

GNMA

II,

Single-family,

Year

,

%,

4/20/28

-

7/20/39

.......

United

States

719,903

756,317

GNMA

II,

Single-family,

Year

,

%,

9/20/55

...............

United

States

10,818,700

11,048,916

GNMA

II,

Single-family,

Year

,

%,

10/20/55

..............

United

States

4,840,417

4,998,398

GNMA

II,

Single-family,

Year

,

6.5 %,

5/20/54

.............

United

States

2,498,225

2,588,721

GNMA

II,

Single-family,

Year

,

6.5 %,

12/20/27

-

6/20/54

.....

United

States

2,481,890

2,571,819

GNMA

II,

Single-family,

Year

,

6.5 %,

8/20/55

.............

United

States

4,929,795

5,101,984

GNMA

II,

Single-family,

Year

,

%,

5/20/32

...............

United

States

2,044

2,169

GNMA

II,

Single-family,

Year

,

7.5 %,

11/20/26

............

United

States

GNMA

II,

Single-family,

Year

,

%,

8/20/26

...............

United

States

223,191,744

#### Total

#### Mortgage-Backed

#### Securities

#### (Cost

#### $

#### 416,925,740

####)
.........................

#### 382,664,613

#### Total

#### Long

#### Term

#### Investments

#### (Cost

#### $

#### 495,286,057

####)
.............................

#### 458,926,220

#### a

#### Short

#### Term

#### Investments

#### 7.5%
a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Money

#### Market

#### Funds

#### 7.5%
b,c

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

.........................................

United

States

37,292,940

37,292,940

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $

#### 37,292,940

####)
................................

#### 37,292,940

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $

#### 37,292,940

####)
..............................

#### 37,292,940

#### a

#### Total

#### Investments

#### (Cost

#### $

#### 532,578,997

####)
99.8 #### %
.................................

#### $496,219,160

#### Other

#### Assets,

#### less

#### Liabilities
0.2 #### %
...........................................

#### 999,804

#### Net

#### Assets

#### 100.0%

#### .........................................................

#### $497,218,964

#### a
\*

The

principal

amount

is

stated

in

U.S.

dollars

unless

otherwise

indicated.

a

Adjustable

Rate

Mortgage-Backed

Security

(ARM);

the

rate

shown

is

the

effective

rate

at

period

end.

ARM

rates

are

not

based

on

a

published

reference

rate

and

spread;

they

are

based

on

the

weighted

average

rates

of

the

underlying

mortgage

loans,

less

the

applicable

servicing

and

guarantee

fees

(MBS

margin).

b

See

Note

3(e)

regarding

investments

in

affiliated

management

investment

companies.

c

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Assets

and

Liabilities

December

31,

2025

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### U.S.

#### Government

#### Securities

#### VIP

#### Fund
Assets:

Investments

in

securities:

Cost

-

Unaffiliated

issuers

...................................................................

$495,286,057

Cost

-

Non-controlled

affiliates

(Note

e)

........................................................

37,292,940

Value

-

Unaffiliated

issuers

..................................................................

$458,926,220

Value

-

Non-controlled

affiliates

(Note

e)

.......................................................

37,292,940

Receivables:

Investment

securities

sold

...................................................................

19,721

Capital

shares

sold

........................................................................

57,821

Interest

.................................................................................

2,156,762

Total

assets

..........................................................................

498,453,464

Liabilities:

Payables:

Capital

shares

redeemed

...................................................................

827,574

Management

fees

.........................................................................

205,624

Distribution

fees

..........................................................................

99,846

Professional

fees

.........................................................................

75,090

Trustees'

fees

and

expenses

.................................................................

Accrued

expenses

and

other

liabilities

...........................................................

26,243

Total

liabilities

.........................................................................

1,234,500

Net

assets,

at

value

.................................................................

$497,218,964

Net

assets

consist

of:

Paid-in

capital

.............................................................................

$665,305,042

Total

distributable

earnings

(losses)

.............................................................

(168,086,078)

Net

assets,

at

value

.................................................................

$497,218,964

#### Franklin

#### U.S.

#### Government

#### Securities

#### VIP

#### Fund

#### Class

#### 1:
Net

assets,

at

value

.......................................................................

$29,696,269

Shares

outstanding

........................................................................

2,757,234

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$10.77

#### Class

#### 2:
Net

assets,

at

value

.......................................................................

$467,522,695

Shares

outstanding

........................................................................

44,545,967

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$10.50

a

Net

asset

value

per

share

may

not

recalculate

due

to

rounding.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Operations

for

the

year

ended

December

31,

2025

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Franklin

#### U.S.

#### Government

#### Securities

#### VIP

#### Fund
Investment

income:

Dividends:

Non-controlled

affiliates

(Note

e)

.............................................................

$378,019

Interest:

Unaffiliated

issuers:

Paydown

gain

(loss)

.....................................................................

(1,195,563)

Paid

in

cash

a

...........................................................................

19,144,415

Total

investment

income

...................................................................

18,326,871

Expenses:

Management

fees

(Note

a)

...................................................................

2,534,963

Distribution

fees:

(Note

3c)

Class

................................................................................

1,194,534

Reports

to

shareholders

fees

..................................................................

7,114

Professional

fees

...........................................................................

100,952

Trustees'

fees

and

expenses

..................................................................

5,716

Other

....................................................................................

60,365

Total

expenses

.........................................................................

3,903,644

Expenses

waived/paid

by

affiliates

(Note

e)

...................................................

(16,497)

Net

expenses

.........................................................................

3,887,147

Net

investment

income

................................................................

14,439,724

Realized

and

unrealized

gains

(losses):

Net

realized

gain

(loss)

from:

Investments:

Unaffiliated

issuers

......................................................................

(5,037,150)

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments:

Unaffiliated

issuers

......................................................................

23,506,781

Net

realized

and

unrealized

gain

(loss)

............................................................

18,469,631

Net

increase

(decrease)

in

net

assets

resulting

from

operations

..........................................

$32,909,355

a

Includes

amortization

of

premium

and

accretion

of

discount.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statements

of

Changes

in

Net

Assets

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Franklin

#### U.S.

#### Government

#### Securities

#### VIP

#### Fund

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024
Increase

(decrease)

in

net

assets:

Operations:

Net

investment

income

.................................................

$14,439,724

$14,731,216

Net

realized

gain

(loss)

.................................................

(5,037,150)

(6,948)

Net

change

in

unrealized

appreciation

(depreciation)

...........................

23,506,781

(7,499,190)

Net

increase

(decrease)

in

net

assets

resulting

from

operations

................

32,909,355

7,225,078

Distributions

to

shareholders:

Class

.............................................................

(1,029,697)

(1,111,700)

Class

.............................................................

(15,652,905)

(15,532,806)

Total

distributions

to

shareholders

..........................................

(16,682,602)

(16,644,506)

Capital

share

transactions:

(Note

2)

Class

.............................................................

(4,193,661)

(2,228,260)

Class

.............................................................

(37,458,193)

(23,620,386)

Total

capital

share

transactions

............................................

(41,651,854)

(25,848,646)

Net

increase

(decrease)

in

net

assets

...................................

(25,425,101)

(35,268,074)

Net

assets:

Beginning

of

year

.......................................................

522,644,065

557,912,139

End

of

year

...........................................................

$497,218,964

$522,644,065

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

#### Franklin

#### U.S.

#### Government

#### Securities

#### VIP

#### Fund

franklintempleton.com

Annual

Report

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
Franklin

Templeton

Variable

Insurance

Products

Trust

(Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-end

management

investment

company,

consisting

of seventeen separate

funds.

The Trust

follows the

accounting

and

reporting

guidance

in

Financial

Accounting

Standards

Board

(FASB)

Accounting

Standards

Codification

Topic

946,

Financial

Services

–

Investment

Companies

(ASC

946)

and

applies

the

specialized

accounting

and

reporting

guidance

in

U.S.

Generally

Accepted

Accounting

Principles

(U.S.

GAAP),

including,

but

not

limited

to,

ASC

946. Franklin

U.S.

Government

Securities

VIP

Fund

(Fund)

is

included

in

this

report.

Shares

of

the

Fund

are

generally

sold

only

to

insurance

company

separate

accounts

to

fund

the

benefits

of

variable

life

insurance

policies

or

variable

annuity

contracts. At

December

31,

2025,

58.5%

of

the

Fund's

shares

were

held

through

one

insurance

company.

Investment

activities

of

these

insurance

company

separate

accounts

could

have

a

material

impact

on

the

Fund.

The

Fund

offers two classes

of

shares:

Class

and

Class

2. Each

class

of

shares

may

differ

by

its

distribution

fees,

voting

rights

on

matters

affecting

a

single

class

and

its

exchange

privilege.

The

following

summarizes

the Fund's

significant

accounting

policies.

a. #### Financial

#### Instrument

#### Valuation
The

Fund's

investments

in

financial

instruments

are

carried

at

fair

value

daily.

Fair

value

is

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

market

participants

on

the

measurement

date.

The

Fund

calculates

the

net

asset

value

(NAV)

per

share

each business

day as

of

p.m.

Eastern

time

or

the

regularly

scheduled

close

of

the

New

York

Stock

Exchange

(NYSE),

whichever

is

earlier.

Under

compliance

policies

and

procedures

approved

by

the Trust's

Board

of

Trustees

(the

Board),

the

Board

has

designated

the

Fund's

investment

manager

as

the

valuation

designee

and

has

responsibility

for

oversight

of

valuation.

The

investment

manager

is

assisted

by

the

Fund's

administrator

in

performing

this

responsibility,

including

leading

the

cross-

functional

Valuation

Committee

(VC).

The

Fund

may

utilize

independent

pricing

services,

quotations

from

securities

and

financial

instrument

dealers,

and

other

market

sources

to

determine

fair

value.

Debt

securities

generally

trade

in

the over-the-counter

(OTC)

market

rather

than

on

a

securities

exchange.

The

Fund's

pricing

services

use

multiple

valuation

techniques

to

determine

fair

value.

In

instances

where

sufficient

market

activity

exists,

the

pricing

services

may

utilize

a

market-based

approach

through

which

quotes

from

market

makers

are

used

to

determine

fair

value.

In

instances

where

sufficient

market

activity

may

not

exist

or

is

limited,

the

pricing

services

also

utilize

proprietary

valuation

models

which

may

consider

market

characteristics

such

as

benchmark

yield

curves,

credit

spreads,

estimated

default

rates,

anticipated

market

interest

rate

volatility,

coupon

rates,

anticipated

timing

of

principal

repayments,

underlying

collateral,

and

other

unique

security

features

in

order

to

estimate

the

relevant

cash

flows,

which

are

then

discounted

to

calculate

the

fair

value.

Investments

in open-end mutual

funds

are

valued

at

the

closing

NAV.

The

Fund

has

procedures

to

determine

the

fair

value

of

financial

instruments

for

which

market

prices

are

not

reliable

or

readily

available.

Under

these

procedures,

the Fund

primarily

employs

a

market-based

approach

which

may

use

related

or

comparable

assets

or

liabilities,

recent

transactions,

market

multiples,

and

other

relevant

information

for

the

investment

to

determine

the

fair

value

of

the

investment.

An

income-based

valuation

approach

may

also

be

used

in

which

the

anticipated

future

cash

flows

of

the

investment

are

discounted

to

calculate

fair

value.

Discounts

may

also

be

applied

due

to

the

nature

or

duration

of

any

restrictions

on

the

disposition

of

the

investments.

Due

to

the

inherent

uncertainty

of

valuations

of

such

investments,

the

fair

values

may

differ

significantly

from

the

values

that

would

have

been

used

had

an

active

market

existed.

b. #### Income

#### and

#### Deferred

#### Taxes
It

is the Fund's

policy

to

qualify

as

a

regulated

investment

company

under

the

Internal

Revenue

Code. The Fund

intends

to

distribute

to

shareholders

substantially

all

of

its

taxable

income

and

net

realized

gains

to

relieve

it

from

federal

income

and if

applicable,

excise

taxes.

As

a

result,

no

provision

for

U.S.

federal

income

taxes

is

required.

The Fund

may

recognize

an

income

tax

liability

related

to

its

uncertain

tax

positions

under

U.S.

GAAP

when

the

uncertain

tax

position

has

a

less

than

50%

probability

that

it

will

be

sustained

upon

examination

by

the

tax

authorities

based

on

its

technical

merits.

As

of

December

31,

2025, the Fund

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### U.S.

#### Government

#### Securities

#### VIP

#### Fund
(continued)

has

determined

that

no

tax

liability

is

required

in

its

financial

statements

related

to

uncertain

tax

positions

for

any

open

tax

years

(or

expected

to

be

taken

in

future

tax

years).

The

Fund's

federal

and

state

income

and

federal

excise

tax

returns

for

the

prior

three

fiscal

years

are

subject

to

examination

by

the

Internal

Revenue

Service

and

state

departments

of

revenue.

c. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
Security

transactions

are

accounted

for

on

trade

date.

Realized

gains

and

losses

on

security

transactions

are

determined

on

a

specific

identification

basis.

Interest

income

(including

interest

income

from

payment-in-kind

securities,

if

any)

and

estimated

expenses

are

accrued

daily.

Amortization

of

premium

and

accretion

of

discount

on

debt

securities

are

included

in

interest

income.

Paydown

gains

and

losses

are

recorded

separately

in

the

Statement

of

Operations.

Distributions

to

shareholders

are

recorded

on

the

ex-dividend

date.

Distributable

earnings

are

determined

according

to

income

tax

regulations

(tax

basis)

and

may

differ

from

earnings

recorded

in

accordance

with

U.S.

GAAP.

These

differences

may

be

permanent

or

temporary.

Permanent

differences

are

reclassified

among

capital

accounts

to

reflect

their

tax

character.

These

reclassifications

have

no

impact

on

net

assets

or

the

results

of

operations.

Temporary

differences

are

not

reclassified,

as

they

may

reverse

in

subsequent

periods.

Common

expenses

incurred

by

the

Trust

are

allocated

among

the

Funds

based

on

the

ratio

of

net

assets

of

each

Fund

to

the

combined

net

assets

of

the

Trust

or

based

on

the

ratio

of

number

of

shareholders

of

each

Fund

to

the

combined

number

of

shareholders

of

the

Trust.

Fund

specific

expenses

are

charged

directly

to

the

Fund

that

incurred

the

expense.

Realized

and

unrealized

gains

and

losses

and

net

investment

income,

excluding

class

specific

expenses,

are

allocated

daily

to

each

class

of

shares

based

upon

the

relative

proportion

of

net

assets

of

each

class.

Differences

in

per

share

distributions

by

class

are

generally

due

to

differences

in

class

specific

expenses.

Inflation-indexed

bonds

are

adjusted

for

inflation

through

periodic

increases

or

decreases

in

the

security's

interest

accruals,

face

amount,

or

principal

redemption

value,

by

amounts

corresponding

to

the

rate

of

inflation

as

measured

by

an

index.

Any

increase

or

decrease

in

the

face

amount

or

principal

redemption

value

will

be

included

as

interest

income

in

the

Statement

of

Operations.

d. #### Accounting

#### Estimates
The

preparation

of

financial

statements

in

accordance

with

U.S.

GAAP

requires

management

to

make

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

amounts

of

income

and

expenses

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

e. #### Guarantees

#### and

#### Indemnifications
Under

the Trust's

organizational

documents,

its

officers

and

trustees

are

indemnified

by

the Trust

against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Trust.

Additionally,

in

the

normal

course

of

business,

the Trust,

on

behalf

of

the

Fund, enters

into

contracts

with

service

providers

that

contain

general

indemnification

clauses.

The

Trust's

maximum

exposure

under

these

arrangements

is

unknown

as

this

would

involve

future

claims

that

may

be

made

against

the

Trust

that

have

not

yet

occurred.

Currently,

the Trust

expects

the

risk

of

loss

to

be

remote.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

b. #### Income

#### and

#### Deferred

#### Taxes
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### U.S.

#### Government

#### Securities

#### VIP

#### Fund
(continued)

2. #### Shares

#### of

#### Beneficial

#### Interest
At

December

31,

2025,

there

were

an

unlimited

number

of

shares

authorized

(without

par

value).

Transactions

in

the

Fund's

shares

were

as

follows:

3. #### Transactions

#### with

#### Affiliates
Franklin

Resources,

Inc.

is

the

holding

company

for

various

subsidiaries

that

together

are

referred

to

as

Franklin

Templeton.

Certain

officers

and trustees

of

the Fund are

also

officers

and/or directors

of

the

following

subsidiaries:

a. #### Management

#### Fees
The

Fund

pays

an

investment

management fee,

calculated daily and

paid

monthly,

to

Advisers based

on the

average

daily net

assets

of

the

Fund

as

follows:

For

the

year

ended

December

31,

2025,

the

gross

effective

investment

management

fee

rate

was 0.499%

of

the

Fund's

average daily

net

assets.

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### 1

#### Shares:
Shares

sold

...................................

240,655

$2,557,643

136,141

$1,432,376

Shares

issued

in

reinvestment

of

distributions

..........

99,874

1,029,697

108,142

1,111,700

Shares

redeemed

...............................

(737,991)

(7,781,001)

(455,602)

(4,772,336)

Net

increase

(decrease)

..........................

(397,462)

$(4,193,661)

(211,319)

$(2,228,260)

#### Class

#### 2

#### Shares:
Shares

sold

...................................

4,416,715

$45,672,304

4,438,751

$45,546,173

Shares

issued

in

reinvestment

of

distributions

..........

1,555,885

15,652,198

1,547,092

15,532,806

Shares

redeemed

...............................

(9,555,713)

(98,782,695)

(8,268,762)

(84,699,365)

Net

increase

(decrease)

..........................

(3,583,113)

$(37,458,193)

(2,282,919)

$(23,620,386)

#### Subsidiary

#### Affiliation
Franklin

Advisers,

Inc.

(Advisers)

Investment

manager

Franklin

Templeton

Services,

LLC

(FT

Services)

Administrative

manager

Franklin

Distributors,

LLC

(Distributors)

Principal

underwriter

Franklin

Templeton

Investor

Services,

LLC

(Investor

Services)

Transfer

agent

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
0.625%

Up

to

and

including

$100

million

0.500%

Over

$100

million,

up

to

and

including

$250

million

0.450%

Over

$250

million,

up

to

and

including

$7.5

billion

0.440%

Over

$7.5

billion,

up

to

and

including

$10

billion

0.430%

Over

$10

billion,

up

to

and

including

$12.5

billion

0.420%

Over

$12.5

billion,

up

to

and

including

$15

billion

0.400%

In

excess

of

$15

billion

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### U.S.

#### Government

#### Securities

#### VIP

#### Fund
(continued)

b. #### Administrative

#### Fees
Under

an

agreement

with

Advisers,

FT

Services

provides

administrative

services

to

the

Fund.

The

fee

is

paid

by Advisers

based

on

the Fund's

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Fund.

c. #### Distribution

#### Fees
The

Board

has

adopted

a

distribution

plan

for

Class

2 shares

pursuant

to

Rule

12b-1

under

the

1940

Act.

Under

the

Fund's

compensation

distribution

plan,

the

Fund

pays

Distributors

for

costs

incurred

in

connection

with

the

servicing,

sale

and

distribution

of

the

Fund's

shares

up

to

0.35%

per

year

of

its

average

daily

net

assets.

The

Board

has

agreed

to

limit

the

current

rate

to

0.25%

per

year

for

Class

2. The

plan

year,

for

purposes

of

monitoring

compliance

with

the

maximum

annual

plan

rate,

is

February

through

January

31. d. #### Transfer

#### Agent

#### Fees
Investor

Services,

under

terms

of

an

agreement,

performs

shareholder

servicing

for

the

Fund and

is

not

paid

by

the Fund

for

the

services.

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
The

Fund

invests

in

one

or

more

affiliated

management

investment

companies.

As

defined

in

the

1940

Act,

an

investment

is

deemed

to

be

a

"Controlled

Affiliate"

of

a

fund

when

a

fund

owns,

either

directly

or

indirectly,

25%

or

more

of

the

affiliated

fund's

outstanding

shares

or

has

the

power

to

exercise

control

over

management

or

policies

of

such

fund.

The

Fund

does

not

invest

for

purposes

of

exercising

a

controlling

influence

over

the

management

or

policies.

Management

fees

paid

by

the

Fund

are

waived

on

assets

invested

in

the

affiliated

management

investment

companies,

as

noted

in

the

Statement

of

Operations,

in

an

amount

not

to

exceed

the

management

and

administrative

fees,

if

applicable, paid

directly

or

indirectly

by

each

affiliate.

During

the

year

ended

December

31,

2025,

the

Fund

held

investments

in

affiliated

management

investment

companies

as

follows:

#### &nbsp;&nbsp;&nbsp;&nbsp;aa

#### Value

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### Sales

#### Realized

#### Gain
(Loss)

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### Value

#### at

#### End

#### of

#### Year

#### Number

#### of

#### Shares

#### Held

#### at

#### End

#### of

#### Year

#### Investment

#### Income

#### a&nbsp;&nbsp;&nbsp;&nbsp;

#### a

#### Franklin

#### U.S.

#### Government

#### Securities

#### VIP

#### Fund

#### Non-Controlled

#### Affiliates
Dividends

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$—

$62,025,850

$(24,732,910)

$—

$—

$37,292,940

37,292,940

$378,019

#### Total

#### Affiliated

#### Securities

#### ...
$—

$62,025,850

$(24,732,910)

$—

$—

$37,292,940

$378,019

3. #### Transactions

#### with

#### Affiliates
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### U.S.

#### Government

#### Securities

#### VIP

#### Fund
(continued)

4. #### Income

#### Taxes
For

tax

purposes,

capital

losses

may

be

carried

over

to

offset

future

capital

gains.

At

December

31,

2025,

the

capital

loss

carryforwards

were

as

follows:

During

the

year

ended

December

31,

2025,

the

Fund

utilized

$338,121

of

capital

loss

carryforwards.

The

tax

character

of

distributions

paid

during

the

years

ended

December

31,

2025

and

2024

,

was

as

follows:

At

December

31,

2025,

the

cost

of

investments,

net

unrealized

appreciation

(depreciation)

and

undistributed

ordinary

income

for

income

tax

purposes

were

as

follows:

Differences

between

income

and/or

capital

gains

as

determined

on

a

book

basis

and

a

tax

basis

are

primarily

due

to

differing

treatments

of

paydown

losses

and

bond

discounts

and

premiums.

5. #### Investment

#### Transactions
Purchases

and

sales

of

investments (excluding

short

term

securities) for

the

year

ended

December

31,

2025,

aggregated

$109,343,101 and

$143,961,588,

respectively.

6. #### Credit

#### Facility
The

Fund,

together

with

other

U.S.

registered

and

foreign

investment

funds

(collectively,

Borrowers),

managed

by

Franklin

Templeton,

are

borrowers

in

a

joint

syndicated

senior

unsecured

credit

facility

totaling

$2.995

billion

(Global

Credit

Facility)

which

matured

on

January

30,

2026. This

Global

Credit

Facility

provides

a

source

of

funds

to

the

Borrowers

for

temporary

and

emergency

purposes,

including

the

ability

to

meet

future

unanticipated

or

unusually

large

redemption

requests.

Effective

January

30,

2026,

the

Borrowers

renewed

the

Global

Credit

Facility

for

a

one-year

term,

maturing

January

29,

2027,

for

a

total

of

$2.995

billion.

Under

the

terms

of

the

Global

Credit

Facility,

the

Fund

may,

in

addition

to

interest

charged

on

any

borrowings

made

by

the

Fund

and

other

costs

incurred

by

the

Fund,

pay

its

share

of

fees

and

expenses

incurred

in

connection

with

the

implementation

and

maintenance

of

the

Global

Credit

Facility,

based

upon

its

relative

share

of

the

aggregate

net

assets

of

all

of

the

Borrowers,

Capital

loss

carryforwards

not

subject

to

expiration:

Short

term

................................................................................

$

48,832,492

Long

term

................................................................................

96,238,795

Total

capital

loss

carryforwards

...............................................................

$145,071,287

#### 2025

#### 2024
Distributions

paid

from:

Ordinary

income

..........................................................

$16,682,602

$16,644,506

Cost

of

investments

..........................................................................

$534,363,486

Unrealized

appreciation

........................................................................

$1,120,414

Unrealized

depreciation

........................................................................

(39,264,740)

Net

unrealized

appreciation

(depreciation)

..........................................................

$(38,144,326)

Distributable

earnings:

Undistributed

ordinary

income

...................................................................

$15,129,535

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### U.S.

#### Government

#### Securities

#### VIP

#### Fund
(continued)

including

an

annual

commitment

fee

of

0.15%

based

upon

the

unused

portion

of

the

Global

Credit

Facility.

These

fees

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

During

the

year

ended

December

31,

2025,

the Fund

did

not

use

the

Global

Credit

Facility.

7. #### Fair

#### Value

#### Measurements
The

Fund

follows

a

fair

value

hierarchy

that

distinguishes

between

market

data

obtained

from

independent

sources

(observable

inputs)

and

the Fund's

own

market

assumptions

(unobservable

inputs).

These

inputs

are

used

in

determining

the

value

of

the

Fund's financial

instruments

and

are

summarized

in

the

following

fair

value

hierarchy:

Level

–

quoted

prices

in

active

markets

for

identical

financial

instruments

Level

–

other

significant

observable

inputs

(including

quoted

prices

for

similar

financial

instruments,

interest

rates,

prepayment

speed,

credit

risk,

etc.)

Level

–

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

financial

instruments)

The

input

levels

are

not

necessarily

an

indication

of

the

risk

or

liquidity

associated

with

financial

instruments

at

that

level.

A

summary

of

inputs

used

as

of

December

31,

2025,

in

valuing

the

Fund's assets carried

at

fair

value,

is

as

follows:

8. #### Operating

#### Segments
The Fund operates

as

a

single

operating

segment,

which

is

an

investment

portfolio.

The

portfolio

managers

assigned

to

the

Fund

within

the

Fund's

Investment

manager serve

as

the

Chief

Operating

Decision

Maker

("CODM")

and

are

responsible

for

evaluating

the

Fund's

operating

results

and

allocating

resources

in

accordance

with

the

Fund's

investment

strategy.

Internal

reporting

provided

to

the

CODM

aligns

with

the

accounting

policies

and

measurement

principles

used

in

the financial

statements.

For

information

regarding

segment

assets,

segment

profit

or

loss,

and

significant

expenses,

refer

to

the Statement

of

Assets

and

Liabilities

and

the Statement

of

Operations,

along

with

the

related

notes

to

the financial

statements.

The Schedule

of

Investments

provides

details

of

the Fund's investments

that

generate

returns

such

as

interest,

dividends,

and

realized

and

unrealized

gains

or

losses.

Performance

metrics,

including

portfolio

turnover

and

expense

ratios,

are

disclosed

in

the Financial

Highlights.

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Franklin

#### U.S.

#### Government

#### Securities

#### VIP

#### Fund

#### Assets:
Investments

in

Securities:

a

Corporate

Bonds

........................

$

—

$

10,308,316

$

—

$

10,308,316

U.S.

Government

and

Agency

Securities

.......

—

65,953,291

—

65,953,291

Mortgage-Backed

Securities

................

—

382,664,613

—

382,664,613

Short

Term

Investments

...................

37,292,940

—

—

37,292,940

Total

Investments

in

Securities

...........

$37,292,940

$458,926,220

$—

$496,219,160

a

For

detailed

categories,

see

the

accompanying

Schedule

of

Investments.

6. #### Credit

#### Facility
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Franklin

#### U.S.

#### Government

#### Securities

#### VIP

#### Fund
(continued)

9. #### Subsequent

#### Events
The Fund

has

evaluated

subsequent

events

through

the

issuance

of

the

financial

statements

and

determined

that

no

events

have

occurred

that

require

disclosure

other

than

those

already

disclosed

in

the

financial

statements.

#### Abbreviations

#### Currency

#### USD
United

States

Dollar

#### Selected

#### Portfolio

#### CMT
Constant

Monthly

U.S.

Treasury

Securities

Yield

Curve

Rate

Index

#### COFI
Cost

of

Funds

Index

#### FHLMC
Federal

Home

Loan

Mortgage

Corp.

#### FNMA
Federal

National

Mortgage

Association

#### GNMA
Government

National

Mortgage

Association

#### IBOR
Interbank

Offered

Rate

#### MBS
Mortgage-Backed

Security

#### T-Note
Treasury

Note

Franklin

Templeton

Variable

Insurance

Products

Trust

Report

of

Independent

Registered

Public

Accounting

Firm

franklintempleton.com

Annual

Report

To

the

Board

of

Trustees

of

Franklin

Templeton

Variable

Insurance

Products

Trust

and

Shareholders

of

Franklin

U.S.

Government

Securities

VIP

Fund

#### Opinion

#### on

#### the

#### Financial

#### Statements
We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

investments,

of

Franklin

U.S.

Government

Securities

VIP

Fund

(one

of

the

funds

constituting

Franklin

Templeton

Variable

Insurance

Products

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2025,

the

related

statement

of

operations

for

the

year

ended

December

31,

2025,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

(collectively

referred

to

as

the

"financial

statements").

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2025,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

#### Basis

#### for

#### Opinion
These

financial

statements

are

the

responsibility

of

the

Fund's

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund's

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2025

by

correspondence

with

the

custodian,

transfer

agent

and

broker.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/PricewaterhouseCoopers

LLP

San

Francisco,

California

February

19,

2026

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Franklin

Templeton

Group

of

Funds

since

1948. Franklin

Templeton

Variable

Insurance

Products

Trust

Tax

Information

(unaudited)

franklintempleton.com

Annual

Report

#### Franklin

#### U.S.

#### Government

#### Securities

#### VIP

#### Fund
By

mid-February,

tax

information

related

to

a

shareholder's

proportionate

share

of

distributions

paid

during

the

preceding

calendar

year

will

be

received,

if

applicable.

Please

also

refer

to

www.franklintempleton.com

for

per

share

tax

information

related

to

any

distributions

paid

during

the

preceding

calendar

year.

Shareholders

are

advised

to

consult

with

their

tax

advisors

for

further

information

on

the

treatment

of

these

amounts

on

their

tax

returns.

The

following

tax

information

for

the

Fund

is

required

to

be

furnished

to

shareholders

with

respect

to

income

earned

and

distributions

paid

during

its

fiscal

year.

The

Fund

hereby

reports

the

following

amount,

or

if

subsequently

determined

to

be

different,

the

maximum

allowable

amount,

for

the

fiscal

year

ended

December

31,

2025:

Note

(1) -

The

Law

varies

in

each

state

as

to

whether

and

what

percentage

of

dividend

income

attributable

to

Federal

obligations

is

exempt

from

state

income

tax.

Shareholders

are

advised

to

consult

with

their

tax

advisors

to

determine

if

any

portion

of

the

dividends

received

is

exempt

from

state

income

taxes.

#### Pursuant

#### to:

#### Amount

#### Reported
Interest

Earned

from

Federal

Obligations

Note

(1) $18,186,283

Franklin

Templeton

Variable

Insurance

Products

Trust

franklintempleton.com

Annual

Report

#### Changes

#### In

#### and

#### Disagreements

#### with

#### Accountants
For

the

period

covered

by

this

report

Not

applicable.

#### Results

#### of

#### Meeting(s)

#### of

#### Shareholders
For

the

period

covered

by

this

report

Not

applicable.

#### Remuneration

#### Paid

#### to

#### Directors,

#### Officers

#### and

#### Others
For

the

period

covered

by

this

report

Refer

to

the

financial

statements

included

herein.

Remuneration

to

officers

is

paid

by

the

Fund's

investment

manager

according

to

the

terms

of

the

agreement.

#### Board

#### Approval

#### of

#### Management

#### and

#### Subadvisory

#### Agreements
For

the

period

covered

by

this

report

Not

applicable.

4830-AFSOI

02/26©

2026

Franklin

Templeton.

All

rights

reserved.

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund

#### Financial

#### Statements

#### and

#### Other

#### Important

#### Information

#### Annual
\|

December

31,

2025

#### Table

#### of

#### Contents
franklintempleton.com

Financial

Statements

and

Other

Important

Information—Annual

Financial

Highlights

and

Schedule

of

Investments

#### 2
Financial

Statements

#### 9
Notes

to

Financial

Statements

#### 12
Report

of

Independent

Registered

Public

Accounting

Firm

#### 21
Tax

Information

#### 22
Changes

In

and

Disagreements

with

Accountants

#### 23
Results

of

Meeting(s)

of

Shareholders

Remuneration

Paid

to

Directors,

Officers

and

Others

Board

Approval

of

Management

and

Subadvisory

Agreements

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 1

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$8.53

$8.30

$7.53

$10.76

$11.73

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.16 0.17 0.21 c

0.20 0.10 Net

realized

and

unrealized

gains

(losses)

...........

3.76 0.49 0.76 (2.52)

(0.70)

Total

from

investment

operations

....................

3.92 0.66 0.97 (2.32)

(0.60)

Less

distributions

from:

Net

investment

income

..........................

(0.08)

(0.36)

(0.19)

(0.26)

(0.13)

Net

realized

gains

.............................

(0.17)

(0.07)

(0.01)

(0.65)

(0.24)

Total

distributions

...............................

(0.25)

(0.43)

(0.20)

(0.91)

(0.37)

Net

asset

value,

end

of

year

.......................

$12.20

$8.53

$8.30

$7.53

$10.76

Total

return

d

...................................

46.64%

7.98%

12.77%

(21.70)%

(5.51)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.12%

1.11%

1.10%

1.06%

1.19%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.12%

e

1.10%

1.09%

1.05%

1.19%

e

Net

investment

income

...........................

1.59%

2.02%

2.62%

c

2.39%

0.82%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$102,063

$74,317

$71,691

$66,115

$83,269

Portfolio

turnover

rate

............................

16.09%

18.66%

25.99%

27.39%

19.35%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Net

investment

income

per

share

includes

approximately

$0.06

per

share

related

to

income

received

in

the

form

of

special

dividends

in

connection

with

certain

Fund

holdings.

Excluding

this

amount,

the

ratio

of

net

investment

income

to

average

net

assets

would

have

been

1.91%.

d

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

e

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 2

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$8.45

$8.23

$7.46

$10.67

$11.64

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.13 0.15 0.19 c

0.17 0.07 Net

realized

and

unrealized

gains

(losses)

...........

3.72 0.48 0.76 (2.50)

(0.69)

Total

from

investment

operations

....................

3.85 0.63 0.95 (2.33)

(0.62)

Less

distributions

from:

Net

investment

income

..........................

(0.05)

(0.34)

(0.17)

(0.23)

(0.11)

Net

realized

gains

.............................

(0.17)

(0.07)

(0.01)

(0.65)

(0.24)

Total

distributions

...............................

(0.22)

(0.41)

(0.18)

(0.88)

(0.35)

Net

asset

value,

end

of

year

.......................

$12.08

$8.45

$8.23

$7.46

$10.67

Total

return

d

...................................

46.27%

7.67%

12.62%

(21.98)%

(5.74)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.37%

1.36%

1.35%

1.31%

1.44%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.36%

1.35%

1.34%

1.30%

1.44%

e

Net

investment

income

...........................

1.33%

1.78%

2.38%

c

2.13%

0.57%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$218,378

$177,743

$179,472

$164,648

$215,977

Portfolio

turnover

rate

............................

16.09%

18.66%

25.99%

27.39%

19.35%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Net

investment

income

per

share

includes

approximately

$0.06

per

share

related

to

income

received

in

the

form

of

special

dividends

in

connection

with

certain

Fund

holdings.

Excluding

this

amount,

the

ratio

of

net

investment

income

to

average

net

assets

would

have

been

1.67%.

d

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

e

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 4

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$8.52

$8.30

$7.53

$10.73

$11.71

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.13 0.14 0.18 c

0.17 0.05 Net

realized

and

unrealized

gains

(losses)

...........

3.74 0.48 0.76 (2.51)

(0.70)

Total

from

investment

operations

....................

3.87 0.62 0.94 (2.34)

(0.65)

Less

distributions

from:

Net

investment

income

..........................

(0.04)

(0.33)

(0.16)

(0.21)

(0.09)

Net

realized

gains

.............................

(0.17)

(0.07)

(0.01)

(0.65)

(0.24)

Total

distributions

...............................

(0.21)

(0.40)

(0.17)

(0.86)

(0.33)

Net

asset

value,

end

of

year

.......................

$12.18

$8.52

$8.30

$7.53

$10.73

Total

return

d

...................................

46.09%

7.51%

12.54%

(22.00)%

(5.90)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.47%

1.46%

1.45%

1.41%

1.54%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.47%

e

1.45%

1.44%

1.40%

1.54%

e

Net

investment

income

...........................

1.23%

1.68%

2.26%

c

2.01%

0.46%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$5,355

$4,031

$4,018

$3,444

$4,846

Portfolio

turnover

rate

............................

16.09%

18.66%

25.99%

27.39%

19.35%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Net

investment

income

per

share

includes

approximately

$0.06

per

share

related

to

income

received

in

the

form

of

special

dividends

in

connection

with

certain

Fund

holdings.

Excluding

this

amount,

the

ratio

of

net

investment

income

to

average

net

assets

would

have

been

1.54%.

d

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

e

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments,

December

31,

2025

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund
franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Industry

#### Shares
a

#### Value
a

#### Common

#### Stocks

#### 95.7%

#### Brazil

#### 2.7%
a

Hypera

SA

.....................

Pharmaceuticals

356,546

$

1,531,406

a

Oncoclinicas

do

Brasil

Servicos

Medicos

SA

..........................

Health

Care

Providers

&

Services

129,486

64,037

TOTVS

SA

.....................

Software

313,296

2,394,308

Vale

SA

........................

Metals

&

Mining

283,922

3,707,192

XP,

Inc.

,

A

......................

Capital

Markets

59,832

979,450

8,676,393

#### Chile

#### 1.1%
Banco

Santander

Chile

,

ADR

.......

Banks

113,339

3,525,976

#### China

#### 24.5%
b

Alibaba

Group

Holding

Ltd.

.........

Broadline

Retail

500,052

9,181,436

a,b

Baidu,

Inc.

,

A

....................

Interactive

Media

&

Services

248,472

4,086,177

Beijing

Oriental

Yuhong

Waterproof

Technology

Co.

Ltd.

,

A

...........

Construction

Materials

257,247

500,604

c,d

Budweiser

Brewing

Co.

APAC

Ltd.

,

144A

,

Reg

S

..................

Beverages

3,285,161

3,205,139

BYD

Co.

Ltd.

,

H

.................

Automobiles

415,337

5,075,733

China

Merchants

Bank

Co.

Ltd.

,

A

....

Banks

996,727

6,007,537

COSCO

SHIPPING

Ports

Ltd.

.......

Transportation

Infrastructure

1,513,998

1,090,349

a

Daqo

New

Energy

Corp.

,

ADR

......

Semiconductors

&

Semiconductor

Equipment

25,440

750,480

d

Greentown

Service

Group

Co.

Ltd.

,

Reg

S

...........................

Real

Estate

Management

&

Development

745,170

450,550

Haier

Smart

Home

Co.

Ltd.

,

D

.......

Household

Durables

836,125

1,967,274

b

JD.com,

Inc.

,

A

..................

Broadline

Retail

56,122

806,992

b,d

Kuaishou

Technology

,

144A

,

Reg

S

...

Interactive

Media

&

Services

210,245

1,737,972

NARI

Technology

Co.

Ltd.

,

A

........

Electrical

Equipment

1,228,145

3,951,778

b

NetEase,

Inc.

...................

Entertainment

120,813

3,325,401

Ping

An

Insurance

Group

Co.

of

China

Ltd.

,

H

.......................

Insurance

481,997

4,048,632

Prosus

NV

.....................

Broadline

Retail

239,008

14,799,131

b

Tencent

Holdings

Ltd.

.............

Interactive

Media

&

Services

124,217

9,532,852

Uni-President

China

Holdings

Ltd.

....

Food

Products

1,658,111

1,732,103

Weichai

Power

Co.

Ltd.

,

H

.........

Machinery

1,296,250

3,145,758

Weifu

High-Technology

Group

Co.

Ltd.

,

B

...........................

Automobile

Components

306,139

559,147

a,d

Wuxi

Biologics

Cayman,

Inc.

,

144A

,

Reg

S

...........................

Life

Sciences

Tools

&

Services

968,154

3,915,035

79,870,080

#### Hong

#### Kong

#### 1.7%
Techtronic

Industries

Co.

Ltd.

.......

Machinery

492,315

5,663,165

#### Hungary

#### 1.0%
Richter

Gedeon

Nyrt.

.............

Pharmaceuticals

113,238

3,423,176

#### India

#### 9.6%
ACC

Ltd.

.......................

Construction

Materials

60,356

1,167,446

Asahi

India

Glass

Ltd.

.............

Automobile

Components

658

7,437

a

Ather

Energy

Ltd.

................

Automobiles

108,927

914,700

Bajaj

Holdings

&

Investment

Ltd.

.....

Financial

Services

19,059

2,402,618

Brigade

Enterprises

Ltd.

...........

Real

Estate

Management

&

Development

96,066

946,072

a

Eternal

Ltd.

.....................

Hotels,

Restaurants

&

Leisure

868,581

2,691,718

Federal

Bank

Ltd.

................

Banks

221,796

659,837

HDB

Financial

Services

Ltd.

........

Consumer

Finance

33,790

288,014

HDFC

Bank

Ltd.

.................

Banks

507,223

5,603,239

ICICI

Bank

Ltd.

..................

Banks

706,572

10,574,967

Infosys

Ltd.

.....................

IT

Services

109,028

1,963,473

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Industry

#### Shares
a

#### Value
a

#### Common

#### Stocks
(continued)

#### India
(continued)

a

Niva

Bupa

Health

Insurance

Co.

Ltd.

..

Insurance

1,200,348

$

1,007,406

a

Pine

Labs

Ltd.

...................

Financial

Services

113,130

301,242

a,d

Pine

Labs

Ltd.

,

144A

,

Reg

S

........

Financial

Services

416,132

1,108,072

a,c

ReNew

Energy

Global

plc

,

A

........

Independent

Power

and

Renewable

Electricity

Producers

319,111

1,802,977

31,439,218

#### Indonesia

#### 0.4%
Astra

International

Tbk.

PT

.........

Industrial

Conglomerates

3,311,657

1,329,157

#### Italy

#### 0.1%
a,c,d

Wizz

Air

Holdings

plc

,

144A

,

Reg

S

...

Passenger

Airlines

14,268

244,514

#### Mexico

#### 2.5%
Grupo

Financiero

Banorte

SAB

de

CV

,

O

...........................

Banks

858,162

7,955,661

a,d

Nemak

SAB

de

CV

,

144A

,

Reg

S

....

Automobile

Components

229,037

45,915

8,001,576

#### Peru

#### 0.4%
Intercorp

Financial

Services,

Inc.

.....

Banks

30,652

1,298,419

#### Philippines

#### 0.5%
BDO

Unibank,

Inc.

...............

Banks

648,424

1,480,927

#### Russia

#### 0.0%
a,e,f

LUKOIL

PJSC

...................

Oil,

Gas

&

Consumable

Fuels

85,254

—

a,e,f

Sberbank

of

Russia

PJSC

..........

Banks

1,061,956

—

—

#### South

#### Africa

#### 2.2%
Discovery

Ltd.

...................

Insurance

323,940

4,451,827

Netcare

Ltd.

....................

Health

Care

Providers

&

Services

2,954,282

2,824,051

7,275,878

#### South

#### Korea

#### 21.4%
a,c,d

Delivery

Hero

SE

,

144A

,

Reg

S

......

Hotels,

Restaurants

&

Leisure

123,190

3,247,285

Doosan

Bobcat,

Inc.

..............

Machinery

73,421

2,936,831

a

Hanmi

Pharm

Co.

Ltd.

.............

Pharmaceuticals

4,196

1,319,700

Hyundai

Motor

Co.

...............

Automobiles

33,815

6,983,067

a

KT

Skylife

Co.

Ltd.

...............

Media

92,351

322,690

LG

Corp.

.......................

Industrial

Conglomerates

89,771

5,029,646

a

LigaChem

Biosciences,

Inc.

........

Life

Sciences

Tools

&

Services

4,259

512,148

Misto

Holdings

Corp.

..............

Textiles,

Apparel

&

Luxury

Goods

49,892

1,478,805

NAVER

Corp.

...................

Interactive

Media

&

Services

27,232

4,577,743

Samsung

Electronics

Co.

Ltd.

.......

Technology

Hardware,

Storage

&

Peripherals

203,289

17,038,647

a

Samsung

Life

Insurance

Co.

Ltd.

.....

Insurance

16,470

1,800,419

a

Samsung

SDI

Co.

Ltd.

............

Electronic

Equipment,

Instruments

&

Components

6,385

1,193,935

SK

Hynix,

Inc.

...................

Semiconductors

&

Semiconductor

Equipment

51,243

23,206,836

69,647,752

#### Taiwan

#### 21.7%
Hon

Hai

Precision

Industry

Co.

Ltd.

...

Electronic

Equipment,

Instruments

&

Components

1,013,792

7,431,425

Lite-On

Technology

Corp.

..........

Technology

Hardware,

Storage

&

Peripherals

422,380

2,197,356

MediaTek,

Inc.

..................

Semiconductors

&

Semiconductor

Equipment

182,762

8,298,344

Taiwan

Semiconductor

Manufacturing

Co.

Ltd.

......................

Semiconductors

&

Semiconductor

Equipment

1,015,431

49,915,831

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Industry

#### Shares
a

#### Value
a

#### Common

#### Stocks
(continued)

#### Taiwan
(continued)

Yageo

Corp.

....................

Electronic

Equipment,

Instruments

&

Components

73,094

$

535,784

Zhen

Ding

Technology

Holding

Ltd.

...

Electronic

Equipment,

Instruments

&

Components

501,628

2,260,584

70,639,324

#### Thailand

#### 1.5%
Kasikornbank

PCL

...............

Banks

275,974

1,702,134

Minor

International

PCL

............

Hotels,

Restaurants

&

Leisure

2,463,103

1,893,886

Star

Petroleum

Refining

PCL

........

Oil,

Gas

&

Consumable

Fuels

3,332,420

622,505

Thai

Beverage

PCL

...............

Beverages

2,310,605

826,166

5,044,691

#### Turkiye

#### 0.3%
BIM

Birlesik

Magazalar

A/S

.........

Consumer

Staples

Distribution

&

Retail

74,604

931,329

#### United

#### Arab

#### Emirates

#### 1.4%
Emaar

Development

PJSC

.........

Real

Estate

Management

&

Development

652,963

2,692,498

Emirates

Central

Cooling

Systems

Corp.

Water

Utilities

2,969,137

1,244,972

Spinneys

1961

Holding

plc

.........

Consumer

Staples

Distribution

&

Retail

1,594,627

655,609

4,593,079

#### United

#### States

#### 2.7%
Cognizant

Technology

Solutions

Corp.

,

A

...........................

IT

Services

53,012

4,399,996

Genpact

Ltd.

....................

Professional

Services

93,609

4,379,029

8,779,025

#### Total

#### Common

#### Stocks

#### (Cost

#### $

#### 175,639,091

####)
.....................................

#### 311,863,679
a

#### Preferred

#### Stocks

#### 5.0%

#### Brazil

#### 5.0%
c

Banco

Bradesco

SA

,

ADR

..........

Banks

1,550,155

5,162,016

c,g

Itau

Unibanco

Holding

SA

,

ADR

,

.11

%

Banks

911,043

6,523,070

g

Petroleo

Brasileiro

SA

-

Petrobras

,

.05

%

.......................

Oil,

Gas

&

Consumable

Fuels

813,727

4,567,822

16,252,908

#### Total

#### Preferred

#### Stocks

#### (Cost

#### $

#### 11,660,458

####)
......................................

#### 16,252,908
a

#### a
a

#### Escrows

#### and

#### Litigation

#### Trusts

#### 0.0%

#### †
a,e

Hemisphere

Properties

India

Ltd.,

Escrow

Account

................

82,304

112,982

#### Total

#### Escrows

#### and

#### Litigation

#### Trusts

#### (Cost

#### $

#### –

####)
...................................

#### 112,982

#### Total

#### Long

#### Term

#### Investments

#### (Cost

#### $

#### 187,299,549

####)
...............................

#### 328,229,569
Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Short

#### Term

#### Investments

#### 1.3%
a

a

#### Industry

#### Shares
a

#### Value
a

a

#### a
a

#### Money

#### Market

#### Funds

#### 0.0%

#### †

#### United

#### States

#### 0.0%

#### †
h,i

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

......

725

$

725

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $

#### 725

####)
.........................................

#### 725
j

#### Investments

#### from

#### Cash

#### Collateral

#### Received

#### for

#### Loaned

#### Securities

#### 1.3%

#### Money

#### Market

#### Funds

#### 1.3%
h,i

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

......

4,301,504

4,301,504

#### Total

#### Investments

#### from

#### Cash

#### Collateral

#### Received

#### for

#### Loaned

#### Securities

#### (Cost

#### $

#### 4,301,504

####)
.................................................................

#### 4,301,504
a

#### a
a

a

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $

#### 4,302,229

####)
.................................

#### 4,302,229
a

#### a

#### Total

#### Investments

#### (Cost

#### $

#### 191,601,778

####)
102.0 #### %
..................................

#### $332,531,798

#### Other

#### Assets,

#### less

#### Liabilities

#### (2.0 ####)

#### %
...........................................

#### (6,735,406)

#### Net

#### Assets

#### 100.0%

#### ...........................................................

#### $325,796,392

#### a
See

Abbreviations

on

.

†

Rounds

to

less

than

0.1%

of

net

assets.

a

Non-income

producing.

b

Variable

interest

entity

(VIE).

See

Note

regarding

investments

made

through

a

VIE

structure.

At

December

31,

2025,

the

aggregate

value

of

these

securities

was

$28,670,830,

representing

8.8%

of

net

assets.

c

A

portion

or

all

of

the

security

is

on

loan

at

December

31,

2025. See

Note

1(c).

d

Security

was

purchased

pursuant

to

Rule

144A

or

Regulation

S

under

the

Securities

Act

of

1933. 144A

securities

may

be

sold

in

transactions

exempt

from

registration

only

to

qualified

institutional

buyers

or

in

a

public

offering

registered

under

the

Securities

Act

of

1933. Regulation

S

securities

cannot

be

sold

in

the

United

States

without

either

an

effective

registration

statement

filed

pursuant

to

the

Securities

Act

of

1933,

or

pursuant

to

an

exemption

from

registration.

At

December

31,

2025,

the

aggregate

value

of

these

securities

was

$13,954,482,

representing

4.3%

of

net

assets.

e

Fair

valued

using

significant

unobservable

inputs.

See

Note

regarding

fair

value

measurements.

f

See

Note

regarding

investments

in

Russian

securities.

g

Variable

rate

security.

The

rate

shown

represents

the

yield

at

period

end.

h

See

Note

3(e)

regarding

investments

in

affiliated

management

investment

companies.

i

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

j

See

Note

1(c)

regarding

securities

on

loan.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Assets

and

Liabilities

December

31,

2025

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund
Assets:

Investments

in

securities:

Cost

-

Unaffiliated

issuers

...................................................................

$187,299,549

Cost

-

Non-controlled

affiliates

(Note

e)

........................................................

4,302,229

Value

-

Unaffiliated

issuers

(Includes

securities

loaned

of

$

6,115,292)

..................................

$328,229,569

Value

-

Non-controlled

affiliates

(Note

e)

.......................................................

4,302,229

Foreign

currency,

at

value

(cost

$

399,427)

........................................................

399,428

Receivables:

Investment

securities

sold

...................................................................

1,001,929

Capital

shares

sold

........................................................................

89,084

Dividends

...............................................................................

828,422

Total

assets

..........................................................................

334,850,661

Liabilities:

Payables:

Capital

shares

redeemed

...................................................................

377,070

Management

fees

.........................................................................

286,724

Distribution

fees

..........................................................................

47,277

Funds

advanced

by

custodian

.................................................................

1,504,789

Payable

upon

return

of

securities

loaned

(Note

c)

..................................................

4,301,504

Deferred

taxes

on

unrealized

appreciation

........................................................

2,421,834

Accrued

expenses

and

other

liabilities

...........................................................

115,071

Total

liabilities

.........................................................................

9,054,269

Net

assets,

at

value

.................................................................

$325,796,392

Net

assets

consist

of:

Paid-in

capital

.............................................................................

$169,514,953

Total

distributable

earnings

(losses)

.............................................................

156,281,439

Net

assets,

at

value

.................................................................

$325,796,392

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund

#### Class

#### 1:
Net

assets,

at

value

.......................................................................

$102,063,366

Shares

outstanding

........................................................................

8,366,102

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$12.20

#### Class

#### 2:
Net

assets,

at

value

.......................................................................

$218,378,136

Shares

outstanding

........................................................................

18,081,536

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$12.08

#### Class

#### 4:
Net

assets,

at

value

.......................................................................

$5,354,890

Shares

outstanding

........................................................................

439,508

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$12.18

a

Net

asset

value

per

share

may

not

recalculate

due

to

rounding.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Operations

for

the

year

ended

December

31,

2025

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund
Investment

income:

Dividends:

(net

of

foreign

taxes

of

$957,591)

Unaffiliated

issuers

........................................................................

$7,766,654

Non-controlled

affiliates

(Note

e)

.............................................................

129,675

Income

from

securities

loaned:

Unaffiliated

entities

(net

of

fees

and

rebates)

.....................................................

(19,927)

Non-controlled

affiliates

(Note

e)

.............................................................

27,690

Total

investment

income

...................................................................

7,904,092

Expenses:

Management

fees

(Note

a)

...................................................................

3,080,860

Distribution

fees:

(Note

3c)

Class

................................................................................

503,482

Class

................................................................................

15,718

Custodian

fees

............................................................................

63,159

Reports

to

shareholders

fees

..................................................................

22,075

Professional

fees

...........................................................................

84,254

Trustees'

fees

and

expenses

..................................................................

3,181

Other

....................................................................................

27,729

Total

expenses

.........................................................................

3,800,458

Expenses

waived/paid

by

affiliates

(Note

e)

...................................................

(10,004)

Net

expenses

.........................................................................

3,790,454

Net

investment

income

................................................................

4,113,638

Realized

and

unrealized

gains

(losses):

Net

realized

gain

(loss)

from:

Investments:

(net

of

foreign

taxes

of

$780,892)

Unaffiliated

issuers

......................................................................

20,148,045

Foreign

currency

transactions

................................................................

70,153

Net

realized

gain

(loss)

..................................................................

20,218,198

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments:

Unaffiliated

issuers

......................................................................

87,598,352

Translation

of

other

assets

and

liabilities

denominated

in

foreign

currencies

..............................

(78,811)

Change

in

deferred

taxes

on

unrealized

appreciation

...............................................

285,203

Net

change

in

unrealized

appreciation

(depreciation)

............................................

87,804,744

Net

realized

and

unrealized

gain

(loss)

............................................................

108,022,942

Net

increase

(decrease)

in

net

assets

resulting

from

operations

..........................................

$112,136,580

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statements

of

Changes

in

Net

Assets

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024
Increase

(decrease)

in

net

assets:

Operations:

Net

investment

income

.................................................

$4,113,638

$4,848,604

Net

realized

gain

(loss)

.................................................

20,218,198

5,759,153

Net

change

in

unrealized

appreciation

(depreciation)

...........................

87,804,744

9,035,648

Net

increase

(decrease)

in

net

assets

resulting

from

operations

................

112,136,580

19,643,405

Distributions

to

shareholders:

Class

.............................................................

(2,121,025)

(3,585,542)

Class

.............................................................

(4,474,091)

(8,650,895)

Class

.............................................................

(93,106)

(187,573)

Total

distributions

to

shareholders

..........................................

(6,688,222)

(12,424,010)

Capital

share

transactions:

(Note

2)

Class

.............................................................

(3,803,318)

614,743

Class

.............................................................

(31,650,733)

(6,820,360)

Class

.............................................................

(289,836)

(103,463)

Total

capital

share

transactions

............................................

(35,743,887)

(6,309,080)

Net

increase

(decrease)

in

net

assets

...................................

69,704,471

910,315

Net

assets:

Beginning

of

year

.......................................................

256,091,921

255,181,606

End

of

year

...........................................................

$325,796,392

$256,091,921

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund

franklintempleton.com

Annual

Report

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
Franklin

Templeton

Variable

Insurance

Products

Trust (Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-end

management

investment

company,

consisting

of seventeen separate

funds.

The Trust

follows the

accounting

and

reporting

guidance

in

Financial

Accounting

Standards

Board

(FASB)

Accounting

Standards

Codification

Topic

946,

Financial

Services

–

Investment

Companies

(ASC

946)

and

applies the

specialized

accounting

and

reporting

guidance

in

U.S.

Generally

Accepted

Accounting

Principles

(U.S.

GAAP),

including,

but

not

limited

to,

ASC

946. Templeton

Developing

Markets

VIP

Fund

(Fund)

is

included

in

this

report. Shares

of

the

Fund

are

generally

sold

only

to

insurance

company

separate

accounts

to

fund

the

benefits

of

variable

life

insurance

policies

or

variable

annuity

contracts.

The

Fund

offers

three classes

of

shares:

Class

1,

Class

and

Class

4. Each

class

of

shares

may

differ

by

its

distribution

fees,

voting

rights

on

matters

affecting

a

single

class

and

its

exchange

privilege.

The

following

summarizes

the Fund's

significant

accounting

policies.

a. #### Financial

#### Instrument

#### Valuation
The

Fund's

investments

in

financial

instruments

are

carried

at

fair

value

daily.

Fair

value

is

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

market

participants

on

the

measurement

date.

The

Fund

calculates

the

net

asset

value

(NAV)

per

share

each business

day as

of

p.m.

Eastern

time

or

the

regularly

scheduled

close

of

the

New

York

Stock

Exchange

(NYSE),

whichever

is

earlier.

Under

compliance

policies

and

procedures

approved

by

the Trust's

Board

of

Trustees

(the

Board),

the

Board

has

designated

the

Fund's

investment

manager

as

the

valuation

designee

and

has

responsibility

for

oversight

of

valuation.

The

investment

manager

is

assisted

by

the

Fund's

administrator

in

performing

this

responsibility,

including

leading

the

cross-

functional

Valuation

Committee

(VC).

The

Fund

may

utilize

independent

pricing

services,

quotations

from

securities

and

financial

instrument

dealers,

and

other

market

sources

to

determine

fair

value.

Equity

securities

listed

on

an

exchange

or

on

the

NASDAQ

National

Market

System

are

valued

at

the

last

quoted

sale

price

or

the

official

closing

price of

the

day,

respectively.

Foreign

equity

securities

are

valued

as

of

the

close

of

trading

on

the

foreign

stock

exchange

on

which

the

security

is

primarily

traded,

or

as

of

p.m.

Eastern

time.

The

value

is

then

converted

into

its

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

p.m.

Eastern

time

on

the

day

that

the

value

of

the

security

is

determined.

Over-the-counter

(OTC)

securities

are

valued

within

the

range

of

the

most

recent

quoted

bid

and

ask

prices.

Securities

that

trade

in

multiple

markets

or

on

multiple

exchanges

are

valued

according

to

the

broadest

and

most

representative

market.

Certain

equity

securities

are

valued

based

upon

fundamental

characteristics

or

relationships

to

similar

securities.

Investments

in open-end mutual

funds

are

valued

at

the

closing

NAV.

The

Fund

has

procedures

to

determine

the

fair

value

of

financial

instruments

for

which

market

prices

are

not

reliable

or

readily

available.

Under

these

procedures,

the Fund

primarily

employs

a

market-based

approach

which

may

use

related

or

comparable

assets

or

liabilities,

recent

transactions,

market

multiples,

and

other

relevant

information

for

the

investment

to

determine

the

fair

value

of

the

investment.

An

income-based

valuation

approach

may

also

be

used

in

which

the

anticipated

future

cash

flows

of

the

investment

are

discounted

to

calculate

fair

value.

Discounts

may

also

be

applied

due

to

the

nature

or

duration

of

any

restrictions

on

the

disposition

of

the

investments.

Due

to

the

inherent

uncertainty

of

valuations

of

such

investments,

the

fair

values

may

differ

significantly

from

the

values

that

would

have

been

used

had

an

active

market

existed.

Trading

in

securities

on

foreign

securities

stock

exchanges

and

OTC

markets

may

be

completed

before

p.m.

Eastern

time.

In

addition,

trading

in

certain

foreign

markets

may

not

take

place

on

every

Fund's

business

day. Events

can occur

between

the

time

at

which

trading

in

a

foreign

security

is

completed

and

p.m.

Eastern

time

that

might

call

into

question

the

reliability

of

the

value

of

a

portfolio

security

held

by

the

Fund.

As

a

result,

differences

may

arise

between

the

value

of

the

Fund's

portfolio

securities

as

determined

at

the

foreign

market

close

and

the

latest

indications

of

value

at

p.m.

Eastern

time. In

order

to

minimize

the

potential

for

these

differences,

an

independent

pricing

service

may

be

used

to

adjust

the

value

of

the

Fund's

portfolio

securities

to

the

latest

indications

of

fair

value

at

p.m.

Eastern

time.

At

December

31,

2025,

certain

securities

may

have

been

fair

valued

using

these

procedures,

in

which

case

the

securities

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund
(continued)

were

categorized

as

Level

within

the

fair

value

hierarchy

(referred

to

as

"market

level

fair

value").

See

the

Fair

Value

Measurements

note

for

more

information.

When

the

last

day

of

the

reporting

period

is

a

non-business

day,

certain

foreign

markets

may

be

open

on

those

days

that

the

Fund's

NAV

is

not

calculated,

which

could

result

in

differences

between

the

value

of

the

Fund's

portfolio

securities

on

the

last

business

day

and

the

last

calendar

day

of

the

reporting

period.

Any

security

valuation

changes

due

to

an

open

foreign

market

are

adjusted

and

reflected

by

the

Fund

for

financial

reporting

purposes.

b. #### Foreign

#### Currency

#### Translation
Portfolio

securities

and

other

assets

and

liabilities

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

based

on

the

exchange

rate

of

such

currencies

against

U.S.

dollars

on

the

date

of

valuation.

The

Fund

may

enter

into

foreign

currency

exchange

contracts

to

facilitate

transactions

denominated

in

a

foreign

currency.

Purchases

and

sales

of

securities,

income

and

expense

items

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

at

the

exchange

rate

in

effect

on

the

transaction

date.

Portfolio

securities

and

assets

and

liabilities

denominated

in

foreign

currencies

contain

risks

that

those

currencies

will

decline

in

value

relative

to

the

U.S.

dollar.

Occasionally,

events

may

impact

the

availability

or

reliability

of

foreign

exchange

rates

used

to

convert

the

U.S.

dollar

equivalent

value.

If

such

an

event

occurs,

the

foreign

exchange

rate

will

be

valued

at

fair

value

using

procedures

established

and

approved

by

the

Board.

The

Fund

does

not

separately

report

the

effect

of

changes

in

foreign

exchange

rates

from

changes

in

market

prices

on

securities

held.

Such

changes

are

included

in

net

realized

and

unrealized

gain

or

loss

from

investments

in

the

Statement of

Operations.

Realized

foreign

exchange

gains

or

losses

arise

from

sales

of

foreign

currencies,

currency

gains

or

losses

realized

between

the

trade

and

settlement

dates

on

securities

transactions

and

the

difference

between

the

recorded

amounts

of

dividends,

interest,

and

foreign

withholding

taxes

and

the

U.S.

dollar

equivalent

of

the

amounts

actually

received

or

paid.

Net

unrealized

foreign

exchange

gains

and

losses

arise

from

changes

in

foreign

exchange

rates

on

foreign

denominated

assets

and

liabilities

other

than

investments

in

securities

held

at

the

end

of

the

reporting

period.

c. #### Securities

#### Lending
The

Fund

participates

in

an

agency

based

securities

lending

program

to

earn

additional

income.

The

Fund

receives

collateral

in

the

form

of

cash

and/or

U.S.

Government

and

Agency

securities

against

the

loaned

securities

in

an

amount

equal

to

at

least

102%

of

the

fair

value

of

the

loaned

securities.

Collateral

is

maintained

over

the

life

of

the

loan

in

an

amount

not

less

than

100%

of

the

fair

value

of

loaned

securities,

as

determined

at

the

close

of

Fund

business

each

day;

any

additional

collateral

required

due

to

changes

in

security

values

is

delivered

to

the

Fund

on

the

next

business

day.

Any

cash

collateral

received

is

deposited

into

a

joint

cash

account

with

other

funds

and

is

used

to

invest

in

a

money

market

fund

managed

by

Franklin

Advisers,

Inc.,

an

affiliate

of

the

Fund.

Additionally,

at

December

31,

2025,

the

Fund

held

$2,103,663

in

U.S.

Government

and

Agency

securities

as

collateral.

These

securities

are

held

as

collateral

in

segregated

accounts

with

the

Fund's

custodian.

The

Fund

cannot

repledge

or

resell

these

securities

held

as

collateral.

As

such,

the

non-cash

collateral

is

excluded

from

the

Statement

of

Assets

and

Liabilities. The

Fund

may

receive

income

from

the

investment

of

cash

collateral,

in

addition

to

lending

fees paid

by

the

borrower.

Income

from

securities

loaned,

net

of

fees

paid

to

the

securities

lending

agent

and/or

third-party

vendor,

is

reported

separately

in

the Statement of

Operations.

The

Fund

bears

the

market

risk

with

respect

to

any

cash

collateral

investment,

securities

loaned,

and

the

risk

that

the

agent

may

default

on

its

obligations

to

the

Fund.

If

the

borrower

defaults

on

its

obligation

to

return

the

securities

loaned,

the

Fund

has

the

right

to

repurchase

the

securities

in

the

open

market

using

the

collateral

received.

The

securities

lending

agent

has

agreed

to

indemnify

the

Fund

in

the

event

of

default

by

a

third

party

borrower.

Securities

on

loan

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

d. #### Income

#### and

#### Deferred

#### Taxes
It

is the Fund's

policy

to

qualify

as

a

regulated

investment

company

under

the

Internal

Revenue

Code. The Fund

intends

to

distribute

to

shareholders

substantially

all

of

its

taxable

income

and

net

realized

gains

to

relieve

it

from

federal

income

and if

applicable,

excise

taxes.

As

a

result,

no

provision

for

U.S.

federal

income

taxes

is

required.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

a. #### Financial

#### Instrument

#### Valuation
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund
(continued)

The

Fund

may

be

subject

to

foreign

taxation

related

to

income

received,

capital

gains

on

the

sale

of

securities

and

certain

foreign

currency

transactions

in

the

foreign

jurisdictions

in

which it

invests.

Foreign

taxes,

if

any,

are

recorded

based

on

the

tax

regulations

and

rates

that

exist

in

the

foreign

markets

in

which

the

Fund

invests.

When

a

capital

gain

tax

is

determined

to

apply,

the

Fund

records

an

estimated

deferred

tax

liability

in

an

amount

that

would

be

payable

if

the

securities

were

disposed

of

on

the

valuation

date.

The Fund

may

recognize

an

income

tax

liability

related

to

its

uncertain

tax

positions

under

U.S.

GAAP

when

the

uncertain

tax

position

has

a

less

than

50%

probability

that

it

will

be

sustained

upon

examination

by

the

tax

authorities

based

on

its

technical

merits.

As

of

December

31,

2025, the Fund

has

determined

that

no

tax

liability

is

required

in

its

financial

statements

related

to

uncertain

tax

positions

for

any

open

tax

years

(or

expected

to

be

taken

in

future

tax

years).

The

Fund's

federal

and

state

income

and

federal

excise

tax

returns

for

the

prior

three

fiscal

years

are

subject

to

examination

by

the

Internal

Revenue

Service

and

state

departments

of

revenue.

e. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
Security

transactions

are

accounted

for

on

trade

date.

Realized

gains

and

losses

on

security

transactions

are

determined

on

a

specific

identification

basis.

Estimated

expenses

are

accrued

daily.

Dividend

income

is

recorded

on

the

ex-dividend

date

except

for

certain

dividends

from

securities

where

the

dividend

rate

is

not

available.

In

such

cases,

the

dividend

is

recorded

as

soon

as

the

information

is

received

by

the

Fund.

Distributions

to

shareholders

are

recorded

on

the

ex-dividend

date.

Distributable

earnings

are

determined

according

to

income

tax

regulations

(tax

basis)

and

may

differ

from

earnings

recorded

in

accordance

with

U.S.

GAAP.

These

differences

may

be

permanent

or

temporary.

Permanent

differences

are

reclassified

among

capital

accounts

to

reflect

their

tax

character.

These

reclassifications

have

no

impact

on

net

assets

or

the

results

of

operations.

Temporary

differences

are

not

reclassified,

as

they

may

reverse

in

subsequent

periods.

Common

expenses

incurred

by

the

Trust

are

allocated

among

the

Funds

based

on

the

ratio

of

net

assets

of

each

Fund

to

the

combined

net

assets

of

the

Trust

or

based

on

the

ratio

of

number

of

shareholders

of

each

Fund

to

the

combined

number

of

shareholders

of

the

Trust.

Fund

specific

expenses

are

charged

directly

to

the

Fund

that

incurred

the

expense.

Realized

and

unrealized

gains

and

losses

and

net

investment

income,

excluding

class

specific

expenses,

are

allocated

daily

to

each

class

of

shares

based

upon

the

relative

proportion

of

net

assets

of

each

class.

Differences

in

per

share

distributions

by

class

are

generally

due

to

differences

in

class

specific

expenses.

f. #### Accounting

#### Estimates
The

preparation

of

financial

statements

in

accordance

with

U.S.

GAAP

requires

management

to

make

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

amounts

of

income

and

expenses

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

g. #### Guarantees

#### and

#### Indemnifications
Under

the Trust's

organizational

documents,

its

officers

and trustees

are

indemnified

by

the Trust against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Trust.

Additionally,

in

the

normal

course

of

business,

the Trust,

on

behalf

of

the

Fund, enters

into

contracts

with

service

providers

that

contain

general

indemnification

clauses.

The Trust's

maximum

exposure

under

these

arrangements

is

unknown

as

this

would

involve

future

claims

that

may

be

made

against

the Trust

that

have

not

yet

occurred.

Currently,

the Trust

expects

the

risk

of

loss

to

be

remote.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

d. #### Income

#### and

#### Deferred

#### Taxes
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund
(continued)

2. #### Shares

#### of

#### Beneficial

#### Interest
At

December

31,

2025,

there

were

an

unlimited

number

of

shares

authorized

(without

par

value).

Transactions

in

the

Fund's

shares

were

as

follows:

3. #### Transactions

#### with

#### Affiliates
Franklin

Resources,

Inc.

is

the

holding

company

for

various

subsidiaries

that

together

are

referred

to

as

Franklin

Templeton.

Certain

officers

and trustees

of

the Fund are

also

officers

and/or directors

of

the

following

subsidiaries:

a. #### Management

#### Fees
The

Fund

pays

an

investment

management fee,

calculated

daily and

paid

monthly,

to

Asset

Management based

on the

average

daily

net

assets

of

the

Fund

as

follows:

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### 1

#### Shares:
Shares

sold

...................................

1,112,439

$11,678,521

735,158

$6,318,551

Shares

issued

in

reinvestment

of

distributions

..........

216,210

2,121,025

426,342

3,585,542

Shares

redeemed

...............................

(1,676,097)

(17,602,864)

(1,081,198)

(9,289,350)

Net

increase

(decrease)

..........................

(347,448)

$(3,803,318)

80,302

$614,743

#### Class

#### 2

#### Shares:
Shares

sold

...................................

3,292,342

$32,975,645

2,744,267

$23,098,877

Shares

issued

in

reinvestment

of

distributions

..........

460,297

4,474,091

1,037,278

8,650,895

Shares

redeemed

...............................

(6,713,426)

(69,100,469)

(4,549,123)

(38,570,132)

Net

increase

(decrease)

..........................

(2,960,787)

$(31,650,733)

(767,578)

$(6,820,360)

#### Class

#### 4

#### Shares:
Shares

sold

...................................

57,158

$629,315

21,829

$184,281

Shares

issued

in

reinvestment

of

distributions

..........

9,491

93,106

22,277

187,573

Shares

redeemed

...............................

(100,323)

(1,012,257)

(55,210)

(475,317)

Net

increase

(decrease)

..........................

(33,674)

$(289,836)

(11,104)

$(103,463)

#### Subsidiary

#### Affiliation
Templeton

Asset

Management

Ltd.

(Asset

Management)

Investment

manager

Franklin

Templeton

Investment

Management

Limited

(FTIML)

Subadvisor

Franklin

Templeton

Services,

LLC

(FT

Services)

Administrative

manager

Franklin

Distributors,

LLC

(Distributors)

Principal

underwriter

Franklin

Templeton

Investor

Services,

LLC

(Investor

Services)

Transfer

agent

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
1.050%

Up

to

and

including

$1

billion

1.000%

Over

$1

billion,

up

to

and

including

$5

billion

0.950%

Over

$5

billion,

up

to

and

including

$10

billion

0.900%

Over

$10

billion,

up

to

and

including

$15

billion

0.850%

Over

$15

billion,

up

to

and

including

$20

billion

0.800%

In

excess

of

$20

billion

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund
(continued)

For

the

year

ended

December

31,

2025,

the

gross

effective

investment

management

fee

rate

was 1.050%

of

the

Fund's

average daily

net

assets.

Under

a

subadvisory

agreement,

FTIML,

an

affiliate

of

Asset

Management,

provides

subadvisory

services

to

the

Fund.

The

subadvisory

fee

is

paid

by

Asset

Management

based

on

the

Fund's

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Fund.

b. #### Administrative

#### Fees
Under

an

agreement

with

Asset

Management,

FT

Services

provides

administrative

services

to

the

Fund.

The

fee

is

paid

by

Asset

Management

based

on

the

Fund's

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Fund.

c. #### Distribution

#### Fees
The

Board

has

adopted

distribution

plans

for

Class

2 and

Class

shares

pursuant

to

Rule

12b-1

under

the

1940

Act.

Under

the

Fund's

compensation

distribution

plans,

the

Fund

pays

Distributors

for

costs

incurred

in

connection

with

the

servicing,

sale

and

distribution

of

the

Fund's

shares

up

to

0.25%

and

0.35%

per

year

of

its

average

daily

net

assets

of

Class

and

Class

4,

respectively.

The

plan

year,

for

purposes

of

monitoring

compliance

with

the

maximum

annual

plan

rates,

is

February

through

January

31. d. #### Transfer

#### Agent

#### Fees
Investor

Services,

under

terms

of

an

agreement,

performs

shareholder

servicing

for

the

Fund and

is

not

paid

by

the Fund

for

the

services.

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
The

Fund

invests

in

one

or

more

affiliated

management

investment

companies.

As

defined

in

the

1940

Act,

an

investment

is

deemed

to

be

a

"Controlled

Affiliate"

of

a

fund

when

a

fund

owns,

either

directly

or

indirectly,

25%

or

more

of

the

affiliated

fund's

outstanding

shares

or

has

the

power

to

exercise

control

over

management

or

policies

of

such

fund.

The

Fund

does

not

invest

for

purposes

of

exercising

a

controlling

influence

over

the

management

or

policies.

Management

fees

paid

by

the

Fund

are

waived

on

assets

invested

in

the

affiliated

management

investment

companies,

as

noted

in

the

Statement

of

Operations,

in

an

amount

not

to

exceed

the

management

and

administrative

fees,

if

applicable, paid

directly

or

indirectly

by

each

affiliate.

During

the

year

ended

December

31,

2025,

the

Fund

held

investments

in

affiliated

management

investment

companies

as

follows:

#### &nbsp;&nbsp;&nbsp;&nbsp;aa

#### Value

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### Sales

#### Realized

#### Gain
(Loss)

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### Value

#### at

#### End

#### of

#### Year

#### Number

#### of

#### Shares

#### Held

#### at

#### End

#### of

#### Year

#### Investment

#### Income

#### a&nbsp;&nbsp;&nbsp;&nbsp;

#### a

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund

#### Non-Controlled

#### Affiliates
Dividends

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$3,050,480

$43,332,129

$(46,381,884)

$—

$—

$725

725

$129,675

3. #### Transactions

#### with

#### Affiliates
(continued)

a. #### Management

#### Fees
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund
(continued)

4. #### Income

#### Taxes
The

tax

character

of

distributions

paid

during

the

years

ended

December

31,

2025

and

2024,

was

as

follows:

At

December

31,

2025,

the

cost

of

investments,

net

unrealized

appreciation

(depreciation),

undistributed

ordinary

income

and

undistributed

long

term

capital

gains for

income

tax

purposes

were

as

follows:

Differences

between

income

and/or

capital

gains

as

determined

on

a

book

basis

and

a

tax

basis

are

primarily

due

to

differing

treatments

of

wash

sales,

passive

foreign

investment

company

shares,

foreign

capital

gains

tax

and

corporate

actions.

5. #### Investment

#### Transactions
Purchases

and

sales

of

investments (excluding

short

term

securities) for

the

year

ended

December

31,

2025,

aggregated

$46,680,935 and

$81,611,757,

respectively.

#### &nbsp;&nbsp;&nbsp;&nbsp;aa

#### Value

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### Sales

#### Realized

#### Gain
(Loss)

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### Value

#### at

#### End

#### of

#### Year

#### Number

#### of

#### Shares

#### Held

#### at

#### End

#### of

#### Year

#### Investment

#### Income

#### a&nbsp;&nbsp;&nbsp;&nbsp;

#### a

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund
(continued)

#### Non-Controlled

#### Affiliates
Income

from

securities

loaned

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$—

$12,735,464

$(8,433,960)

$—

$—

$4,301,504

4,301,504

$27,690

#### Total

#### Affiliated

#### Securities

#### ...
$3,050,480

$56,067,593

$(54,815,844)

$—

$—

$4,302,229

$157,365

#### 2025

#### 2024
Distributions

paid

from:

Ordinary

income

..........................................................

$3,585,371

$12,424,010

Long

term

capital

gain

......................................................

3,102,851

—

$6,688,222

$12,424,010

Cost

of

investments

..........................................................................

$197,866,179

Unrealized

appreciation

........................................................................

$155,262,023

Unrealized

depreciation

........................................................................

(20,596,404)

Net

unrealized

appreciation

(depreciation)

..........................................................

$134,665,619

Distributable

earnings:

Undistributed

ordinary

income

...................................................................

$9,408,911

Undistributed

long

term

capital

gains

..............................................................

15,411,225

Total

distributable

earnings

.....................................................................

$24,820,136

3. #### Transactions

#### with

#### Affiliates
(continued)

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund
(continued)

At

December

31,

2025,

in

connection

with

securities

lending

transactions,

the

Fund

loaned

equity

investments

and

received

$4,301,504

of

cash

collateral.

The

gross

amount

of

recognized

liability

for

such

transactions

is

included

in

payable

upon

return

of

securities

loaned

in

the

Statement

of

Assets

and

Liabilities.

The

agreements

can

be

terminated

at

any

time.

6. #### Concentration

#### of

#### Risk
Investing

in

foreign

securities

may

include

certain

risks

and

considerations

not

typically

associated

with

investing

in

U.S.

securities,

such

as

fluctuating

currency

values

and

changing

local,

regional

and

global

economic,

political

and

social

conditions,

which

may

result

in

greater

market

volatility.

Political

and

financial

uncertainty

in

many

foreign

regions

may

increase

market

volatility

and

the

economic

risk

of

investing

in

foreign

securities.

In

addition,

certain

foreign

securities

may

not

be

as

liquid

as

U.S.

securities.

Certain

investments

in

Chinese

companies

are

made

through

a

special

structure

known

as

a

VIE.

In

a

VIE

structure,

foreign

investors,

such

as

the

Fund,

will

only

own

stock

in

a

shell

company

rather

than

directly

in

the

VIE,

which

must

be

owned

by

Chinese

nationals

(and/or

Chinese

companies)

to

obtain

the

licenses

and/or

assets

required

to

operate

in

a

restricted

or

prohibited

sector

in

China.

The

value

of

the

shell

company

is

derived

from

its

ability

to

consolidate

the

VIE

into

its

financials

pursuant

to

contractual

arrangements

that

allow

the

shell

company

to

exert

a

degree

of

control

over,

and

obtain

economic

benefits

arising

from,

the

VIE

without

formal

legal

ownership.

While

VIEs

are

a

longstanding

industry

practice

and

are

well

known

by

Chinese

officials

and

regulators,

the

structure

historically

has

not

been

formally

recognized

under

Chinese

law

and

it

is

uncertain

whether

Chinese

officials

or

regulators

will

withdraw

their

implicit

acceptance

of

the

structure.

It

is

also

uncertain

whether

the

contractual

arrangements,

which

may

be

subject

to

conflicts

of

interest

between

the

legal

owners

of

the

VIE

and

foreign

investors,

would

be

enforced

by

Chinese

courts

or

arbitration

bodies.

Prohibitions

of

these

structures

by

the

Chinese

government,

or

the

inability

to

enforce

such

contracts,

from

which

the

shell

company

derives

its

value,

would

likely

cause

the

VIE-structured

holding(s)

to

suffer

significant,

detrimental,

and

possibly

permanent

losses,

and

in

turn,

adversely

affect

the

Fund's

returns

and

net

asset

value.

Russia's

military

invasion

of

Ukraine

in

February

2022,

the

resulting

responses

by

the

United

States

and

other

countries,

and

the

potential

for

wider

conflict

could

increase

volatility

and

uncertainty

in

the

financial

markets

and

adversely

affect

regional

and

global

economies.

The

United

States

and

other

countries

have

imposed

broad-ranging

economic

sanctions

on

Russia

and

certain

Russian

individuals,

banking

entities

and

corporations

as

a

response

to

its

invasion

of

Ukraine.

The

United

States

and

other

countries

have

also

imposed

economic

sanctions

on

Belarus

and

may

impose

sanctions

on

other

countries

that

support

Russia's

military

invasion.

These

sanctions,

as

well

as

any

other

economic

consequences

related

to

the

invasion,

such

as

additional

sanctions,

boycotts

or

changes

in

consumer

or

purchaser

preferences

or

cyberattacks

on

governments,

companies

or

individuals,

may

further

decrease

the

value

and

liquidity

of

certain

Russian

securities

and

securities

of

issuers

in

other

countries

that

are

subject

to

economic

sanctions

related

to

the

invasion.

To

the

extent

that

the

Fund

has

exposure

to

Russian

investments

or

investments

in

countries

affected

by

the

invasion,

the

Fund's

ability

to

price,

buy,

sell,

receive

or

deliver

such

investments was

impaired.

The

Fund

could

determine

at

any

time

that

certain

of

the

most

affected

securities

have

little

or

no

value.

In

addition,

any

exposure

that

the

Fund

may

have

to

counterparties

in

Russia

or

in

countries

affected

by

the

invasion

could

negatively

impact

the

Fund's

portfolio.

The

extent

and

duration

of

Russia's

military

actions

and

the

repercussions

of

such

actions

(including

any

retaliatory

actions

or

countermeasures

that

may

be

taken

by

those

subject

to

sanctions)

are

impossible

to

predict,

but

could

result

in

significant

market

disruptions,

including

in

the

oil

and

natural

gas

markets,

and

may

negatively

affect

global

supply

chains,

inflation

and

global

growth.

These

and

any

related

events

could

significantly

impact

the

Fund's

performance

and

the

value

of

an

investment

in

the

Fund,

even

beyond

any

direct

exposure

the

Fund

may

have

to

Russian

issuers

or

issuers

in

other

countries

affected

by

the

invasion.

The

Valuation

Committee

determined

that

based

on

their

analysis

of

the

market

and

access

to

market

participants,

the

Russian

financial

instruments

held

by

the Fund

had

little

or

no

value

at

December

31,

2025. 5. #### Investment

#### Transactions
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund
(continued)

7. #### Credit

#### Facility
The

Fund,

together

with

other

U.S.

registered

and

foreign

investment

funds

(collectively,

Borrowers),

managed

by

Franklin

Templeton,

are

borrowers

in

a

joint

syndicated

senior

unsecured

credit

facility

totaling

$2.995

billion

(Global

Credit

Facility)

which

matured

on

January

30,

2026. This

Global

Credit

Facility

provides

a

source

of

funds

to

the

Borrowers

for

temporary

and

emergency

purposes,

including

the

ability

to

meet

future

unanticipated

or

unusually

large

redemption

requests.

Effective

January

30,

2026,

the

Borrowers

renewed

the

Global

Credit

Facility

for

a

one-year

term,

maturing

January

29,

2027,

for

a

total

of

$2.995

billion.

Under

the

terms

of

the

Global

Credit

Facility,

the

Fund

may,

in

addition

to

interest

charged

on

any

borrowings

made

by

the

Fund

and

other

costs

incurred

by

the

Fund,

pay

its

share

of

fees

and

expenses

incurred

in

connection

with

the

implementation

and

maintenance

of

the

Global

Credit

Facility,

based

upon

its

relative

share

of

the

aggregate

net

assets

of

all

of

the

Borrowers,

including

an

annual

commitment

fee

of

0.15%

based

upon

the

unused

portion

of

the

Global

Credit

Facility.

These

fees

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

During

the

year

ended

December

31,

2025,

the Fund

did

not

use

the

Global

Credit

Facility.

8. #### Fair

#### Value

#### Measurements
The

Fund

follows

a

fair

value

hierarchy

that

distinguishes

between

market

data

obtained

from

independent

sources

(observable

inputs)

and

the Fund's

own

market

assumptions

(unobservable

inputs).

These

inputs

are

used

in

determining

the

value

of

the

Fund's financial

instruments

and

are

summarized

in

the

following

fair

value

hierarchy:

Level

–

quoted

prices

in

active

markets

for

identical

financial

instruments

Level

–

other

significant

observable

inputs

(including

quoted

prices

for

similar

financial

instruments,

interest

rates,

prepayment

speed,

credit

risk,

etc.)

Level

–

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

financial

instruments)

The

input

levels

are

not

necessarily

an

indication

of

the

risk

or

liquidity

associated

with

financial

instruments

at

that

level.

A

summary

of

inputs

used

as

of

December

31,

2025,

in

valuing

the

Fund's assets carried

at

fair

value,

is

as

follows:

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund

#### Assets:
Investments

in

Securities:

a

Common

Stocks

:

Brazil

................................

$

1,043,487

$

7,632,906

$

—

$

8,676,393

Chile

................................

3,525,976

—

—

3,525,976

China

...............................

2,482,583

77,387,497

—

79,870,080

Hong

Kong

...........................

—

5,663,165

—

5,663,165

Hungary

.............................

—

3,423,176

—

3,423,176

India

................................

4,126,991

27,312,227

—

31,439,218

Indonesia

............................

—

1,329,157

—

1,329,157

Italy

.................................

—

244,514

—

244,514

Mexico

..............................

8,001,576

—

—

8,001,576

Peru

................................

1,298,419

—

—

1,298,419

Philippines

............................

—

1,480,927

—

1,480,927

Russia

...............................

—

—

—

b

—

South

Africa

...........................

7,275,878

—

—

7,275,878

South

Korea

..........................

—

69,647,752

—

69,647,752

Taiwan

...............................

—

70,639,324

—

70,639,324

Thailand

.............................

—

5,044,691

—

5,044,691

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund
(continued)

A

reconciliation

in

which

Level

inputs

are

used

in

determining

fair

value

is

presented

when

there

are

significant

Level

assets

and/or

liabilities

at

the

beginning

and/or

end

of

the

year

.

9. #### Operating

#### Segments
The Fund operates

as

a

single

operating

segment,

which

is

an

investment

portfolio.

The

chief

investment

officer

of

the

Fund's

Investment

manager serves

as

the

Chief

Operating

Decision

Maker

("CODM")

and

is

responsible

for

evaluating

the

Fund's

operating

results

and

allocating

resources

in

accordance

with

the

Fund's

investment

strategy.

Internal

reporting

provided

to

the

CODM

aligns

with

the

accounting

policies

and

measurement

principles

used

in

the financial

statements.

For

information

regarding

segment

assets,

segment

profit

or

loss,

and

significant

expenses,

refer

to

the Statement

of

Assets

and

Liabilities

and

the Statement

of

Operations,

along

with

the

related

notes

to

the financial

statements.

The Schedule

of

Investments

provides

details

of

the Fund's investments

that

generate

returns

such

as

interest,

dividends,

and

realized

and

unrealized

gains

or

losses.

Performance

metrics,

including

portfolio

turnover

and

expense

ratios,

are

disclosed

in

the Financial

Highlights.

10. #### Subsequent

#### Events
The Fund

has

evaluated

subsequent

events

through

the

issuance

of

the

financial

statements

and

determined

that

no

events

have

occurred

that

require

disclosure

other

than

those

already

disclosed

in

the

financial

statements.

#### Abbreviations

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund
(continued)

#### Assets:
(continued)

Investments

in

Securities:

a

(continued)

Common

Stocks:

(continued)

Turkiye

..............................

$

—

$

931,329

$

—

$

931,329

United

Arab

Emirates

....................

1,900,581

2,692,498

—

4,593,079

United

States

..........................

8,779,025

—

—

8,779,025

Preferred

Stocks

:

Brazil

................................

11,685,086

4,567,822

—

16,252,908

Escrows

and

Litigation

Trusts

...............

—

—

112,982

112,982

Short

Term

Investments

...................

4,302,229

—

—

4,302,229

Total

Investments

in

Securities

...........

$54,421,831

$277,996,985

c

$112,982

$332,531,798

a

For

detailed

categories,

see

the

accompanying

Schedule

of

Investments.

b

Includes

financial

instruments

determined

to

have

no

value.

c

Includes

foreign

securities

valued

at

$277,996,985,

which

were

categorized

as

Level

as

a

result

of

the

application

of

market

level

fair

value

procedures.

See

the

Financial

Instrument

Valuation

note

for

more

information.

#### Selected

#### Portfolio

#### ADR
American

Depositary

Receipt

8. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Report

of

Independent

Registered

Public

Accounting

Firm

franklintempleton.com

Annual

Report

To

the

Board

of

Trustees

of

Franklin

Templeton

Variable

Insurance

Products

Trust

and

Shareholders

of

Templeton

Developing

Markets

VIP

Fund

#### Opinion

#### on

#### the

#### Financial

#### Statements
We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

investments,

of

Templeton

Developing

Markets

VIP

Fund

(one

of

the

funds

constituting

Franklin

Templeton

Variable

Insurance

Products

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2025,

the

related

statement

of

operations

for

the

year

ended

December

31,

2025,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

(collectively

referred

to

as

the

"financial

statements").

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2025,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

#### Basis

#### for

#### Opinion
These

financial

statements

are

the

responsibility

of

the

Fund's

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund's

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2025

by

correspondence

with

the

custodians,

transfer

agent

and

broker;

when

replies

were

not

received

from

a

custodian,

we

performed

other

auditing

procedures.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/PricewaterhouseCoopers

LLP

San

Francisco,

California

February

19,

2026

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Franklin

Templeton

Group

of

Funds

since

1948. Franklin

Templeton

Variable

Insurance

Products

Trust

Tax

Information

(unaudited)

franklintempleton.com

Annual

Report

#### Templeton

#### Developing

#### Markets

#### VIP

#### Fund
By

mid-February,

tax

information

related

to

a

shareholder's

proportionate

share

of

distributions

paid

during

the

preceding

calendar

year

will

be

received,

if

applicable.

Please

also

refer

to

www.franklintempleton.com

for

per

share

tax

information

related

to

any

distributions

paid

during

the

preceding

calendar

year.

Shareholders

are

advised

to

consult

with

their

tax

advisors

for

further

information

on

the

treatment

of

these

amounts

on

their

tax

returns.

The

following

tax

information

for

the

Fund

is

required

to

be

furnished

to

shareholders

with

respect

to

income

earned

and

distributions

paid

during

its

fiscal

year.

The

Fund

hereby

reports

the

following

amounts,

or

if

subsequently

determined

to

be

different,

the

maximum

allowable

amounts,

for

the

fiscal

year

ended

December

31,

2025:

Under

Section

853

of

the

Internal

Revenue

Code,

the

Fund

intends

to

elect

to

pass

through

to

its

shareholders

the

following

amounts,

or

amounts

as

finally

determined,

of

foreign

taxes

paid

and

foreign

source

income

earned

by

the

Fund

during

the

fiscal

year

ended

December

31,

2025

:

#### Pursuant

#### to:

#### Amount

#### Reported
Long-Term

Capital

Gain

Dividends

Distributed

§852(b)(3)(C)

$3,102,851

Income

Eligible

for

Dividends

Received

Deduction

(DRD)

§854(b)(1)(A)

$67,516

#### Amount

#### Reported
Foreign

Taxes

Paid

$1,414,443

Foreign

Source

Income

Earned

$6,424,786

Franklin

Templeton

Variable

Insurance

Products

Trust

franklintempleton.com

Annual

Report

#### Changes

#### In

#### and

#### Disagreements

#### with

#### Accountants
For

the

period

covered

by

this

report

Not

applicable.

#### Results

#### of

#### Meeting(s)

#### of

#### Shareholders
For

the

period

covered

by

this

report

Not

applicable.

#### Remuneration

#### Paid

#### to

#### Directors,

#### Officers

#### and

#### Others
For

the

period

covered

by

this

report

Refer

to

the

financial

statements

included

herein.

Remuneration

to

officers

is

paid

by

the

Fund's

investment

manager

according

to

the

terms

of

the

agreement.

#### Board

#### Approval

#### of

#### Management

#### and

#### Subadvisory

#### Agreements
For

the

period

covered

by

this

report

Not

applicable.

381-AFSOI

02/26©

2026

Franklin

Templeton.

All

rights

reserved.

#### Templeton

#### Foreign

#### VIP

#### Fund

#### Financial

#### Statements

#### and

#### Other

#### Important

#### Information

#### Annual
\|

December

31,

2025

#### Table

#### of

#### Contents
franklintempleton.com

Financial

Statements

and

Other

Important

Information—Annual

Financial

Highlights

and

Schedule

of

Investments

#### 2
Financial

Statements

#### 8
Notes

to

Financial

Statements

#### 11
Report

of

Independent

Registered

Public

Accounting

Firm

#### 20
Tax

Information

#### 21
Changes

In

and

Disagreements

with

Accountants

#### 22
Results

of

Meeting(s)

of

Shareholders

Remuneration

Paid

to

Directors,

Officers

and

Others

Board

Approval

of

Management

and

Subadvisory

Agreements

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Templeton

#### Foreign

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 1

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$14.08

$14.57

$12.44

$13.90

$13.57

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.32 0.32 0.33 0.30 0.23 Net

realized

and

unrealized

gains

(losses)

...........

3.67 (0.42)

2.27 (1.33)

0.39 Total

from

investment

operations

....................

3.99 (0.10)

2.60 (1.03)

0.62 Less

distributions

from:

Net

investment

income

..........................

(0.41)

(0.39)

(0.47)

(0.43)

(0.29)

Net

realized

gains

.............................

(1.03)

—

—

—

—

Total

distributions

...............................

(1.44)

(0.39)

(0.47)

(0.43)

(0.29)

Net

asset

value,

end

of

year

.......................

$16.63

$14.08

$14.57

$12.44

$13.90

Total

return

c

...................................

29.51%

(0.79)%

21.09%

(7.39)%

4.44%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.83%

0.81%

0.82%

0.79%

0.87%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.82%

0.80%

0.80%

0.78%

0.86%

Net

investment

income

...........................

2.10%

2.18%

2.39%

2.41%

1.58%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$123,373

$101,005

$107,439

$95,961

$114,563

Portfolio

turnover

rate

............................

65.93%

25.29%

15.07%

19.38%

26.13%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Templeton

#### Foreign

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 2

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$13.76

$14.24

$12.17

$13.59

$13.28

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.28 0.28 0.29 0.27 0.19 Net

realized

and

unrealized

gains

(losses)

...........

3.58 (0.41)

2.21 (1.31)

0.38 Total

from

investment

operations

....................

3.86 (0.13)

2.50 (1.04)

0.57 Less

distributions

from:

Net

investment

income

..........................

(0.37)

(0.35)

(0.43)

(0.38)

(0.26)

Net

realized

gains

.............................

(1.03)

—

—

—

—

Total

distributions

...............................

(1.40)

(0.35)

(0.43)

(0.38)

(0.26)

Net

asset

value,

end

of

year

.......................

$16.22

$13.76

$14.24

$12.17

$13.59

Total

return

c

...................................

29.19%

(1.00)%

20.76%

(7.61)%

4.16%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.08%

1.06%

1.07%

1.04%

1.11%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.07%

1.05%

1.05%

1.03%

1.11%

d

Net

investment

income

...........................

1.85%

1.96%

2.14%

2.17%

1.35%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$693,388

$618,695

$707,601

$691,189

$831,031

Portfolio

turnover

rate

............................

65.93%

25.29%

15.07%

19.38%

26.13%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Templeton

#### Foreign

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 4

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$14.07

$14.55

$12.42

$13.87

$13.54

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.27 0.27 0.28 0.26 0.18 Net

realized

and

unrealized

gains

(losses)

...........

3.65 (0.41)

2.27 (1.34)

0.39 Total

from

investment

operations

....................

3.92 (0.14)

2.55 (1.08)

0.57 Less

distributions

from:

Net

investment

income

..........................

(0.35)

(0.34)

(0.42)

(0.37)

(0.24)

Net

realized

gains

.............................

(1.03)

—

—

—

—

Total

distributions

...............................

(1.38)

(0.34)

(0.42)

(0.37)

(0.24)

Net

asset

value,

end

of

year

.......................

$16.61

$14.07

$14.55

$12.42

$13.87

Total

return

c

...................................

28.97%

(1.08)%

20.69%

(7.75)%

4.10%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.18%

1.16%

1.17%

1.14%

1.21%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.17%

1.15%

1.15%

1.12%

1.21%

d

Net

investment

income

...........................

1.76%

1.84%

2.03%

2.06%

1.22%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$75,531

$70,777

$77,354

$76,110

$91,428

Portfolio

turnover

rate

............................

65.93%

25.29%

15.07%

19.38%

26.13%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments,

December

31,

2025

#### Templeton

#### Foreign

#### VIP

#### Fund
franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

I

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks

#### 97.3%

#### Aerospace

#### &

#### Defense

#### 1.0%
Dassault

Aviation

SA

.................................

France

28,168

$

9,030,820

#### Automobiles

#### 3.3%
BYD

Co.

Ltd.

,

H

....................................

China

824,800

10,079,682

a

Toyota

Motor

Corp.

,

ADR

.............................

Japan

88,900

19,029,934

29,109,616

#### Banks

#### 13.9%
HDFC

Bank

Ltd.

....................................

India

2,025,752

22,378,270

ING

Groep

NV

.....................................

Netherlands

752,185

21,142,592

Japan

Post

Bank

Co.

Ltd.

.............................

Japan

1,061,500

14,942,816

Lloyds

Banking

Group

plc

.............................

United

Kingdom

7,627,785

10,089,381

Royal

Bank

of

Canada

...............................

Canada

117,900

20,099,392

Standard

Chartered

plc

...............................

United

Kingdom

727,124

17,742,146

Sumitomo

Mitsui

Financial

Group,

Inc.

....................

Japan

549,300

17,666,266

124,060,863

#### Beverages

#### 2.3%
Heineken

NV

......................................

Netherlands

246,850

20,366,834

#### Broadline

#### Retail

#### 2.5%
b

Alibaba

Group

Holding

Ltd.

............................

China

1,212,800

22,268,175

#### Capital

#### Markets

#### 4.8%
c

Euronext

NV

,

144A

,

Reg

S

............................

Netherlands

135,352

20,332,302

UBS

Group

AG

.....................................

Switzerland

490,248

22,703,385

43,035,687

#### Chemicals

#### 2.0%
a

Akzo

Nobel

NV

.....................................

Netherlands

250,535

17,432,354

#### Commercial

#### Services

#### &

#### Supplies

#### 1.5%
Securitas

AB

,

B

.....................................

Sweden

818,365

13,014,556

#### Construction

#### &

#### Engineering

#### 1.9%
Vinci

SA

..........................................

France

117,960

16,594,979

#### Construction

#### Materials

#### 1.8%
CRH

plc

..........................................

United

States

129,555

16,098,698

#### Consumer

#### Staples

#### Distribution

#### &

#### Retail

#### 2.2%
Carrefour

SA

.......................................

France

1,156,376

19,294,805

#### Containers

#### &

#### Packaging

#### 2.6%
Smurfit

WestRock

plc

................................

United

States

615,818

23,623,813

#### Diversified

#### Telecommunication

#### Services

#### 1.6%
Deutsche

Telekom

AG

................................

Germany

429,567

13,982,859

#### Electric

#### Utilities

#### 3.1%
SSE

plc

..........................................

United

Kingdom

945,950

27,733,282

#### Electrical

#### Equipment

#### 3.3%
Mitsubishi

Electric

Corp.

..............................

Japan

703,200

20,503,101

d

Siemens

Energy

AG

.................................

Germany

64,968

9,114,269

29,617,370

#### Entertainment

#### 1.7%
Universal

Music

Group

NV

............................

Netherlands

597,315

15,571,905

#### Food

#### Products

#### 0.1%
a,d

Magnum

Ice

Cream

Co.

NV

(The)

.......................

Netherlands

76,595

1,215,724

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Templeton

#### Foreign

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Health

#### Care

#### Providers

#### &

#### Services

#### 1.1%
Fresenius

Medical

Care

AG

............................

Germany

204,736

$

9,779,331

#### Household

#### Durables

#### 1.5%
Barratt

Redrow

plc

..................................

United

Kingdom

2,541,900

13,058,221

#### Insurance

#### 3.6%
AIA

Group

Ltd.

.....................................

Hong

Kong

1,677,000

17,261,518

Manulife

Financial

Corp.

..............................

Canada

417,700

15,167,512

32,429,030

#### Life

#### Sciences

#### Tools

#### &

#### Services

#### 1.2%
a,d

ICON

plc

..........................................

United

States

60,600

11,042,532

#### Machinery

#### 4.0%
a

CNH

Industrial

NV

...................................

United

States

1,211,892

11,173,644

a

Daimler

Truck

Holding

AG

.............................

Germany

275,385

11,927,626

a

Ebara

Corp.

.......................................

Japan

550,800

12,982,229

36,083,499

#### Metals

#### &

#### Mining

#### 1.8%
Norsk

Hydro

ASA

...................................

Norway

2,082,664

16,076,447

#### Multi-Utilities

#### 1.9%
Veolia

Environnement

SA

.............................

France

478,851

16,662,817

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 7.1%
BP

plc

............................................

United

States

4,816,699

28,090,815

Galp

Energia

SGPS

SA

,

B

............................

Portugal

746,237

12,850,453

Shell

plc

..........................................

United

States

614,439

22,643,460

63,584,728

#### Personal

#### Care

#### Products

#### 2.5%
Unilever

plc

........................................

United

Kingdom

340,424

22,242,346

#### Pharmaceuticals

#### 7.4%
AstraZeneca

plc

....................................

United

Kingdom

191,929

35,518,255

Novo

Nordisk

A/S

,

B

.................................

Denmark

238,544

12,098,589

Sanofi

SA

.........................................

United

States

191,427

18,521,563

66,138,407

#### Professional

#### Services

#### 1.3%
Adecco

Group

AG

...................................

Switzerland

392,369

11,300,229

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 8.8%
ASM

International

NV

................................

Netherlands

18,994

11,498,879

Infineon

Technologies

AG

.............................

Germany

336,768

14,693,512

STMicroelectronics

NV

...............................

Singapore

591,345

15,454,870

Taiwan

Semiconductor

Manufacturing

Co.

Ltd.

.............

Taiwan

759,000

37,310,379

78,957,640

#### Specialty

#### Retail

#### 1.5%
JD

Sports

Fashion

plc

................................

United

Kingdom

11,441,035

12,968,270

#### Technology

#### Hardware,

#### Storage

#### &

#### Peripherals

#### 3.0%
Samsung

Electronics

Co.

Ltd.

..........................

South

Korea

324,724

27,216,709

#### Textiles,

#### Apparel

#### &

#### Luxury

#### Goods

#### 1.0%
LVMH

Moet

Hennessy

Louis

Vuitton

SE

..................

France

11,903

8,971,717

#### Total

#### Common

#### Stocks

#### (Cost

#### $

#### 653,409,874

####)
...................................

#### 868,564,263
Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Templeton

#### Foreign

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Short

#### Term

#### Investments

#### 7.8%
a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Money

#### Market

#### Funds

#### 2.2%
e,f

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

.........................................

United

States

19,280,919

$

19,280,919

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $

#### 19,280,919

####)
................................

#### 19,280,919
g

#### Investments

#### from

#### Cash

#### Collateral

#### Received

#### for

#### Loaned

#### Securities

#### 5.6%

#### Money

#### Market

#### Funds

#### 5.6%
e,f

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

.........................................

United

States

49,944,756

49,944,756

#### Total

#### Investments

#### from

#### Cash

#### Collateral

#### Received

#### for

#### Loaned

#### Securities

#### (Cost

#### $

#### 49,944,756

####)
.........................................................

#### 49,944,756

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $

#### 69,225,675

####)
..............................

#### 69,225,675

#### a

#### Total

#### Investments

#### (Cost

#### $

#### 722,635,549

####)
105.1 #### %
................................

#### $937,789,938

#### Other

#### Assets,

#### less

#### Liabilities

#### (5.1 ####)

#### %
.........................................

#### (45,497,248)

#### Net

#### Assets

#### 100.0%

#### .........................................................

#### $892,292,690

#### a
See

Abbreviations

on

.

a

A

portion

or

all

of

the

security

is

on

loan

at

December

31,

2025. See

Note

1(c).

b

Variable

interest

entity

(VIE).

See

Note

regarding

investments

made

through

a

VIE

structure.

At

December

31,

2025,

the

value

of

this

security

was

$22,268,175,

represent-

ing

2.5%

of

net

assets.

c

Security

was

purchased

pursuant

to

Rule

144A

or

Regulation

S

under

the

Securities

Act

of

1933. 144A

securities

may

be

sold

in

transactions

exempt

from

registration

only

to

qualified

institutional

buyers

or

in

a

public

offering

registered

under

the

Securities

Act

of

1933. Regulation

S

securities

cannot

be

sold

in

the

United

States

without

either

an

effective

registration

statement

filed

pursuant

to

the

Securities

Act

of

1933,

or

pursuant

to

an

exemption

from

registration.

At

December

31,

2025,

the

value

of

this

security

was

$20,332,302,

representing

2.3%

of

net

assets.

d

Non-income

producing.

e

See

Note

3(e)

regarding

investments

in

affiliated

management

investment

companies.

f

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

g

See

Note

1(c)

regarding

securities

on

loan.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Assets

and

Liabilities

December

31,

2025

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Templeton

#### Foreign

#### VIP

#### Fund
Assets:

Investments

in

securities:

Cost

-

Unaffiliated

issuers

...................................................................

$653,409,874

Cost

-

Non-controlled

affiliates

(Note

e)

........................................................

69,225,675

Value

-

Unaffiliated

issuers

(Includes

securities

loaned

of

$

56,393,466)

.................................

$868,564,263

Value

-

Non-controlled

affiliates

(Note

e)

.......................................................

69,225,675

Foreign

currency,

at

value

(cost

$

697)

...........................................................

699

Receivables:

Investment

securities

sold

...................................................................

4,898,072

Capital

shares

sold

........................................................................

25,817

Dividends

...............................................................................

3,021,622

European

Union

tax

reclaims

(Note

d)

.........................................................

138,048

Total

assets

..........................................................................

945,874,196

Liabilities:

Payables:

Investment

securities

purchased

..............................................................

1,980

Capital

shares

redeemed

...................................................................

415,630

Management

fees

.........................................................................

590,856

Distribution

fees

..........................................................................

168,467

Trustees'

fees

and

expenses

.................................................................

Payable

upon

return

of

securities

loaned

(Note

c)

..................................................

49,944,756

Deferred

taxes

on

unrealized

appreciation

........................................................

2,327,529

Accrued

expenses

and

other

liabilities

...........................................................

132,167

Total

liabilities

.........................................................................

53,581,506

Net

assets,

at

value

.................................................................

$892,292,690

Net

assets

consist

of:

Paid-in

capital

.............................................................................

$598,002,650

Total

distributable

earnings

(losses)

.............................................................

294,290,040

Net

assets,

at

value

.................................................................

$892,292,690

#### Templeton

#### Foreign

#### VIP

#### Fund

#### Class

#### 1:
Net

assets,

at

value

.......................................................................

$123,373,489

Shares

outstanding

........................................................................

7,420,010

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$16.63

#### Class

#### 2:
Net

assets,

at

value

.......................................................................

$693,388,340

Shares

outstanding

........................................................................

42,757,893

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$16.22

#### Class

#### 4:
Net

assets,

at

value

.......................................................................

$75,530,861

Shares

outstanding

........................................................................

4,546,537

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$16.61

a

Net

asset

value

per

share

may

not

recalculate

due

to

rounding.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Operations

for

the

year

ended

December

31,

2025

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Templeton

#### Foreign

#### VIP

#### Fund
Investment

income:

Dividends:

(net

of

foreign

taxes

of

$1,574,797)

Unaffiliated

issuers

........................................................................

$23,444,049

Non-controlled

affiliates

(Note

e)

.............................................................

1,470,305

Income

from

securities

loaned:

Unaffiliated

entities

(net

of

fees

and

rebates)

.....................................................

(200,566)

Non-controlled

affiliates

(Note

e)

.............................................................

254,759

Other

income

(Note

d)

......................................................................

3,696

Total

investment

income

...................................................................

24,972,243

Expenses:

Management

fees

(Note

a)

...................................................................

6,807,779

Distribution

fees:

(Note

3c)

Class

................................................................................

1,670,224

Class

................................................................................

259,421

Custodian

fees

............................................................................

51,660

Reports

to

shareholders

fees

..................................................................

68,056

Professional

fees

...........................................................................

85,541

Trustees'

fees

and

expenses

..................................................................

9,125

Other

....................................................................................

71,691

Total

expenses

.........................................................................

9,023,497

Expenses

waived/paid

by

affiliates

(Note

e)

...................................................

(103,576)

Net

expenses

.........................................................................

8,919,921

Net

investment

income

................................................................

16,052,322

Realized

and

unrealized

gains

(losses):

Net

realized

gain

(loss)

from:

Investments:

(net

of

foreign

taxes

of

$13,020)

Unaffiliated

issuers

......................................................................

76,082,714

Foreign

currency

transactions

................................................................

156,237

Net

realized

gain

(loss)

..................................................................

76,238,951

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments:

Unaffiliated

issuers

......................................................................

126,294,058

Translation

of

other

assets

and

liabilities

denominated

in

foreign

currencies

..............................

179,757

Change

in

deferred

taxes

on

unrealized

appreciation

...............................................

(1,201,280)

Net

change

in

unrealized

appreciation

(depreciation)

............................................

125,272,535

Net

realized

and

unrealized

gain

(loss)

............................................................

201,511,486

Net

increase

(decrease)

in

net

assets

resulting

from

operations

..........................................

$217,563,808

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statements

of

Changes

in

Net

Assets

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Templeton

#### Foreign

#### VIP

#### Fund

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024
Increase

(decrease)

in

net

assets:

Operations:

Net

investment

income

.................................................

$16,052,322

$17,157,666

Net

realized

gain

(loss)

.................................................

76,238,951

70,804,169

Net

change

in

unrealized

appreciation

(depreciation)

...........................

125,272,535

(92,234,909)

Net

increase

(decrease)

in

net

assets

resulting

from

operations

................

217,563,808

(4,273,074)

Distributions

to

shareholders:

Class

.............................................................

(10,104,566)

(2,781,283)

Class

.............................................................

(59,153,220)

(16,604,851)

Class

.............................................................

(6,332,646)

(1,689,907)

Total

distributions

to

shareholders

..........................................

(75,590,432)

(21,076,041)

Capital

share

transactions:

(Note

2)

Class

.............................................................

3,453,138

(3,059,705)

Class

.............................................................

(35,770,142)

(69,100,165)

Class

.............................................................

(7,840,630)

(4,408,513)

Total

capital

share

transactions

............................................

(40,157,634)

(76,568,383)

Net

increase

(decrease)

in

net

assets

...................................

101,815,742

(101,917,498)

Net

assets:

Beginning

of

year

.......................................................

790,476,948

892,394,446

End

of

year

...........................................................

$892,292,690

$790,476,948

Franklin

Templeton

Variable

Insurance

Products

Trust

franklintempleton.com

Annual

Report

Notes

to

Financial

Statements

#### Templeton

#### Foreign

#### VIP

#### Fund
1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
Franklin

Templeton

Variable

Insurance

Products

Trust (Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-end

management

investment

company,

consisting

of seventeen separate

funds.

The Trust

follows the

accounting

and

reporting

guidance

in

Financial

Accounting

Standards

Board

(FASB)

Accounting

Standards

Codification

Topic

946,

Financial

Services

–

Investment

Companies

(ASC

946)

and

applies the

specialized

accounting

and

reporting

guidance

in

U.S.

Generally

Accepted

Accounting

Principles

(U.S.

GAAP),

including,

but

not

limited

to,

ASC

946. Templeton

Foreign

VIP

Fund

(Fund)

is

included

in

this

report. Shares

of

the

Fund

are

generally

sold

only

to

insurance

company

separate

accounts

to

fund

the

benefits

of

variable

life

insurance

policies

or

variable

annuity

contracts.

The

Fund

offers

three classes

of

shares:

Class

1,

Class

and

Class

4. Each

class

of

shares

may

differ

by

its

distribution

fees,

voting

rights

on

matters

affecting

a

single

class

and

its

exchange

privilege.

The

following

summarizes

the Fund's

significant

accounting

policies.

a. #### Financial

#### Instrument

#### Valuation
The

Fund's

investments

in

financial

instruments

are

carried

at

fair

value

daily.

Fair

value

is

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

market

participants

on

the

measurement

date.

The

Fund

calculates

the

net

asset

value

(NAV)

per

share

each business

day as

of

p.m.

Eastern

time

or

the

regularly

scheduled

close

of

the

New

York

Stock

Exchange

(NYSE),

whichever

is

earlier.

Under

compliance

policies

and

procedures

approved

by

the Trust's

Board

of

Trustees

(the

Board),

the

Board

has

designated

the

Fund's

investment

manager

as

the

valuation

designee

and

has

responsibility

for

oversight

of

valuation.

The

investment

manager

is

assisted

by

the

Fund's

administrator

in

performing

this

responsibility,

including

leading

the

cross-

functional

Valuation

Committee

(VC).

The

Fund

may

utilize

independent

pricing

services,

quotations

from

securities

and

financial

instrument

dealers,

and

other

market

sources

to

determine

fair

value.

Equity

securities

listed

on

an

exchange

or

on

the

NASDAQ

National

Market

System

are

valued

at

the

last

quoted

sale

price

or

the

official

closing

price of

the

day,

respectively.

Foreign

equity

securities

are

valued

as

of

the

close

of

trading

on

the

foreign

stock

exchange

on

which

the

security

is

primarily

traded,

or

as

of

p.m.

Eastern

time.

The

value

is

then

converted

into

its

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

p.m.

Eastern

time

on

the

day

that

the

value

of

the

security

is

determined.

Over-the-counter

(OTC)

securities

are

valued

within

the

range

of

the

most

recent

quoted

bid

and

ask

prices.

Securities

that

trade

in

multiple

markets

or

on

multiple

exchanges

are

valued

according

to

the

broadest

and

most

representative

market.

Certain

equity

securities

are

valued

based

upon

fundamental

characteristics

or

relationships

to

similar

securities.

Investments

in open-end mutual

funds

are

valued

at

the

closing

NAV.

The

Fund

has

procedures

to

determine

the

fair

value

of

financial

instruments

for

which

market

prices

are

not

reliable

or

readily

available.

Under

these

procedures,

the Fund

primarily

employs

a

market-based

approach

which

may

use

related

or

comparable

assets

or

liabilities,

recent

transactions,

market

multiples,

and

other

relevant

information

for

the

investment

to

determine

the

fair

value

of

the

investment.

An

income-based

valuation

approach

may

also

be

used

in

which

the

anticipated

future

cash

flows

of

the

investment

are

discounted

to

calculate

fair

value.

Discounts

may

also

be

applied

due

to

the

nature

or

duration

of

any

restrictions

on

the

disposition

of

the

investments.

Due

to

the

inherent

uncertainty

of

valuations

of

such

investments,

the

fair

values

may

differ

significantly

from

the

values

that

would

have

been

used

had

an

active

market

existed.

Trading

in

securities

on

foreign

securities

stock

exchanges

and

OTC

markets

may

be

completed

before

p.m.

Eastern

time.

In

addition,

trading

in

certain

foreign

markets

may

not

take

place

on

every

Fund's

business

day. Events

can occur

between

the

time

at

which

trading

in

a

foreign

security

is

completed

and

p.m.

Eastern

time

that

might

call

into

question

the

reliability

of

the

value

of

a

portfolio

security

held

by

the

Fund.

As

a

result,

differences

may

arise

between

the

value

of

the

Fund's

portfolio

securities

as

determined

at

the

foreign

market

close

and

the

latest

indications

of

value

at

p.m.

Eastern

time. In

order

to

minimize

the

potential

for

these

differences,

an

independent

pricing

service

may

be

used

to

adjust

the

value

of

the

Fund's

portfolio

securities

to

the

latest

indications

of

fair

value

at

p.m.

Eastern

time.

At

December

31,

2025,

certain

securities

may

have

been

fair

valued

using

these

procedures,

in

which

case

the

securities

were

categorized

as

Level

within

the

fair

value

hierarchy

(referred

to

as

"market

level

fair

value").

See

the

Fair

Value

Measurements

note

for

more

information.

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Foreign

#### VIP

#### Fund
(continued)

When

the

last

day

of

the

reporting

period

is

a

non-business

day,

certain

foreign

markets

may

be

open

on

those

days

that

the

Fund's

NAV

is

not

calculated,

which

could

result

in

differences

between

the

value

of

the

Fund's

portfolio

securities

on

the

last

business

day

and

the

last

calendar

day

of

the

reporting

period.

Any

security

valuation

changes

due

to

an

open

foreign

market

are

adjusted

and

reflected

by

the

Fund

for

financial

reporting

purposes.

b. #### Foreign

#### Currency

#### Translation
Portfolio

securities

and

other

assets

and

liabilities

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

based

on

the

exchange

rate

of

such

currencies

against

U.S.

dollars

on

the

date

of

valuation.

The

Fund

may

enter

into

foreign

currency

exchange

contracts

to

facilitate

transactions

denominated

in

a

foreign

currency.

Purchases

and

sales

of

securities,

income

and

expense

items

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

at

the

exchange

rate

in

effect

on

the

transaction

date.

Portfolio

securities

and

assets

and

liabilities

denominated

in

foreign

currencies

contain

risks

that

those

currencies

will

decline

in

value

relative

to

the

U.S.

dollar.

Occasionally,

events

may

impact

the

availability

or

reliability

of

foreign

exchange

rates

used

to

convert

the

U.S.

dollar

equivalent

value.

If

such

an

event

occurs,

the

foreign

exchange

rate

will

be

valued

at

fair

value

using

procedures

established

and

approved

by

the

Board.

The

Fund

does

not

separately

report

the

effect

of

changes

in

foreign

exchange

rates

from

changes

in

market

prices

on

securities

held.

Such

changes

are

included

in

net

realized

and

unrealized

gain

or

loss

from

investments

in

the

Statement of

Operations.

Realized

foreign

exchange

gains

or

losses

arise

from

sales

of

foreign

currencies,

currency

gains

or

losses

realized

between

the

trade

and

settlement

dates

on

securities

transactions

and

the

difference

between

the

recorded

amounts

of

dividends,

interest,

and

foreign

withholding

taxes

and

the

U.S.

dollar

equivalent

of

the

amounts

actually

received

or

paid.

Net

unrealized

foreign

exchange

gains

and

losses

arise

from

changes

in

foreign

exchange

rates

on

foreign

denominated

assets

and

liabilities

other

than

investments

in

securities

held

at

the

end

of

the

reporting

period.

c. #### Securities

#### Lending
The

Fund

participates

in

an

agency

based

securities

lending

program

to

earn

additional

income.

The

Fund

receives

collateral

in

the

form

of

cash

and/or

U.S.

Government

and

Agency

securities

against

the

loaned

securities

in

an

amount

equal

to

at

least

102%

of

the

fair

value

of

the

loaned

securities.

Collateral

is

maintained

over

the

life

of

the

loan

in

an

amount

not

less

than

100%

of

the

fair

value

of

loaned

securities,

as

determined

at

the

close

of

Fund

business

each

day;

any

additional

collateral

required

due

to

changes

in

security

values

is

delivered

to

the

Fund

on

the

next

business

day.

Any

cash

collateral

received

is

deposited

into

a

joint

cash

account

with

other

funds

and

is

used

to

invest

in

a

money

market

fund

managed

by

Franklin

Advisers,

Inc.,

an

affiliate

of

the

Fund.

Additionally,

at

December

31,

2025,

the

Fund

held

$8,670,545

in

U.S.

Government

and

Agency

securities

as

collateral.

These

securities

are

held

as

collateral

in

segregated

accounts

with

the

Fund's

custodian.

The

Fund

cannot

repledge

or

resell

these

securities

held

as

collateral.

As

such,

the

non-cash

collateral

is

excluded

from

the

Statement

of

Assets

and

Liabilities. The

Fund

may

receive

income

from

the

investment

of

cash

collateral,

in

addition

to

lending

fees paid

by

the

borrower.

Income

from

securities

loaned,

net

of

fees

paid

to

the

securities

lending

agent

and/or

third-party

vendor,

is

reported

separately

in

the Statement of

Operations.

The

Fund

bears

the

market

risk

with

respect

to

any

cash

collateral

investment,

securities

loaned,

and

the

risk

that

the

agent

may

default

on

its

obligations

to

the

Fund.

If

the

borrower

defaults

on

its

obligation

to

return

the

securities

loaned,

the

Fund

has

the

right

to

repurchase

the

securities

in

the

open

market

using

the

collateral

received.

The

securities

lending

agent

has

agreed

to

indemnify

the

Fund

in

the

event

of

default

by

a

third

party

borrower.

Securities

on

loan

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

d. #### Income

#### and

#### Deferred

#### Taxes
It

is the Fund's

policy

to

qualify

as

a

regulated

investment

company

under

the

Internal

Revenue

Code. The Fund

intends

to

distribute

to

shareholders

substantially

all

of

its

taxable

income

and

net

realized

gains

to

relieve

it

from

federal

income

and if

applicable,

excise

taxes.

As

a

result,

no

provision

for

U.S.

federal

income

taxes

is

required.

The

Fund

may

be

subject

to

foreign

taxation

related

to

income

received,

capital

gains

on

the

sale

of

securities

and

certain

foreign

currency

transactions

in

the

foreign

jurisdictions

in

which

it

invests.

Foreign

taxes,

if

any,

are

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

a. #### Financial

#### Instrument

#### Valuation
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Foreign

#### VIP

#### Fund
(continued)

recorded

based

on

the

tax

regulations

and

rates

that

exist

in

the

foreign

markets

in

which

the

Fund

invests.

When

a

capital

gain

tax

is

determined

to

apply,

the

Fund

records

an

estimated

deferred

tax

liability

in

an

amount

that

would

be

payable

if

the

securities

were

disposed

of

on

the

valuation

date.

As

a

result

of

several

court

cases,

in

certain

countries

across

the

European

Union,

the

Fund

filed

additional

tax

reclaims

for

previously

withheld

taxes

on

dividends

earned

in

those

countries

(EU

reclaims). Income

recognized,

if

any,

for

EU

reclaims

is

reflected

as

other

income

in

the

Statement

of

Operations

and

any

related

receivable,

if

any,

is

reflected

as

European

Union

tax

reclaims

in

the

Statement

of

Assets

and

Liabilities.

Any

fees

associated

with

these

filings

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

When

uncertainty

exists

as

to

the

ultimate

resolution

of

these

proceedings,

the

likelihood

of

receipt

of

these

EU

reclaims,

and

the

potential

timing

of

payment,

no

amounts

are

reflected

in

the

financial

statements.

For

U.S.

income

tax

purposes,

when

EU

reclaims

are

received

by

the

Fund

and

the

Fund

previously

passed

foreign

tax

credit

on

to

its

shareholders,

the

Fund

will

enter

into

a

closing

agreement

with

the

Internal

Revenue

Service

(IRS)

in

order

to

pay

the

associated

tax

liability

on

behalf

of

the

Fund's

shareholders.

The Fund

may

recognize

an

income

tax

liability

related

to

its

uncertain

tax

positions

under

U.S.

GAAP

when

the

uncertain

tax

position

has

a

less

than

50%

probability

that

it

will

be

sustained

upon

examination

by

the

tax

authorities

based

on

its

technical

merits.

As

of

December

31,

2025, the Fund

has

determined

that

no

tax

liability

is

required

in

its

financial

statements

related

to

uncertain

tax

positions

for

any

open

tax

years

(or

expected

to

be

taken

in

future

tax

years).

The

Fund's

federal

and

state

income

and

federal

excise

tax

returns

for

the

prior

three

fiscal

years

are

subject

to

examination

by

the

Internal

Revenue

Service

and

state

departments

of

revenue.

e. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
Security

transactions

are

accounted

for

on

trade

date.

Realized

gains

and

losses

on

security

transactions

are

determined

on

a

specific

identification

basis. Estimated

expenses

are

accrued

daily.

Dividend

income

is

recorded

on

the

ex-dividend

date

except

for

certain

dividends

from

securities

where

the

dividend

rate

is

not

available.

In

such cases,

the

dividend

is

recorded

as

soon

as

the

information

is

received

by

the

Fund. Distributions

to

shareholders

are recorded

on

the

ex-dividend

date.

Distributable

earnings

are

determined

according

to

income

tax

regulations

(tax

basis)

and

may

differ

from

earnings

recorded

in

accordance

with

U.S.

GAAP.

These

differences

may

be

permanent

or

temporary.

Permanent

differences

are

reclassified

among

capital

accounts

to

reflect

their

tax

character.

These

reclassifications

have

no

impact

on

net

assets

or

the

results

of

operations.

Temporary

differences

are

not

reclassified,

as

they

may

reverse

in

subsequent

periods.

Common

expenses

incurred

by

the

Trust

are

allocated

among

the

Funds

based

on

the

ratio

of

net

assets

of

each

Fund

to

the

combined

net

assets

of

the

Trust

or

based

on

the

ratio

of

number

of

shareholders

of

each

Fund

to

the

combined

number

of

shareholders

of

the

Trust.

Fund

specific

expenses

are

charged

directly

to

the

Fund

that

incurred

the

expense.

Realized

and

unrealized

gains

and

losses

and

net

investment

income,

excluding

class

specific

expenses,

are

allocated

daily

to

each

class

of

shares

based

upon

the

relative

proportion

of

net

assets

of

each

class.

Differences

in

per

share

distributions

by

class

are

generally

due

to

differences

in

class

specific

expenses.

f. #### Accounting

#### Estimates
The

preparation

of

financial

statements

in

accordance

with

U.S.

GAAP

requires

management

to

make

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

amounts

of

income

and

expenses

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

d. #### Income

#### and

#### Deferred

#### Taxes
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Foreign

#### VIP

#### Fund
(continued)

g. #### Guarantees

#### and

#### Indemnifications
Under

the Trust's

organizational

documents,

its

officers

and trustees

are

indemnified

by

the Trust against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Trust.

Additionally,

in

the

normal

course

of

business,

the Trust,

on

behalf

of

the

Fund, enters

into

contracts

with

service

providers

that

contain

general

indemnification

clauses.

The Trust's

maximum

exposure

under

these

arrangements

is

unknown

as

this

would

involve

future

claims

that

may

be

made

against

the Trust

that

have

not

yet

occurred.

Currently,

the Trust

expects

the

risk

of

loss

to

be

remote.

2. #### Shares

#### of

#### Beneficial

#### Interest
At

December

31,

2025,

there

were

an

unlimited

number

of

shares

authorized

(without

par

value).

Transactions

in

the

Fund's

shares

were

as

follows:

3. #### Transactions

#### with

#### Affiliates
Franklin

Resources,

Inc.

is

the

holding

company

for

various

subsidiaries

that

together

are

referred

to

as

Franklin

Templeton.

Certain

officers

and trustees

of

the Fund are

also

officers

and/or directors

of

the

following

subsidiaries:

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### 1

#### Shares:
Shares

sold

...................................

256,356

$3,969,081

176,189

$2,589,900

Shares

issued

in

reinvestment

of

distributions

..........

674,988

10,104,566

189,849

2,781,283

Shares

redeemed

...............................

(684,994)

(10,620,509)

(568,158)

(8,430,888)

Net

increase

(decrease)

..........................

246,350

$3,453,138

(202,120)

$(3,059,705)

#### Class

#### 2

#### Shares:
Shares

sold

...................................

2,745,025

$40,653,699

2,823,604

$40,396,059

Shares

issued

in

reinvestment

of

distributions

..........

4,046,048

59,153,220

1,157,940

16,604,851

Shares

redeemed

...............................

(8,994,562)

(135,577,061)

(8,698,868)

(126,101,075)

Net

increase

(decrease)

..........................

(2,203,489)

$(35,770,142)

(4,717,324)

$(69,100,165)

#### Class

#### 4

#### Shares:
Shares

sold

...................................

260,920

$3,899,300

607,831

$8,825,001

Shares

issued

in

reinvestment

of

distributions

..........

422,740

6,332,646

115,195

1,689,907

Shares

redeemed

...............................

(1,168,908)

(18,072,576)

(1,007,285)

(14,923,421)

Net

increase

(decrease)

..........................

(485,248)

$(7,840,630)

(284,259)

$(4,408,513)

#### Subsidiary

#### Affiliation
Templeton

Investment

Counsel,

LLC

(TIC)

Investment

manager

Franklin

Templeton

Services,

LLC

(FT

Services)

Administrative

manager

Franklin

Distributors,

LLC

(Distributors)

Principal

underwriter

Franklin

Templeton

Investor

Services,

LLC

(Investor

Services)

Transfer

agent

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Foreign

#### VIP

#### Fund
(continued)

a. #### Management

#### Fees
The

Fund

pays

an

investment

management fee,

calculated

daily and

paid

monthly,

to TIC based

on the

average

daily

net

assets

of

the

Fund

as

follows:

For

the

year

ended

December

31,

2025,

the

gross

effective

investment

management

fee

rate

was 0.795%

of

the

Fund's

average daily

net

assets.

b. #### Administrative

#### Fees
Under

an

agreement

with

TIC,

FT

Services

provides

administrative

services

to

the

Fund.

The

fee

is

paid

by TIC

based

on

the

Fund's

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Fund.

c. #### Distribution

#### Fees
The

Board

has

adopted

distribution

plans

for

Class

2 and

Class

shares

pursuant

to

Rule

12b-1

under

the

1940

Act.

Under

the

Fund's

compensation

distribution

plans,

the

Fund

pays

Distributors

for

costs

incurred

in

connection

with

the

servicing,

sale

and

distribution

of

the

Fund's

shares

up

to

0.25%

and

0.35%

per

year

of

its

average

daily

net

assets

of

Class

and

Class

4,

respectively.

The

plan

year,

for

purposes

of

monitoring

compliance

with

the

maximum

annual

plan

rates,

is

February

through

January

31. d. #### Transfer

#### Agent

#### Fees
Investor

Services,

under

terms

of

an

agreement,

performs

shareholder

servicing

for

the

Fund and

is

not

paid

by

the Fund

for

the

services.

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
The

Fund

invests

in

one

or

more

affiliated

management

investment

companies.

As

defined

in

the

1940

Act,

an

investment

is

deemed

to

be

a

"Controlled

Affiliate"

of

a

fund

when

a

fund

owns,

either

directly

or

indirectly,

25%

or

more

of

the

affiliated

fund's

outstanding

shares

or

has

the

power

to

exercise

control

over

management

or

policies

of

such

fund.

The

Fund

does

not

invest

for

purposes

of

exercising

a

controlling

influence

over

the

management

or

policies.

Management

fees

paid

by

the

Fund

are

waived

on

assets

invested

in

the

affiliated

management

investment

companies,

as

noted

in

the

Statement

of

Operations,

in

an

amount

not

to

exceed

the

management

and

administrative

fees,

if

applicable, paid

directly

or

indirectly

by

each

affiliate.

During

the

year

ended

December

31,

2025,

the

Fund

held

investments

in

affiliated

management

investment

companies

as

follows:

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
0.800%

Up

to

and

including

$700

million

0.775%

Over

$700

million,

up

to

and

including

$1.2

billion

0.675%

In

excess

of

$1.2

billion

3. #### Transactions

#### with

#### Affiliates
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Foreign

#### VIP

#### Fund
(continued)

4. #### Income

#### Taxes
The

tax

character

of

distributions

paid

during

the

years

ended

December

31,

2025

and

2024,

was

as

follows:

At

December

31,

2025,

the

cost

of

investments,

net

unrealized

appreciation

(depreciation),

undistributed

ordinary

income

and

undistributed

long

term

capital

gains for

income

tax

purposes

were

as

follows:

Differences

between

income

and/or

capital

gains

as

determined

on

a

book

basis

and

a

tax

basis

are

primarily

due

to

differing

treatments

of

wash

sales

and

passive

foreign

investment

company

shares.

#### &nbsp;&nbsp;&nbsp;&nbsp;aa

#### Value

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### Sales

#### Realized

#### Gain
(Loss)

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### Value

#### at

#### End

#### of

#### Year

#### Number

#### of

#### Shares

#### Held

#### at

#### End

#### of

#### Year

#### Investment

#### Income

#### a&nbsp;&nbsp;&nbsp;&nbsp;

#### a

#### Templeton

#### Foreign

#### VIP

#### Fund

#### Non-Controlled

#### Affiliates
Dividends

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$45,660,015

$300,125,178

$(326,504,274)

$—

$—

$19,280,919

19,280,919

$1,470,305

#### Non-Controlled

#### Affiliates
Income

from

securities

loaned

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$—

$165,997,146

$(116,052,390)

$—

$—

$49,944,756

49,944,756

$254,759

#### Total

#### Affiliated

#### Securities

#### ...
$45,660,015

$466,122,324

$(442,556,664)

$—

$—

$69,225,675

$1,725,064

#### 2025

#### 2024
Distributions

paid

from:

Ordinary

income

..........................................................

$23,262,981

$21,076,041

Long

term

capital

gain

......................................................

52,327,451

—

$75,590,432

$21,076,041

Cost

of

investments

..........................................................................

$730,942,646

Unrealized

appreciation

........................................................................

$232,349,691

Unrealized

depreciation

........................................................................

(25,502,399)

Net

unrealized

appreciation

(depreciation)

..........................................................

$206,847,292

Distributable

earnings:

Undistributed

ordinary

income

...................................................................

$21,087,373

Undistributed

long

term

capital

gains

..............................................................

68,531,674

Total

distributable

earnings

.....................................................................

$89,619,047

3. #### Transactions

#### with

#### Affiliates
(continued)

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Foreign

#### VIP

#### Fund
(continued)

5. #### Investment

#### Transactions
Purchases

and

sales

of

investments (excluding

short

term

securities) for

the

year

ended

December

31,

2025,

aggregated

$537,152,890 and

$614,943,329,

respectively.

At

December

31,

2025,

in

connection

with

securities

lending

transactions,

the

Fund

loaned

equity

investments

and

received

$49,944,756

of

cash

collateral.

The

gross

amount

of

recognized

liability

for

such

transactions

is

included

in

payable

upon

return

of

securities

loaned

in

the

Statement

of

Assets

and

Liabilities.

The

agreements

can

be

terminated

at

any

time.

6. #### Concentration

#### of

#### Risk
Investing

in

foreign

securities

may

include

certain

risks

and

considerations

not

typically

associated

with

investing

in

U.S.

securities,

such

as

fluctuating

currency

values

and

changing

local,

regional

and

global

economic,

political

and

social

conditions,

which

may

result

in

greater

market

volatility.

Political

and

financial

uncertainty

in

many

foreign

regions

may

increase

market

volatility

and

the

economic

risk

of

investing

in

foreign

securities.

In

addition,

certain

foreign

securities

may

not

be

as

liquid

as

U.S.

securities.

Certain

investments

in

Chinese

companies

are

made

through

a

special

structure

known

as

a

VIE.

In

a

VIE

structure,

foreign

investors,

such

as

the

Fund,

will

only

own

stock

in

a

shell

company

rather

than

directly

in

the

VIE,

which

must

be

owned

by

Chinese

nationals

(and/or

Chinese

companies)

to

obtain

the

licenses

and/or

assets

required

to

operate

in

a

restricted

or

prohibited

sector

in

China.

The

value

of

the

shell

company

is

derived

from

its

ability

to

consolidate

the

VIE

into

its

financials

pursuant

to

contractual

arrangements

that

allow

the

shell

company

to

exert

a

degree

of

control

over,

and

obtain

economic

benefits

arising

from,

the

VIE

without

formal

legal

ownership.

While

VIEs

are

a

longstanding

industry

practice

and

are

well

known

by

Chinese

officials

and

regulators,

the

structure

historically

has

not

been

formally

recognized

under

Chinese

law

and

it

is

uncertain

whether

Chinese

officials

or

regulators

will

withdraw

their

implicit

acceptance

of

the

structure.

It

is

also

uncertain

whether

the

contractual

arrangements,

which

may

be

subject

to

conflicts

of

interest

between

the

legal

owners

of

the

VIE

and

foreign

investors,

would

be

enforced

by

Chinese

courts

or

arbitration

bodies.

Prohibitions

of

these

structures

by

the

Chinese

government,

or

the

inability

to

enforce

such

contracts,

from

which

the

shell

company

derives

its

value,

would

likely

cause

the

VIE-structured

holding(s)

to

suffer

significant,

detrimental,

and

possibly

permanent

losses,

and

in

turn,

adversely

affect

the

Fund's

returns

and

net

asset

value.

7. #### Credit

#### Facility
The

Fund,

together

with

other

U.S.

registered

and

foreign

investment

funds

(collectively,

Borrowers),

managed

by

Franklin

Templeton,

are

borrowers

in

a

joint

syndicated

senior

unsecured

credit

facility

totaling

$2.995

billion

(Global

Credit

Facility)

which

matured

on

January

30,

2026. This

Global

Credit

Facility

provides

a

source

of

funds

to

the

Borrowers

for

temporary

and

emergency

purposes,

including

the

ability

to

meet

future

unanticipated

or

unusually

large

redemption

requests.

Effective

January

30,

2026,

the

Borrowers

renewed

the

Global

Credit

Facility

for

a

one-year

term,

maturing

January

29,

2027,

for

a

total

of

$2.995

billion.

Under

the

terms

of

the

Global

Credit

Facility,

the

Fund

may,

in

addition

to

interest

charged

on

any

borrowings

made

by

the

Fund

and

other

costs

incurred

by

the

Fund,

pay

its

share

of

fees

and

expenses

incurred

in

connection

with

the

implementation

and

maintenance

of

the

Global

Credit

Facility,

based

upon

its

relative

share

of

the

aggregate

net

assets

of

all

of

the

Borrowers,

including

an

annual

commitment

fee

of

0.15%

based

upon

the

unused

portion

of

the

Global

Credit

Facility.

These

fees

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

During

the

year

ended

December

31,

2025,

the Fund

did

not

use

the

Global

Credit

Facility.

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Foreign

#### VIP

#### Fund
(continued)

8. #### Fair

#### Value

#### Measurements
The

Fund

follows

a

fair

value

hierarchy

that

distinguishes

between

market

data

obtained

from

independent

sources

(observable

inputs)

and

the Fund's

own

market

assumptions

(unobservable

inputs).

These

inputs

are

used

in

determining

the

value

of

the

Fund's financial

instruments

and

are

summarized

in

the

following

fair

value

hierarchy:

Level

–

quoted

prices

in

active

markets

for

identical

financial

instruments

Level

–

other

significant

observable

inputs

(including

quoted

prices

for

similar

financial

instruments,

interest

rates,

prepayment

speed,

credit

risk,

etc.)

Level

–

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

financial

instruments)

The

input

levels

are

not

necessarily

an

indication

of

the

risk

or

liquidity

associated

with

financial

instruments

at

that

level.

A

summary

of

inputs

used

as

of

December

31,

2025,

in

valuing

the

Fund's assets carried

at

fair

value,

is

as

follows:

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Templeton

#### Foreign

#### VIP

#### Fund

#### Assets:
Investments

in

Securities:

a

Common

Stocks

:

Aerospace

&

Defense

...................

$

—

$

9,030,820

$

—

$

9,030,820

Automobiles

..........................

19,029,934

10,079,682

—

29,109,616

Banks

...............................

20,099,392

103,961,471

—

124,060,863

Beverages

...........................

—

20,366,834

—

20,366,834

Broadline

Retail

.......................

—

22,268,175

—

22,268,175

Capital

Markets

........................

22,703,385

20,332,302

—

43,035,687

Chemicals

...........................

—

17,432,354

—

17,432,354

Commercial

Services

&

Supplies

...........

—

13,014,556

—

13,014,556

Construction

&

Engineering

...............

—

16,594,979

—

16,594,979

Construction

Materials

..................

—

16,098,698

—

16,098,698

Consumer

Staples

Distribution

&

Retail

......

—

19,294,805

—

19,294,805

Containers

&

Packaging

.................

—

23,623,813

—

23,623,813

Diversified

Telecommunication

Services

.....

—

13,982,859

—

13,982,859

Electric

Utilities

........................

—

27,733,282

—

27,733,282

Electrical

Equipment

....................

—

29,617,370

—

29,617,370

Entertainment

.........................

—

15,571,905

—

15,571,905

Food

Products

........................

1,215,724

—

—

1,215,724

Health

Care

Providers

&

Services

..........

—

9,779,331

—

9,779,331

Household

Durables

....................

—

13,058,221

—

13,058,221

Insurance

............................

15,167,512

17,261,518

—

32,429,030

Life

Sciences

Tools

&

Services

............

11,042,532

—

—

11,042,532

Machinery

............................

11,173,644

24,909,855

—

36,083,499

Metals

&

Mining

.......................

—

16,076,447

—

16,076,447

Multi-Utilities

..........................

—

16,662,817

—

16,662,817

Oil,

Gas

&

Consumable

Fuels

.............

—

63,584,728

—

63,584,728

Personal

Care

Products

.................

—

22,242,346

—

22,242,346

Pharmaceuticals

.......................

—

66,138,407

—

66,138,407

Professional

Services

...................

—

11,300,229

—

11,300,229

Semiconductors

&

Semiconductor

Equipment

.

—

78,957,640

—

78,957,640

Specialty

Retail

........................

—

12,968,270

—

12,968,270

Technology

Hardware,

Storage

&

Peripherals

.

—

27,216,709

—

27,216,709

Textiles,

Apparel

&

Luxury

Goods

..........

—

8,971,717

—

8,971,717

Short

Term

Investments

...................

69,225,675

—

—

69,225,675

Total

Investments

in

Securities

...........

$169,657,798

$768,132,140

b

$—

$937,789,938

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Foreign

#### VIP

#### Fund
(continued)

9. #### Operating

#### Segments
The Fund operates

as

a

single

operating

segment,

which

is

an

investment

portfolio.

The

chief

investment

officer

of

the

Fund's

Investment

manager serves

as

the

Chief

Operating

Decision

Maker

("CODM")

and

is

responsible

for

evaluating

the

Fund's

operating

results

and

allocating

resources

in

accordance

with

the

Fund's

investment

strategy.

Internal

reporting

provided

to

the

CODM

aligns

with

the

accounting

policies

and

measurement

principles

used

in

the financial

statements.

For

information

regarding

segment

assets,

segment

profit

or

loss,

and

significant

expenses,

refer

to

the Statement

of

Assets

and

Liabilities

and

the Statement

of

Operations,

along

with

the

related

notes

to

the financial

statements.

The Schedule

of

Investments

provides

details

of

the Fund's investments

that

generate

returns

such

as

interest,

dividends,

and

realized

and

unrealized

gains

or

losses.

Performance

metrics,

including

portfolio

turnover

and

expense

ratios,

are

disclosed

in

the Financial

Highlights.

10. #### Subsequent

#### Events
The Fund

has

evaluated

subsequent

events

through

the

issuance

of

the

financial

statements

and

determined

that

no

events

have

occurred

that

require

disclosure

other

than

those

already

disclosed

in

the

financial

statements.

#### Abbreviations
a

For

detailed

categories,

see

the

accompanying

Schedule

of

Investments.

b

Includes

foreign

securities

valued

at

$768,132,140,

which

were

categorized

as

Level

as

a

result

of

the

application

of

market

level

fair

value

procedures.

See

the

Financial

Instrument

Valuation

note

for

more

information.

#### Selected

#### Portfolio

#### ADR
American

Depositary

Receipt

8. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Report

of

Independent

Registered

Public

Accounting

Firm

franklintempleton.com

Annual

Report

To

the

Board

of

Trustees

of

Franklin

Templeton

Variable

Insurance

Products

Trust

and

Shareholders

of

Templeton

Foreign

VIP

Fund

#### Opinion

#### on

#### the

#### Financial

#### Statements
We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

investments,

of

Templeton

Foreign

VIP

Fund

(one

of

the

funds

constituting

Franklin

Templeton

Variable

Insurance

Products

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2025,

the

related

statement

of

operations

for

the

year

ended

December

31,

2025,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

(collectively

referred

to

as

the

"financial

statements").

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2025,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

#### Basis

#### for

#### Opinion
These

financial

statements

are

the

responsibility

of

the

Fund's

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund's

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2025

by

correspondence

with

the

custodian,

transfer

agent

and

broker.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/PricewaterhouseCoopers

LLP

San

Francisco,

California

February

19,

2026

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Franklin

Templeton

Group

of

Funds

since

1948. Franklin

Templeton

Variable

Insurance

Products

Trust

Tax

Information

(unaudited)

franklintempleton.com

Annual

Report

#### Templeton

#### Foreign

#### VIP

#### Fund
By

mid-February,

tax

information

related

to

a

shareholder's

proportionate

share

of

distributions

paid

during

the

preceding

calendar

year

will

be

received,

if

applicable.

Please

also

refer

to

www.franklintempleton.com

for

per

share

tax

information

related

to

any

distributions

paid

during

the

preceding

calendar

year.

Shareholders

are

advised

to

consult

with

their

tax

advisors

for

further

information

on

the

treatment

of

these

amounts

on

their

tax

returns.

The

following

tax

information

for

the

Fund

is

required

to

be

furnished

to

shareholders

with

respect

to

income

earned

and

distributions

paid

during

its

fiscal

year.

The

Fund

hereby

reports

the

following

amounts,

or

if

subsequently

determined

to

be

different,

the

maximum

allowable

amounts,

for

the

fiscal

year

ended

December

31,

2025:

Under

Section

853

of

the

Internal

Revenue

Code,

the

Fund

intends

to

elect

to

pass

through

to

its

shareholders

the

following

amounts,

or

amounts

as

finally

determined,

of

foreign

taxes

paid

and

foreign

source

income

earned

by

the

Fund

during

the

fiscal

year

ended

December

31,

2025:

#### Pursuant

#### to:

#### Amount

#### Reported
Long-Term

Capital

Gain

Dividends

Distributed

§852(b)(3)(C)

$52,327,451

Income

Eligible

for

Dividends

Received

Deduction

(DRD)

§854(b)(1)(A)

$300,125

#### Amount

#### Reported
Foreign

Taxes

Paid

$1,434,256

Foreign

Source

Income

Earned

$17,542,777

Franklin

Templeton

Variable

Insurance

Products

Trust

franklintempleton.com

Annual

Report

#### Changes

#### In

#### and

#### Disagreements

#### with

#### Accountants
For

the

period

covered

by

this

report

Not

applicable.

#### Results

#### of

#### Meeting(s)

#### of

#### Shareholders
For

the

period

covered

by

this

report

Not

applicable.

#### Remuneration

#### Paid

#### to

#### Directors,

#### Officers

#### and

#### Others
For

the

period

covered

by

this

report

Refer

to

the

financial

statements

included

herein.

Remuneration

to

officers

is

paid

by

the

Fund's

investment

manager

according

to

the

terms

of

the

agreement.

#### Board

#### Approval

#### of

#### Management

#### and

#### Subadvisory

#### Agreements
For

the

period

covered

by

this

report

Not

applicable.

523-AFSOI

02/26©

2026

Franklin

Templeton.

All

rights

reserved.

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund

#### Financial

#### Statements

#### and

#### Other

#### Important

#### Information

#### Annual
\|

December

31,

2025

#### Table

#### of

#### Contents
franklintempleton.com

Financial

Statements

and

Other

Important

Information—Annual

Financial

Highlights

and

Schedule

of

Investments

#### 2
Financial

Statements

#### 10
Notes

to

Financial

Statements

#### 14
Report

of

Independent

Registered

Public

Accounting

Firm

#### 26
Tax

Information

#### 27
Changes

In

and

Disagreements

with

Accountants

#### 28
Results

of

Meeting(s)

of

Shareholders

Remuneration

Paid

to

Directors,

Officers

and

Others

Board

Approval

of

Management

and

Subadvisory

Agreements

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 1

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$12.06

$13.57

$13.15

$13.82

$14.49

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.78 0.67 0.51 0.47 0.48 Net

realized

and

unrealized

gains

(losses)

...........

1.16 (2.18)

(0.09)

(1.14)

(1.15)

Total

from

investment

operations

....................

1.94 (1.51)

0.42 (0.67)

(0.67)

Net

asset

value,

end

of

year

.......................

$14.00

$12.06

$13.57

$13.15

$13.82

Total

return

c

...................................

16.09%

(11.13)%

3.19%

(4.85)%

(4.62)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

and

expense

reduction

...............................

0.49%

0.50%

0.50%

0.50%

0.51%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.46%

0.48%

0.48%

0.48%

0.50%

Expenses

net

of

waiver

and

payments

by

affiliates

and

expense

reduction

...............................

0.46%

0.48%

0.44%

0.48%

d

0.50%

d

Net

investment

income

...........................

5.86%

5.22%

3.94%

3.56%

3.42%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$171,108

$154,393

$162,098

$153,423

$204,318

Portfolio

turnover

rate

............................

26.12%

37.96%

106.76%

14.78%

27.65%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 2

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$11.38

$12.84

$12.47

$13.13

$13.82

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.70 0.60 0.45 0.41 0.43 Net

realized

and

unrealized

gains

(losses)

...........

1.09 (2.06)

(0.08)

(1.07)

(1.12)

Total

from

investment

operations

....................

1.79 (1.46)

0.37 (0.66)

(0.69)

Net

asset

value,

end

of

year

.......................

$13.17

$11.38

$12.84

$12.47

$13.13

Total

return

c

...................................

15.73%

(11.37)%

2.88%

(4.95)%

(4.99)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

and

expense

reduction

...............................

0.74%

0.75%

0.75%

0.75%

0.76%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.71%

0.73%

0.73%

0.73%

0.75%

Expenses

net

of

waiver

and

payments

by

affiliates

and

expense

reduction

...............................

0.71%

0.73%

0.69%

0.73%

d

0.75%

d

Net

investment

income

...........................

5.61%

4.96%

3.66%

3.31%

3.17%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$1,202,628

$1,167,095

$1,404,468

$1,527,997

$1,859,619

Portfolio

turnover

rate

............................

26.12%

37.96%

106.76%

14.78%

27.65%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 4

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$11.63

$13.13

$12.77

$13.46

$14.17

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.71 0.61 0.45 0.41 0.42 Net

realized

and

unrealized

gains

(losses)

...........

1.10 (2.11)

(0.09)

(1.10)

(1.13)

Total

from

investment

operations

....................

1.81 (1.50)

0.36 (0.69)

(0.71)

Net

asset

value,

end

of

year

.......................

$13.44

$11.63

$13.13

$12.77

$13.46

Total

return

c

...................................

15.56%

(11.42)%

2.82%

(5.13)%

(5.01)%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

and

expense

reduction

...............................

0.84%

0.85%

0.85%

0.85%

0.86%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.81%

0.83%

0.83%

0.83%

0.85%

Expenses

net

of

waiver

and

payments

by

affiliates

and

expense

reduction

...............................

0.81%

0.83%

0.79%

0.83%

d

0.85%

d

Net

investment

income

...........................

5.51%

4.86%

3.56%

3.21%

3.07%

#### Supplemental

#### data
Net

assets,

end

of

year

(000's)

.....................

$46,316

$43,727

$51,317

$55,577

$71,454

Portfolio

turnover

rate

............................

26.12%

37.96%

106.76%

14.78%

27.65%

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

expense

reduction

rounds

to

less

than

0.01%.

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments,

December

31,

2025

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Industry

#### Principal

#### Amount

#### \*
a

#### Value
a

a

#### a
a

#### Foreign

#### Government

#### and

#### Agency

#### Securities

#### 76.8%

#### Australia

#### 7.3%
New

South

Wales

Treasury

Corp.

,

Senior

Bond

,

%

,

3/08/33

........

7,096,000

AUD

$

3,895,672

a

Senior

Bond

,

Reg

S,

1.75 %

,

3/20/34

43,382,000

AUD

22,450,904

Queensland

Treasury

Corp.

,

Senior

Bond

,

%

,

8/22/33

........

23,430,000

AUD

12,603,875

a

Senior

Bond

,

144A,

Reg

S,

1.75 %

,

7/20/34

......................

52,103,000

AUD

26,499,627

Treasury

Corp.

of

Victoria

,

Senior

Bond

,

2.25 %

,

11/20/34

.....

37,794,000

AUD

19,827,382

Senior

Bond

,

%

,

11/20/37

........

41,521,000

AUD

19,013,389

104,290,849

#### Brazil

#### 10.0%
Brazil

Notas

do

Tesouro

Nacional

,

%

,

1/01/27

..................

120,945,000

BRL

21,409,458

%

,

1/01/31

..................

435,778,000

BRL

70,142,697

%

,

1/01/33

..................

130,494,000

BRL

20,165,249

F

,

%

,

1/01/29

................

182,536,000

BRL

30,935,704

142,653,108

#### Colombia

#### 6.5%
Colombia

Titulos

de

Tesoreria

,

B

,

7.5 %

,

8/26/26

...............

40,107,600,000

COP

10,506,031

B

,

%

,

4/28/28

.................

28,988,600,000

COP

6,719,205

B

,

7.75 %

,

9/18/30

..............

37,868,000,000

COP

8,242,958

B

,

%

,

3/26/31

.................

17,210,500,000

COP

3,563,236

B

,

%

,

6/30/32

.................

24,227,000,000

COP

4,761,870

B

,

13.25 %

,

2/09/33

.............

95,554,000,000

COP

25,500,757

B

,

7.25 %

,

10/18/34

.............

53,738,000,000

COP

10,125,927

B

,

6.25 %

,

7/09/36

..............

10,374,000,000

COP

1,710,981

B

,

9.25 %

,

5/28/42

..............

105,895,500,000

COP

20,938,089

92,069,054

#### Egypt

#### 2.7%
a

Egypt

Government

Bond

,

Senior

Bond

,

144A,

8.5 %

,

1/31/47

..

16,780,000

16,510,164

Senior

Bond

,

144A,

8.7 %

,

3/01/49

..

5,020,000

5,038,185

Senior

Bond

,

144A,

8.875 %

,

5/29/50

11,120,000

11,300,024

Senior

Bond

,

144A,

8.75 %

,

9/30/51

.

4,820,000

4,836,338

37,684,711

#### Ghana

#### 1.1%
Ghana

Government

Bond

,

8.35 %

,

2/16/27

................

19,833,635

GHS

1,783,559

8.5 %

,

2/15/28

.................

18,645,729

GHS

1,599,498

8.65 %

,

2/13/29

................

23,825,673

GHS

1,941,585

8.95 %

,

2/11/31

.................

4,123,657

GHS

310,855

9.1 %

,

2/10/32

.................

15,719,022

GHS

1,142,897

9.25 %

,

2/08/33

................

11,915,261

GHS

838,348

9.4 %

,

2/07/34

.................

5,811,928

GHS

398,000

9.55 %

,

2/06/35

................

7,175,324

GHS

479,922

9.7 %

,

2/05/36

.................

7,878,275

GHS

521,866

9.85 %

,

2/03/37

................

6,172,209

GHS

406,400

%

,

2/02/38

..................

7,702,536

GHS

505,636

a

Senior

Bond

,

144A,

%

,

7/03/35

....

2,250,000

2,064,052

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Industry

#### Principal

#### Amount

#### \*
a

#### Value
a

a

#### a
a

#### Foreign

#### Government

#### and

#### Agency

#### Securities
(continued)

#### Ghana
(continued)

Ghana

Government

Bond,

(continued)

a

Senior

Bond

,

144A,

1.5 %

,

1/03/37

..

7,130,000

$

4,007,144

15,999,762

#### Greece

#### 1.5%
a

Greece

Government

Bond

,

Senior

Bond

,

144A,

Reg

S,

4.25 %

,

6/15/33

......................

8,044,000

EUR

10,124,352

Senior

Bond

,

144A,

Reg

S,

3.375 %

,

6/15/34

......................

9,091,000

EUR

10,744,269

20,868,621

#### India

#### 7.3%
India

Government

Bond

,

Senior

Bond

,

5.77 %

,

8/03/30

......

526,000,000

INR

5,721,090

Senior

Bond

,

7.26 %

,

8/22/32

......

1,877,900,000

INR

21,641,020

Senior

Bond

,

7.18 %

,

8/14/33

......

3,641,200,000

INR

41,839,523

Senior

Bond

,

7.1 %

,

4/08/34

.......

552,840,000

INR

6,326,646

Senior

Bond

,

6.79 %

,

10/07/34

.....

1,290,600,000

INR

14,504,183

Senior

Note

,

7.1 %

,

4/18/29

.......

1,222,620,000

INR

14,034,773

104,067,235

#### Malaysia

#### 9.3%
Malaysia

Government

Bond

,

3.9 %

,

11/30/26

.................

68,750,000

MYR

17,095,654

3.892 %

,

3/15/27

................

5,820,000

MYR

1,450,801

3.502 %

,

5/31/27

................

56,390,000

MYR

13,985,373

3.899 %

,

11/16/27

...............

209,830,000

MYR

52,694,179

3.733 %

,

6/15/28

................

15,880,000

MYR

3,977,620

3.885 %

,

8/15/29

................

41,250,000

MYR

10,404,525

4.498 %

,

4/15/30

................

47,374,000

MYR

12,247,936

3.582 %

,

7/15/32

................

82,656,000

MYR

20,608,010

132,464,098

#### Mexico

#### 4.4%
Mexican

Bonos

Desarr

Fixed

Rate

,

M

,

8.5 %

,

3/01/29

...............

217,080,000

MXN

12,167,295

M

,

8.5 %

,

2/28/30

...............

238,510,000

MXN

13,287,799

M

,

7.75 %

,

5/29/31

..............

169,690,000

MXN

9,085,845

M

,

Senior

Bond

,

8.5 %

,

5/31/29

.....

488,850,000

MXN

27,389,280

61,930,219

#### Norway

#### 5.3%
a

Norway

Government

Bond

,

Senior

Bond

,

144A,

Reg

S,

1.75 %

,

2/17/27

.

775,683,000

NOK

75,115,318

#### Panama

#### 4.5%
Panama

Government

Bond

,

Senior

Bond

,

3.16 %

,

1/23/30

......

1,922,000

1,804,950

Senior

Bond

,

2.252 %

,

9/29/32

.....

7,860,000

6,512,796

Senior

Bond

,

3.298 %

,

1/19/33

.....

800,000

704,280

Senior

Bond

,

6.4 %

,

2/14/35

.......

23,270,000

24,598,717

Senior

Bond

,

6.7 %

,

1/26/36

.......

880,000

948,948

Senior

Bond

,

%

,

3/01/38

........

25,610,000

29,966,261

64,535,952

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Industry

#### Principal

#### Amount

#### \*
a

#### Value
a

a

#### a
a

#### Foreign

#### Government

#### and

#### Agency

#### Securities
(continued)

#### Serbia

#### 0.4%
Serbia

Treasury

Bonds

,

4.5 %

,

8/20/32

.

624,310,000

RSD

$

6,113,112

#### South

#### Africa

#### 7.9%
South

Africa

Government

Bond

,

8.875 %

,

2/28/35

................

332,190,000

ZAR

20,901,594

8.5 %

,

1/31/37

.................

580,718,000

ZAR

34,782,257

%

,

1/31/40

...................

612,520,000

ZAR

37,088,047

8.75 %

,

1/31/44

................

324,968,600

ZAR

18,787,900

111,559,798

#### Spain

#### 4.5%
a

Spain

Bonos

Y

Oblig

del

Estado

,

Senior

Bond

,

144A,

Reg

S,

3.55 %

,

10/31/33

.....................

23,831,000

EUR

28,959,214

Senior

Bond

,

144A,

Reg

S,

3.15 %

,

4/30/35

......................

29,290,000

EUR

34,192,300

63,151,514

#### Supranational

#### 1.3%
a

,b

European

Investment

Bank

,

Senior

Bond

,

144A,

6.5 %

,

7/11/35

..

249,500,000

INR

2,687,750

Senior

Note

,

144A,

6.25 %

,

7/11/30

..

843,400,000

INR

9,185,439

b

Inter-American

Development

Bank

,

Senior

Bond

,

%

,

8/08/33

........

178,000,000

INR

1,999,320

b

International

Bank

for

Reconstruction

&

Development

,

Senior

Note

,

6.89 %

,

2/06/30

......................

361,000,000

INR

4,057,863

17,930,372

#### Uruguay

#### 2.8%
c

Uruguay

Government

Bond

,

Index

Linked,

Senior

Bond

,

3.875 %

,

7/02/40

1,452,338,781

UYU

40,328,824

#### Total

#### Foreign

#### Government

#### and

#### Agency

#### Securities

#### (Cost

#### $

#### 1,052,024,796

####)
...........

#### 1,090,762,547

#### U.S.

#### Government

#### and

#### Agency

#### Securities

#### 9.0%

#### United

#### States

#### 9.0%
U.S.

Treasury

Notes

,

3.5 %,

2/15/33

.................

117,400,000

114,109,590

4.25 %,

11/15/34

................

13,001,100

13,140,507

127,250,097

#### Total

#### U.S.

#### Government

#### and

#### Agency

#### Securities

#### (Cost

#### $

#### 129,987,490

####)
................

#### 127,250,097

#### Total

#### Long

#### Term

#### Investments

#### (Cost

#### $

#### 1,182,012,286

####)
.............................

#### 1,218,012,644
Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Short

#### Term

#### Investments

#### 12.1%
a

a

#### Industry

#### Shares
a

#### Value
a

a

#### a
a

#### Money

#### Market

#### Funds

#### 12.1%

#### United

#### States

#### 12.1%
d,e

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

......

171,798,349

$

171,798,349

#### Total

#### Money

#### Market

#### Funds

#### (Cost

#### $

#### 171,798,349

####)
.................................

#### 171,798,349
a

#### a
a

a

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $

#### 171,798,349

####)
...............................

#### 171,798,349
a

#### a

#### Total

#### Investments

#### (Cost

#### $

#### 1,353,810,635

####)
97.9 #### %
..................................

#### $1,389,810,993

#### Other

#### Assets,

#### less

#### Liabilities
2.1 #### %
.............................................

#### 30,240,353

#### Net

#### Assets

#### 100.0%

#### ...........................................................

#### $1,420,051,346

#### a
\*

The

principal

amount

is

stated

in

U.S.

dollars

unless

otherwise

indicated.

a

Security

was

purchased

pursuant

to

Rule

144A

or

Regulation

S

under

the

Securities

Act

of

1933. 144A

securities

may

be

sold

in

transactions

exempt

from

registration

only

to

qualified

institutional

buyers

or

in

a

public

offering

registered

under

the

Securities

Act

of

1933. Regulation

S

securities

cannot

be

sold

in

the

United

States

without

either

an

effective

registration

statement

filed

pursuant

to

the

Securities

Act

of

1933,

or

pursuant

to

an

exemption

from

registration.

At

December

31,

2025,

the

aggregate

value

of

these

securities

was

$263,715,080,

representing

18.6%

of

net

assets.

b

A

supranational

organization

is

an

entity

formed

by

two

or

more

central

governments

through

international

treaties.

c

Principal

amount

of

security,

redemption

price

at

maturity,

and/or

coupon

payments

are

adjusted

for

inflation.

See

Note

1(e)

.

d

See

Note

(e)

regarding

investments

in

affiliated

management

investment

companies.

e

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

At

December

31,

2025

,

the

Fund

had

the

following

forward

exchange

contracts

outstanding.

See

Note

1(c)

.

See

Note

regarding

other

derivative

information.

See

Abbreviations

on

.

#### Forward

#### Exchange

#### Contracts

#### Currency

#### Counter-

#### party

#### a

#### Type

#### Quantity

#### Contract

#### Amount

#### \*

#### Settlement

#### Date

#### Unrealized

#### Appreciation

#### Unrealized

#### Depreciation

#### a

#### OTC

#### Forward

#### Exchange

#### Contracts
Euro

.............

BNDP

Sell

3,325,000

3,885,562

1/14/26

$

—

$

(23,662)

Euro

.............

BOFA

Sell

17,697,861

20,678,092

1/14/26

—

(129,394)

Chinese

Yuan

......

HSBK

Sell

232,298,171

32,994,556

1/16/26

—

(329,554)

Euro

.............

BZWS

Sell

20,698,139

24,094,393

1/16/26

—

(242,945)

Euro

.............

JPHQ

Sell

20,699,000

24,114,211

1/16/26

—

(224,140)

Serbian

Dinar

......

DBAB

Buy

337,808,788

3,355,939

1/20/26

27,483

—

Chinese

Yuan

......

MSCO

Sell

517,170,000

73,227,403

1/26/26

—

(1,009,965)

Serbian

Dinar

......

DBAB

Buy

1,188,227,000

11,704,733

2/05/26

192,021

—

Japanese

Yen

......

MSCO

Buy

12,574,788,000

82,727,236

2/10/26

—

(2,188,171)

Japanese

Yen

......

JPHQ

Buy

2,202,609,690

15,191,355

2/13/26

—

(1,080,670)

Japanese

Yen

......

MSCO

Buy

2,196,400,000

15,146,750

2/13/26

—

(1,075,848)

Chinese

Yuan

......

CITI

Sell

138,358,144

19,491,455

2/24/26

—

(402,512)

Chinese

Yuan

......

DBAB

Sell

388,967,377

55,164,576

2/24/26

—

(763,493)

Australian

Dollar

....

HSBK

Buy

71,050,000

45,802,809

2/25/26

1,619,457

—

Australian

Dollar

....

HSBK

Sell

15,470,000

10,308,086

2/25/26

—

(17,353)

Mexican

Peso

......

BNDP

Buy

393,038,660

20,762,739

2/27/26

951,902

—

Mexican

Peso

......

HSBK

Buy

823,179,264

43,488,191

2/27/26

1,990,905

—

Mexican

Peso

......

HSBK

Sell

57,310,000

3,152,521

2/27/26

—

(13,748)

Serbian

Dinar

......

DBAB

Buy

578,763,000

5,738,565

3/10/26

55,351

—

Chinese

Yuan

......

CITI

Sell

137,671,876

19,509,108

3/17/26

—

(310,380)

Japanese

Yen

......

MSCO

Buy

13,842,695,000

90,943,519

3/17/26

—

(2,026,754)

Serbian

Dinar

......

DBAB

Buy

1,486,651,427

14,894,814

3/17/26

—

(13,246)

South

Korean

Won

..

JPHQ

Buy

5,342,000,000

3,656,525

3/18/26

52,452

—

South

Korean

Won

..

DBAB

Buy

42,726,848,000

28,975,802

3/19/26

690,944

—

Chinese

Yuan

......

HSBK

Sell

478,930,000

67,939,115

3/30/26

—

(1,063,153)

Serbian

Dinar

......

DBAB

Buy

793,386,000

7,919,288

4/01/26

21,353

—

Japanese

Yen

......

BNDP

Buy

8,616,174,660

57,702,750

4/16/26

—

(2,216,188)

Japanese

Yen

......

DBAB

Buy

2,720,492,240

18,236,665

4/16/26

—

(717,201)

Japanese

Yen

......

MSCO

Buy

13,842,695,000

91,742,131

5/07/26

—

(2,446,962)

South

Korean

Won

..

MSCO

Buy

102,473,100,000

71,307,957

5/12/26

—

(2,973)

Chinese

Yuan

......

JPHQ

Sell

109,990,533

15,632,093

5/21/26

—

(259,288)

Mexican

Peso

......

BNDP

Buy

142,834,437

7,671,270

6/10/26

134,829

—

Mexican

Peso

......

HSBK

Buy

145,436,000

7,812,084

6/10/26

136,193

—

Total

Forward

Exchange

Contracts

...................................................

$5,872,890

$(16,557,600)

Net

unrealized

appreciation

(depreciation)

............................................

$(10,684,710)

\*

In

U.S.

dollars

unless

otherwise

indicated.

a

May

be

comprised

of

multiple

contracts

with

the

same

counterparty,

currency

and

settlement

date.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Assets

and

Liabilities

December

31,

2025

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
Assets:

Investments

in

securities:

Cost

-

Unaffiliated

issuers

...................................................................

$1,182,012,286

Cost

-

Non-controlled

affiliates

(Note

e)

........................................................

171,798,349

Value

-

Unaffiliated

issuers

..................................................................

$1,218,012,644

Value

-

Non-controlled

affiliates

(Note

e)

.......................................................

171,798,349

Cash

....................................................................................

2,810,000

Foreign

currency,

at

value

(cost

$

160,000)

........................................................

162,739

Receivables:

Capital

shares

sold

........................................................................

280,329

Interest

.................................................................................

30,691,420

Deposits

with

brokers

for:

OTC

derivative

contracts

..................................................................

11,388,782

Unrealized

appreciation

on

OTC

forward

exchange

contracts

..........................................

5,872,890

Total

assets

..........................................................................

1,441,017,153

Liabilities:

Payables:

Capital

shares

redeemed

...................................................................

499,084

Management

fees

.........................................................................

543,272

Distribution

fees

..........................................................................

269,404

Trustees'

fees

and

expenses

.................................................................

Deposits

from

brokers

for:

OTC

derivative

contracts

..................................................................

2,810,000

Unrealized

depreciation

on

OTC

forward

exchange

contracts

..........................................

16,557,600

Accrued

expenses

and

other

liabilities

...........................................................

286,175

Total

liabilities

.........................................................................

20,965,807

Net

assets,

at

value

.................................................................

$1,420,051,346

Net

assets

consist

of:

Paid-in

capital

.............................................................................

$1,662,586,186

Total

distributable

earnings

(losses)

.............................................................

(242,534,840)

Net

assets,

at

value

.................................................................

$1,420,051,346

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Assets

and

Liabilities

(continued)

December

31,

2025

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund

#### Class

#### 1:
Net

assets,

at

value

.......................................................................

$171,107,753

Shares

outstanding

........................................................................

12,224,871

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$14.00

#### Class

#### 2:
Net

assets,

at

value

.......................................................................

$1,202,627,955

Shares

outstanding

........................................................................

91,285,118

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$13.17

#### Class

#### 4:
Net

assets,

at

value

.......................................................................

$46,315,638

Shares

outstanding

........................................................................

3,445,671

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$13.44

a

Net

asset

value

per

share

may

not

recalculate

due

to

rounding.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Operations

for

the

year

ended

December

31,

2025

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
Investment

income:

Dividends:

Non-controlled

affiliates

(Note

e)

.............................................................

$7,344,191

Interest:

(net

of

foreign

taxes

of

$2,644,323)

Unaffiliated

issuers

........................................................................

82,143,929

Total

investment

income

...................................................................

89,488,120

Expenses:

Management

fees

(Note

a)

...................................................................

6,618,411

Distribution

fees:

(Note

3c)

Class

................................................................................

3,022,712

Class

................................................................................

161,068

Custodian

fees

............................................................................

122,728

Reports

to

shareholders

fees

..................................................................

29,132

Professional

fees

...........................................................................

116,003

Trustees'

fees

and

expenses

..................................................................

15,252

Other

....................................................................................

62,724

Total

expenses

.........................................................................

10,148,030

Expenses

waived/paid

by

affiliates

(Note

e)

...................................................

(446,783)

Net

expenses

.........................................................................

9,701,247

Net

investment

income

................................................................

79,786,873

Realized

and

unrealized

gains

(losses):

Net

realized

gain

(loss)

from:

Investments:

Unaffiliated

issuers

......................................................................

(38,137,899)

Written

options

...........................................................................

6,595,280

Foreign

currency

transactions

................................................................

(145,332)

Forward

exchange

contracts

.................................................................

(25,346,726)

Swap

contracts

...........................................................................

(3,557,794)

Net

realized

gain

(loss)

..................................................................

(60,592,471)

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments:

Unaffiliated

issuers

......................................................................

175,432,981

Translation

of

other

assets

and

liabilities

denominated

in

foreign

currencies

..............................

1,782,522

Written

options

...........................................................................

(146,943)

Forward

exchange

contracts

.................................................................

3,533,649

Swap

contracts

...........................................................................

6,263,575

Change

in

deferred

taxes

on

unrealized

appreciation

...............................................

53,530

Net

change

in

unrealized

appreciation

(depreciation)

............................................

186,919,314

Net

realized

and

unrealized

gain

(loss)

............................................................

126,326,843

Net

increase

(decrease)

in

net

assets

resulting

from

operations

..........................................

$206,113,716

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statements

of

Changes

in

Net

Assets

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024
Increase

(decrease)

in

net

assets:

Operations:

Net

investment

income

.................................................

$79,786,873

$74,707,414

Net

realized

gain

(loss)

.................................................

(60,592,471)

(67,458,547)

Net

change

in

unrealized

appreciation

(depreciation)

...........................

186,919,314

(182,491,404)

Net

increase

(decrease)

in

net

assets

resulting

from

operations

................

206,113,716

(175,242,537)

Capital

share

transactions:

(Note

2)

Class

.............................................................

(6,550,788)

10,828,419

Class

.............................................................

(140,723,791)

(86,358,727)

Class

.............................................................

(4,003,187)

(1,894,686)

Total

capital

share

transactions

............................................

(151,277,766)

(77,424,994)

Net

increase

(decrease)

in

net

assets

...................................

54,835,950

(252,667,531)

Net

assets:

Beginning

of

year

.......................................................

1,365,215,396

1,617,882,927

End

of

year

...........................................................

$1,420,051,346

$1,365,215,396

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund

franklintempleton.com

Annual

Report

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
Franklin

Templeton

Variable

Insurance

Products

Trust

(Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-end

management

investment

company,

consisting

of seventeen separate

funds.

The Trust

follows the

accounting

and

reporting

guidance

in

Financial

Accounting

Standards

Board

(FASB)

Accounting

Standards

Codification

Topic

946,

Financial

Services

–

Investment

Companies

(ASC

946)

and

applies

the

specialized

accounting

and

reporting

guidance

in

U.S.

Generally

Accepted

Accounting

Principles

(U.S.

GAAP),

including,

but

not

limited

to,

ASC

946. Templeton

Global

Bond

VIP

Fund

(Fund)

is

included

in

this

report.

Shares

of

the

Fund

are

generally

sold

only

to

insurance

company

separate

accounts

to

fund

the

benefits

of

variable

life

insurance

policies

or

variable

annuity

contracts. The

Fund

offers three classes

of

shares:

Class

1,

Class

and

Class

4. Each

class

of

shares

may

differ

by

its

distribution

fees,

voting

rights

on

matters

affecting

a

single

class

and

its

exchange

privilege.

The

following

summarizes

the Fund's

significant

accounting

policies.

a. #### Financial

#### Instrument

#### Valuation
The

Fund's

investments

in

financial

instruments

are

carried

at

fair

value

daily.

Fair

value

is

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

market

participants

on

the

measurement

date.

The

Fund

calculates

the

net

asset

value

(NAV)

per

share

each business

day as

of

p.m.

Eastern

time

or

the

regularly

scheduled

close

of

the

New

York

Stock

Exchange

(NYSE),

whichever

is

earlier.

Under

compliance

policies

and

procedures

approved

by

the Trust's

Board

of

Trustees

(the

Board),

the

Board

has

designated

the

Fund's

investment

manager

as

the

valuation

designee

and

has

responsibility

for

oversight

of

valuation.

The

investment

manager

is

assisted

by

the

Fund's

administrator

in

performing

this

responsibility,

including

leading

the

cross-

functional

Valuation

Committee

(VC).

The

Fund

may

utilize

independent

pricing

services,

quotations

from

securities

and

financial

instrument

dealers,

and

other

market

sources

to

determine

fair

value.

Debt

securities

generally

trade

in

the over-the-counter

(OTC)

market

rather

than

on

a

securities

exchange.

The

Fund's

pricing

services

use

multiple

valuation

techniques

to

determine

fair

value.

In

instances

where

sufficient

market

activity

exists,

the

pricing

services

may

utilize

a

market-based

approach

through

which

quotes

from

market

makers

are

used

to

determine

fair

value.

In

instances

where

sufficient

market

activity

may

not

exist

or

is

limited,

the

pricing

services

also

utilize

proprietary

valuation

models

which

may

consider

market

characteristics

such

as

benchmark

yield

curves,

credit

spreads,

estimated

default

rates,

anticipated

market

interest

rate

volatility,

coupon

rates,

anticipated

timing

of

principal

repayments,

underlying

collateral,

and

other

unique

security

features

in

order

to

estimate

the

relevant

cash

flows,

which

are

then

discounted

to

calculate

the

fair

value.

Securities

denominated

in

a

foreign

currency

are

converted

into

their

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

p.m.

Eastern

time

on

the

date

that

the

values

of

the

foreign

debt

securities

are

determined.

Investments

in open-end mutual

funds

are

valued

at

the

closing

NAV.

Certain

derivative

financial

instruments

are

centrally

cleared

or

trade

in

the

OTC

market.

The

Fund's

pricing

services

use

various

techniques

including

industry

standard

option

pricing

models

and

proprietary

discounted

cash

flow

models

to

determine

the

fair

value

of

those

instruments.

The

Fund's

net

benefit

or

obligation

under

the

derivative

contract,

as

measured

by

the

fair

value

of

the

contract,

is

included

in

net

assets.

The

Fund

has

procedures

to

determine

the

fair

value

of

financial

instruments

for

which

market

prices

are

not

reliable

or

readily

available.

Under

these

procedures,

the Fund

primarily

employs

a

market-based

approach

which

may

use

related

or

comparable

assets

or

liabilities,

recent

transactions,

market

multiples,

and

other

relevant

information

for

the

investment

to

determine

the

fair

value

of

the

investment.

An

income-based

valuation

approach

may

also

be

used

in

which

the

anticipated

future

cash

flows

of

the

investment

are

discounted

to

calculate

fair

value.

Discounts

may

also

be

applied

due

to

the

nature

or

duration

of

any

restrictions

on

the

disposition

of

the

investments.

Due

to

the

inherent

uncertainty

of

valuations

of

such

investments,

the

fair

values

may

differ

significantly

from

the

values

that

would

have

been

used

had

an

active

market

existed.

b. #### Foreign

#### Currency

#### Translation
Portfolio

securities

and

other

assets

and

liabilities

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

based

on

the

exchange

rate

of

such

currencies

against

U.S.

dollars

on

the

date

of

valuation.

The

Fund

may

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
(continued)

enter

into

foreign

currency

exchange

contracts

to

facilitate

transactions

denominated

in

a

foreign

currency.

Purchases

and

sales

of

securities,

income

and

expense

items

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

at

the

exchange

rate

in

effect

on

the

transaction

date.

Portfolio

securities

and

assets

and

liabilities

denominated

in

foreign

currencies

contain

risks

that

those

currencies

will

decline

in

value

relative

to

the

U.S.

dollar.

Occasionally,

events

may

impact

the

availability

or

reliability

of

foreign

exchange

rates

used

to

convert

the

U.S.

dollar

equivalent

value.

If

such

an

event

occurs,

the

foreign

exchange

rate

will

be

valued

at

fair

value

using

procedures

established

and

approved

by

the

Board.

The

Fund

does

not

separately

report

the

effect

of

changes

in

foreign

exchange

rates

from

changes

in

market

prices

on

securities

held.

Such

changes

are

included

in

net

realized

and

unrealized

gain

or

loss

from

investments

in

the

Statement of

Operations.

Realized

foreign

exchange

gains

or

losses

arise

from

sales

of

foreign

currencies,

currency

gains

or

losses

realized

between

the

trade

and

settlement

dates

on

securities

transactions

and

the

difference

between

the

recorded

amounts

of

dividends,

interest,

and

foreign

withholding

taxes

and

the

U.S.

dollar

equivalent

of

the

amounts

actually

received

or

paid.

Net

unrealized

foreign

exchange

gains

and

losses

arise

from

changes

in

foreign

exchange

rates

on

foreign

denominated

assets

and

liabilities

other

than

investments

in

securities

held

at

the

end

of

the

reporting

period.

c. #### Derivative

#### Financial

#### Instruments
The

Fund invested

in

derivative

financial

instruments

in

order

to

manage

risk

or

gain

exposure

to

various

other

investments

or

markets.

Derivatives

are

financial

contracts

based

on

an

underlying

or

notional

amount,

require

no

initial

investment

or

an

initial

net

investment

that

is

smaller

than

would

normally

be

required

to

have

a

similar

response

to

changes

in

market

factors,

and

require

or

permit

net

settlement.

Derivatives

contain

various

risks

including

the

potential

inability

of

the

counterparty

to

fulfill

their

obligations

under

the

terms

of

the

contract,

the

potential

for

an

illiquid

secondary

market,

and/or

the

potential

for

market

movements

which

expose

the

Fund

to

gains

or

losses

in

excess

of

the

amounts

shown

in

the

Statement

of

Assets

and

Liabilities.

Realized

gain

and

loss

and

unrealized

appreciation

and

depreciation

on

these

contracts

for

the

period

are

included

in

the

Statement

of

Operations.

Derivative

counterparty

credit

risk

is

managed

through

a

formal

evaluation

of

the

creditworthiness

of

all

potential

counterparties.

The

Fund

attempts

to

reduce

its

exposure

to

counterparty

credit

risk

on

OTC

derivatives,

whenever

possible,

by

entering

into

International

Swaps

and

Derivatives

Association

(ISDA)

master

agreements

with

certain

counterparties.

These

agreements

contain

various

provisions,

including

but

not

limited

to

collateral

requirements,

events

of

default,

or

early

termination.

Termination

events

applicable

to

the

counterparty

include

certain

deteriorations

in

the

credit

quality

of

the

counterparty.

Termination

events

applicable

to

the

Fund

include

failure

of

the

Fund

to

maintain

certain

net

asset

levels

and/or

limit

the

decline

in

net

assets

over

various

periods

of

time.

In

the

event

of

default

or

early

termination,

the

ISDA

master

agreement

gives

the

non-defaulting

party

the

right

to

net

and

close-out

all

transactions

traded,

whether

or

not

arising

under

the

ISDA

agreement,

to

one

net

amount

payable

by

one

counterparty

to

the

other.

However,

absent

an

event

of

default

or

early

termination,

OTC

derivative

assets

and

liabilities

are

presented

gross

and

not

offset

in

the

Statement

of

Assets

and

Liabilities.

Early

termination

by

the

counterparty

may

result

in

an

immediate

payment

by

the

Fund

of

any

net

liability

owed

to

that

counterparty

under

the

ISDA

agreement.

Collateral

requirements

differ

by

type

of

derivative.

Collateral

or

initial

margin

requirements

are

set

by

the

broker

or

exchange

clearing

house

for

exchange

traded

and

centrally

cleared

derivatives.

Initial

margin

deposited

is

held

at

the

exchange

or

at

the

broker and

can

be

in

the

form

of

cash

and/or

securities.

For

OTC

derivatives

traded

under

an

ISDA

master

agreement,

posting

of

collateral

is

required

by

either

the

Fund

or

the

applicable

counterparty

if

the

total

net

exposure

of

all

OTC

derivatives

with

the

applicable

counterparty

exceeds

the

minimum

transfer

amount,

which

typically

ranges

from

$100,000

to

$250,000,

and

can

vary

depending

on

the

counterparty

and

the

type

of agreement.

Generally,

collateral

is

determined

at

the

close

of

Fund

business

each

day

and

any

additional

collateral

required

due

to

changes

in

derivative

values

may

be

delivered

by

the

Fund

or

the

counterparty

the

next

business

day,

or

within

a

few

business

days.

Collateral

pledged

and/or

received

by

the

Fund

for

OTC

derivatives,

if

any,

is

held

in

segregated

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

b. #### Foreign

#### Currency

#### Translation
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
(continued)

accounts

with

the

Fund's

custodian/counterparty

broker

and

can

be

in

the

form

of

cash

and/or

securities.

Unrestricted

cash

may

be

invested

according

to

the

Fund's

investment

objectives.

To

the

extent

that

the

amounts

due

to

the

Fund

from

its

counterparties

are

not

subject

to

collateralization

or

are

not

fully

collateralized,

the

Fund

bears

the

risk

of

loss

from

counterparty

non-performance.

The

Fund entered

into

OTC

forward

exchange

contracts

primarily

to

manage

and/or

gain exposure

to

certain

foreign

currencies.

A

forward

exchange

contract

is

an

agreement

between

the

Fund

and

a

counterparty

to

buy

or

sell

a

foreign

currency at

a

specific

exchange

rate

on

a

future

date.

Forward

exchange

contracts

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

The

Fund entered

into

interest

rate

swap

contracts

primarily

to

manage

interest

rate

risk.

An

interest

rate

swap

is

an

agreement

between

the

Fund

and

a

counterparty

to

exchange

cash

flows

based

on

the

difference

between

two

interest

rates,

applied

to

a

notional

amount.

These

agreements

may

be

privately

negotiated

in

the

over-the-

counter

market

(OTC

interest

rate

swaps)

or

may

be

executed

on

a

registered

exchange

(centrally

cleared

interest

rate

swaps).

For

centrally

cleared

interest

rate

swaps,

required

initial

margins

are

pledged

by

the

Fund,

and

the

daily

change

in

fair

value

is

accounted

for

as

a

variation

margin

payable

or

receivable

in

the

Statement

of

Assets

and

Liabilities.

Over

the

term

of

the

contract,

contractually

required

payments

to

be

paid

and

to

be

received

are

accrued

daily

and

recorded

as

unrealized

appreciation

or

depreciation

until

the

payments

are

made,

at

which

time

they

are

realized.

Interest

rate

swap

contracts

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

The

Fund purchased

or

wrote

OTC

option

contracts

primarily

to

manage

and/or

gain exposure

to

foreign

exchange

rate

risk.

An

option

is

a

contract

entitling

the

holder

to

purchase

or

sell

a

specific

amount

of

shares

or

units

of

an

asset

or

notional

amount

of

a

swap

(swaption),

at

a

specified

price.

When

an

option

is

purchased

or

written,

an

amount

equal

to

the

premium

paid

or

received

is

recorded

as

an

asset

or

liability,

respectively.

Upon

exercise

of

an

option,

the

acquisition

cost

or

sales

proceeds

of

the

underlying

investment

is

adjusted

by

any

premium

received

or

paid.

Upon

expiration

of

an

option,

any

premium

received

or

paid

is

recorded

as

a

realized

gain

or

loss.

Upon

closing

an

option

other

than

through

expiration

or

exercise,

the

difference

between

the

premium

received

or

paid

and

the

cost

to

close

the

position

is

recorded

as

a

realized

gain

or

loss.

Option contracts

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

See

Note

8 regarding

other

derivative

information.

d. #### Income

#### and

#### Deferred

#### Taxes
It

is the Fund's

policy

to

qualify

as

a

regulated

investment

company

under

the

Internal

Revenue

Code. The Fund

intends

to

distribute

to

shareholders

substantially

all

of

its

taxable

income

and

net

realized

gains

to

relieve

it

from

federal

income

and if

applicable,

excise

taxes.

As

a

result,

no

provision

for

U.S.

federal

income

taxes

is

required.

The

Fund

may

be

subject

to

foreign

taxation

related

to

income

received,

capital

gains

on

the

sale

of

securities

and

certain

foreign

currency

transactions

in

the

foreign

jurisdictions

in

which it

invests.

Foreign

taxes,

if

any,

are

recorded

based

on

the

tax

regulations

and

rates

that

exist

in

the

foreign

markets

in

which

the

Fund

invests.

When

a

capital

gain

tax

is

determined

to

apply,

the

Fund

records

an

estimated

deferred

tax

liability

in

an

amount

that

would

be

payable

if

the

securities

were

disposed

of

on

the

valuation

date.

The Fund

may

recognize

an

income

tax

liability

related

to

its

uncertain

tax

positions

under

U.S.

GAAP

when

the

uncertain

tax

position

has

a

less

than

50%

probability

that

it

will

be

sustained

upon

examination

by

the

tax

authorities

based

on

its

technical

merits.

As

of

December

31,

2025, the Fund

has

determined

that

no

tax

liability

is

required

in

its

financial

statements

related

to

uncertain

tax

positions

for

any

open

tax

years

(or

expected

to

be

taken

in

future

tax

years).

The

Fund's

federal

and

state

income

and

federal

excise

tax

returns

for

the

prior

three

fiscal

years

are

subject

to

examination

by

the

Internal

Revenue

Service

and

state

departments

of

revenue.

e. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
Security

transactions

are

accounted

for

on

trade

date.

Realized

gains

and

losses

on

security

transactions

are

determined

on

a

specific

identification basis.

Interest

income

(including

interest

income

from

payment-in-kind

securities,

if

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

c. #### Derivative

#### Financial

#### Instruments
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
(continued)

any)

and

estimated

expenses

are

accrued

daily.

Amortization

of

premium

and

accretion

of

discount

on

debt

securities

are

included

in

interest

income.

Dividend

income

is

recorded

on

the

ex-dividend

date.

Distributions

to

shareholders

are

recorded

on

the

ex-dividend

date.

Distributable

earnings

are

determined

according

to

income

tax

regulations

(tax

basis)

and

may

differ

from

earnings recorded

in

accordance

with

U.S.

GAAP.

These

differences

may

be

permanent

or

temporary.

Permanent differences

are

reclassified

among

capital

accounts

to

reflect

their

tax

character.

These reclassifications

have

no

impact

on

net

assets

or

the

results

of

operations.

Temporary

differences are

not

reclassified,

as

they

may

reverse

in

subsequent

periods.

Common

expenses

incurred

by

the

Trust

are

allocated

among

the

Funds

based

on

the

ratio

of

net

assets

of

each

Fund

to

the

combined

net

assets

of

the

Trust

or

based

on

the

ratio

of

number

of

shareholders

of

each

Fund

to

the

combined

number

of

shareholders

of

the

Trust.

Fund

specific

expenses

are

charged

directly

to

the

Fund

that

incurred

the

expense.

Realized

and

unrealized

gains

and

losses

and

net

investment

income,

excluding

class

specific

expenses,

are

allocated

daily

to

each

class

of

shares

based

upon

the

relative

proportion

of

net

assets

of

each

class.

Differences

in

per

share

distributions

by

class

are

generally

due

to

differences

in

class

specific

expenses.

Inflation-indexed

bonds

are

adjusted

for

inflation

through

periodic

increases

or

decreases

in

the

security's

interest

accruals,

face

amount,

or

principal

redemption

value,

by

amounts

corresponding

to

the

rate

of

inflation

as

measured

by

an

index.

Any

increase

or

decrease

in

the

face

amount

or

principal

redemption

value

will

be

included

as

interest

income

in

the

Statement

of

Operations.

f. #### Accounting

#### Estimates
The

preparation

of

financial

statements

in

accordance

with

U.S.

GAAP

requires

management

to

make

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

amounts

of

income

and

expenses

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

g. #### Guarantees

#### and

#### Indemnifications
Under

the Trust's

organizational

documents,

its

officers

and trustees

are

indemnified

by

the Trust against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Trust.

Additionally,

in

the

normal

course

of

business,

the Trust,

on

behalf

of

the

Fund, enters

into

contracts

with

service

providers

that

contain

general

indemnification

clauses.

The Trust's

maximum

exposure

under

these

arrangements

is

unknown

as

this

would

involve

future

claims

that

may

be

made

against

the Trust

that

have

not

yet

occurred.

Currently,

the Trust

expects

the

risk

of

loss

to

be

remote.

2. #### Shares

#### of

#### Beneficial

#### Interest
At

December

31,

2025,

there

were

an

unlimited

number

of

shares

authorized

(without

par

value).

Transactions

in

the

Fund's

shares

were

as

follows:

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### 1

#### Shares:
Shares

sold

...................................

1,413,179

$18,857,864

4,381,994

$56,217,700

Shares

redeemed

...............................

(1,985,157)

(25,408,652)

(3,527,969)

(45,389,281)

Net

increase

(decrease)

..........................

(571,978)

$(6,550,788)

854,025

$10,828,419

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

e. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
(continued)

3. #### Transactions

#### with

#### Affiliates
Franklin

Resources,

Inc.

is

the

holding

company

for

various

subsidiaries

that

together

are

referred

to

as

Franklin

Templeton.

Certain

officers

and trustees

of

the Fund are

also

officers

and/or directors

of

the

following

subsidiaries:

a. #### Management

#### Fees
The

Fund

pays

an

investment

management fee,

calculated daily and

paid

monthly,

to

Advisers based

on the

average

daily net

assets

of

the

Fund

as

follows:

For

the

year

ended

December

31,

2025,

the

gross

effective

investment

management

fee

rate

was 0.468%

of

the

Fund's

average daily

net

assets.

b. #### Administrative

#### Fees
Under

an

agreement

with

Advisers,

FT

Services

provides

administrative

services

to

the

Fund.

The

fee

is

paid

by Advisers

based

on

the Fund's

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Fund.

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### 2

#### Shares:
Shares

sold

...................................

5,735,701

$71,030,562

6,987,518

$84,176,369

Shares

redeemed

...............................

(16,965,366)

(211,754,353)

(13,858,029)

(170,535,096)

Net

increase

(decrease)

..........................

(11,229,665)

$(140,723,791)

(6,870,511)

$(86,358,727)

#### Class

#### 4

#### Shares:
Shares

sold

...................................

389,440

$4,886,797

654,525

$8,238,130

Shares

redeemed

...............................

(704,416)

(8,889,984)

(803,325)

(10,132,816)

Net

increase

(decrease)

..........................

(314,976)

$(4,003,187)

(148,800)

$(1,894,686)

#### Subsidiary

#### Affiliation
Franklin

Advisers,

Inc.

(Advisers)

Investment

manager

Franklin

Templeton

Services,

LLC

(FT

Services)

Administrative

manager

Franklin

Distributors,

LLC

(Distributors)

Principal

underwriter

Franklin

Templeton

Investor

Services,

LLC

(Investor

Services)

Transfer

agent

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
0.625%

Up

to

and

including

$100

million

0.500%

Over

$100

million,

up

to

and

including

$250

million

0.450%

Over

$250

million,

up

to

and

including

$7.5

billion

0.440%

Over

$7.5

billion,

up

to

and

including

$10

billion

0.430%

Over

$10

billion,

up

to

and

including

$12.5

billion

0.420%

Over

$12.5

billion,

up

to

and

including

$15

billion

0.400%

In

excess

of

$15

billion

2. #### Shares

#### of

#### Beneficial

#### Interest
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
(continued)

c. #### Distribution

#### Fees
The

Board

has

adopted

distribution

plans

for

Class

2 and

Class

shares

pursuant

to

Rule

12b-1

under

the

1940

Act.

Under

the

Fund's

compensation

distribution

plans,

the

Fund

pays

Distributors

for

costs

incurred

in

connection

with

the

servicing,

sale

and

distribution

of

the

Fund's

shares

up

to

0.25%

and

0.35%

per

year

of

its

average

daily

net

assets

of

Class

and

Class

4,

respectively.

The

plan

year,

for

purposes

of

monitoring

compliance

with

the

maximum

annual

plan

rates,

is

February

through

January

31. d. #### Transfer

#### Agent

#### Fees
Investor

Services,

under

terms

of

an

agreement,

performs

shareholder

servicing

for

the

Fund and

is

not

paid

by

the Fund

for

the

services.

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
The

Fund

invests

in

one

or

more

affiliated

management

investment

companies.

As

defined

in

the

1940

Act,

an

investment

is

deemed

to

be

a

"Controlled

Affiliate"

of

a

fund

when

a

fund

owns,

either

directly

or

indirectly,

25%

or

more

of

the

affiliated

fund's

outstanding

shares

or

has

the

power

to

exercise

control

over

management

or

policies

of

such

fund.

The

Fund

does

not

invest

for

purposes

of

exercising

a

controlling

influence

over

the

management

or

policies.

Management

fees

paid

by

the

Fund

are

waived

on

assets

invested

in

the

affiliated

management

investment

companies,

as

noted

in

the

Statement

of

Operations,

in

an

amount

not

to

exceed

the

management

and

administrative

fees,

if

applicable, paid

directly

or

indirectly

by

each

affiliate.

During

the

year

ended

December

31,

2025,

the

Fund

held

investments

in

affiliated

management

investment

companies

as

follows:

4. #### Income

#### Taxes
For

tax

purposes,

capital

losses

may

be

carried

over

to

offset

future

capital

gains.

At

December

31,

2025,

the

capital

loss

carryforwards

were

as

follows:

#### &nbsp;&nbsp;&nbsp;&nbsp;aa

#### Value

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### Sales

#### Realized

#### Gain
(Loss)

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### Value

#### at

#### End

#### of

#### Year

#### Number

#### of

#### Shares

#### Held

#### at

#### End

#### of

#### Year

#### Investment

#### Income

#### a&nbsp;&nbsp;&nbsp;&nbsp;

#### a

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund

#### Non-Controlled

#### Affiliates
Dividends

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$147,171,635

$383,578,930

$(358,952,216)

$—

$—

$171,798,349

171,798,349

$7,344,191

#### Total

#### Affiliated

#### Securities

#### ...
$147,171,635

$383,578,930

$(358,952,216)

$—

$—

$171,798,349

$7,344,191

Capital

loss

carryforwards

not

subject

to

expiration:

Short

term

................................................................................

$

33,071,886

Long

term

................................................................................

283,393,954

Total

capital

loss

carryforwards

...............................................................

$316,465,840

3. #### Transactions

#### with

#### Affiliates
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
(continued)

At

December

31,

2025,

the

cost

of

investments,

net

unrealized

appreciation

(depreciation)

and

undistributed

ordinary

income for

income

tax

purposes

were

as

follows:

Differences

between

income

and/or

capital

gains

as

determined

on

a

book

basis

and

a

tax

basis

are

primarily

due

to

differing

treatments

of

foreign

currency

transactions,

bond

discounts

and

premiums,

tax

straddles

and

derivative

financial

instruments.

5. #### Investment

#### Transactions
Purchases

and

sales

of

investments (excluding

short

term

securities) for

the

year

ended

December

31,

2025,

aggregated

$312,514,725 and

$435,083,848,

respectively.

6. #### Credit

#### Risk
At

December

31,

2025,

the

Fund

had 25.8% of

its

portfolio

invested

in

high

yield

securities

rated

below

investment

grade

and

unrated

securities.

These

securities

may

be

more

sensitive

to

economic

conditions

causing

greater

price

volatility

and

are

potentially

subject

to

a

greater

risk

of

loss

due

to

default

than

higher

rated

securities.

7. #### Concentration

#### of

#### Risk
Investing

in

foreign

securities

may

include

certain

risks

and

considerations

not

typically

associated

with

investing

in

U.S.

securities,

such

as

fluctuating

currency

values

and

changing

local,

regional

and

global

economic,

political

and

social

conditions,

which

may

result

in

greater

market

volatility.

Political

and

financial

uncertainty

in

many

foreign

regions

may

increase

market

volatility

and

the

economic

risk

of

investing

in

foreign

securities.

In

addition,

certain

foreign

securities

may

not

be

as

liquid

as

U.S.

securities.

8. #### Other

#### Derivative

#### Information
At

December

31,

2025,

investments

in

derivative

contracts

are

reflected

in

the Statement of

Assets

and

Liabilities

as

follows:

Cost

of

investments

..........................................................................

$1,350,553,983

Unrealized

appreciation

........................................................................

$85,420,713

Unrealized

depreciation

........................................................................

(56,848,413)

Net

unrealized

appreciation

(depreciation)

..........................................................

$28,572,300

Distributable

earnings:

Undistributed

ordinary

income

...................................................................

$44,675,558

#### Asset

#### Derivatives

#### Liability

#### Derivatives

#### Derivative

#### Contracts

#### Not

#### Accounted

#### for

#### as

#### Hedging

#### Instruments

#### Statement

#### of

#### Assets

#### and

#### Liabilities

#### Location

#### Fair

#### Value

#### Statement

#### of

#### Assets

#### and

#### Liabilities

#### Location

#### Fair

#### Value

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
Foreign

exchange

contracts

..

Unrealized

appreciation

on

OTC

forward

exchange

contracts

$

5,872,890

Unrealized

depreciation

on

OTC

forward

exchange

contracts

$

16,557,600

Total

....................

$5,872,890

$16,557,600

4. #### Income

#### Taxes
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
(continued)

For

the

year

ended

December

31,

2025,

the

effect

of

derivative

contracts

in

the Statement

of

Operations

was

as

follows:

For

the

year

ended

December

31,

2025,

the

average

month

end

notional

amount

of

swap

contracts

and

options

represented

$42,881,538

and

$1,281,332,769,

respectively.

The

average

month

end

contract

value

of

forward

exchange

contracts

was

$1,058,800,443.

At

December

31,

2025,

the

Fund's

OTC

derivative

assets

and

liabilities

are

as

follows:

#### Derivative

#### Contracts

#### Not

#### Accounted

#### for

#### as

#### Hedging

#### Instruments

#### Statement

#### of

#### Operations

#### Location

#### Net

#### Realized

#### Gain
(Loss)

#### for

#### the

#### Year

#### Statement

#### of

#### Operations

#### Location

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### for

#### the

#### Year

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
Net

realized

gain

(loss)

from:

Net

change

in

unrealized

&nbsp;&nbsp;&nbsp;&nbsp;appreciation

(depreciation)

on:

Interest

rate

contracts

..........

Swap

contracts

$(3,557,794)

Swap

contracts

$6,263,575

Foreign

exchange

contracts

.....

Investments

(15,683,709)

a

Investments

8,215,074

a

Written

options

6,595,280

Written

options

(146,943)

Forward

exchange

contracts

(25,346,726)

Forward

exchange

contracts

3,533,649

Total

.......................

$(37,992,949)

$17,865,355

a

Purchased

option

contracts

are

included

in

net

realized

gain

(loss)

from

investments

and

net

change

in

unrealized

appreciation

(depreciation)

on

investments

in

the

Statement

of

Operations.

#### Gross

#### Amounts

#### of

#### Assets

#### and

#### Liabilities

#### Presented

#### in

#### the

#### Statement

#### of

#### Assets

#### and

#### Liabilities

#### Assets

#### a

#### Liabilities

#### a

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
Forward

Exchange

Contracts

.............................

$

5,872,890

$

16,557,600

Total

.............................................

$5,872,890

$16,557,600

a

Absent

an

event

of

default

or

early

termination,

OTC

derivative

assets

and

liabilities

are

presented

gross

and

not

offset

in

the

Statement

of

Assets

and

Liabilities.

8. #### Other

#### Derivative

#### Information
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
(continued)

At

December

31,

2025,

OTC

derivative

assets,

which

may

be

offset

against

the

Fund's

OTC

derivative

liabilities

and

collateral

received

from

the

counterparty,

are

as

follows:

At

December

31,

2025,

OTC

derivative

liabilities,

which

may

be

offset

against

the

Fund's

OTC

derivative

assets

and

collateral

pledged

to

the

counterparty,

are

as

follows:

#### Amounts

#### Not

#### Offset

#### in

#### the

#### Statement

#### of

#### Assets

#### and

#### Liabilities

#### Gross

#### Amounts

#### of

#### Assets

#### Presented

#### in

#### the

#### Statement

#### of

#### Assets

#### and

#### Liabilities

#### Financial

#### Instruments

#### Available

#### for

#### Offset

#### Financial

#### Instruments

#### Collateral

#### Received

#### Cash

#### Collateral

#### Received

#### a

#### Net

#### Amount

#### (Not

#### less

#### than

#### zero)

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund

#### Counterparty
BNDP

...................

$

1,086,731

$

(1,086,731)

$

—

$

—

$

—

BOFA

....................

—

—

—

—

—

BZWS

...................

—

—

—

—

—

CITI

.....................

—

—

—

—

—

DBAB

...................

987,152

(987,152)

—

—

—

HSBK

...................

3,746,555

(1,423,808)

—

(2,322,747)

—

JPHQ

...................

52,452

(52,452)

—

—

—

MSCO

...................

—

—

—

—

—

Total

...................

$5,872,890

$(3,550,143)

$—

$(2,322,747)

$—

$

#### Amounts

#### Not

#### Offset

#### in

#### the

#### Statement

#### of

#### Assets

#### and

#### Liabilities

#### Gross

#### Amounts

#### of

#### Liabilities

#### Presented

#### in

#### the

#### Statement

#### of

#### Assets

#### and

#### Liabilities

#### Financial

#### Instruments

#### Available

#### for

#### Offset

#### Financial

#### Instruments

#### Collateral

#### Pledged

#### Cash

#### Collateral

#### Pledged

#### a

#### Net

#### Amount

#### (Not

#### less

#### than

#### zero)

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund

#### Counterparty
BNDP

...................

$

2,239,850

$

(1,086,731)

$

—

$

(880,000)

$

273,119

BOFA

....................

129,394

—

—

(129,394)

—

BZWS

...................

242,945

—

—

(242,945)

—

CITI

.....................

712,892

—

—

(540,000)

172,892

DBAB

...................

1,493,940

(987,152)

—

(310,000)

196,788

HSBK

...................

1,423,808

(1,423,808)

—

—

—

JPHQ

...................

1,564,098

(52,452)

—

(1,330,000)

181,646

MSCO

...................

8,750,673

—

—

(7,918,782)

831,891

Total

...................

$16,557,600

$(3,550,143)

$—

$(11,351,121)

$1,656,336

a

In

some

instances,

the

collateral

amounts

disclosed

in

the

table

above

were

adjusted

due

to

the

requirement

to

limit

the

collateral

amounts

to

avoid

the

effect

of

overcollateralization.

Actual

collateral

received

and/or

pledged

may

be

more

than

the

amounts

disclosed

herein.

8. #### Other

#### Derivative

#### Information
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
(continued)

See

Note

1(c) regarding

derivative

financial

instruments.

See

Abbreviations

on

.

9. #### Credit

#### Facility
The

Fund,

together

with

other

U.S.

registered

and

foreign

investment

funds

(collectively,

Borrowers),

managed

by

Franklin

Templeton,

are

borrowers

in

a

joint

syndicated

senior

unsecured

credit

facility

totaling

$2.995

billion

(Global

Credit

Facility)

which

matured

on

January

30,

2026. This

Global

Credit

Facility

provides

a

source

of

funds

to

the

Borrowers

for

temporary

and

emergency

purposes,

including

the

ability

to

meet

future

unanticipated

or

unusually

large

redemption

requests.

Effective

January

30,

2026,

the

Borrowers

renewed

the

Global

Credit

Facility

for

a

one-year

term,

maturing

January

29,

2027,

for

a

total

of

$2.995

billion.

Under

the

terms

of

the

Global

Credit

Facility,

the

Fund

may,

in

addition

to

interest

charged

on

any

borrowings

made

by

the

Fund

and

other

costs

incurred

by

the

Fund,

pay

its

share

of

fees

and

expenses

incurred

in

connection

with

the

implementation

and

maintenance

of

the

Global

Credit

Facility,

based

upon

its

relative

share

of

the

aggregate

net

assets

of

all

of

the

Borrowers,

including

an

annual

commitment

fee

of

0.15%

based

upon

the

unused

portion

of

the

Global

Credit

Facility.

These

fees

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

During

the

year

ended

December

31,

2025,

the Fund

did

not

use

the

Global

Credit

Facility.

10. #### Fair

#### Value

#### Measurements
The

Fund

follows

a

fair

value

hierarchy

that

distinguishes

between

market

data

obtained

from

independent

sources

(observable

inputs)

and

the Fund's

own

market

assumptions

(unobservable

inputs).

These

inputs

are

used

in

determining

the

value

of

the

Fund's financial

instruments

and

are

summarized

in

the

following

fair

value

hierarchy:

Level

–

quoted

prices

in

active

markets

for

identical

financial

instruments

Level

–

other

significant

observable

inputs

(including

quoted

prices

for

similar

financial

instruments,

interest

rates,

prepayment

speed,

credit

risk,

etc.)

Level

–

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

financial

instruments)

The

input

levels

are

not

necessarily

an

indication

of

the

risk

or

liquidity

associated

with

financial

instruments

at

that

level.

A

summary

of

inputs

used

as

of

December

31,

2025,

in

valuing

the

Fund's assets

and

liabilities carried

at

fair

value,

is

as

follows:

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund

#### Assets:
Investments

in

Securities:

a

Foreign

Government

and

Agency

Securities

....

$

—

$

1,090,762,547

$

—

$

1,090,762,547

U.S.

Government

and

Agency

Securities

.......

—

127,250,097

—

127,250,097

Short

Term

Investments

...................

171,798,349

—

—

171,798,349

Total

Investments

in

Securities

...........

$171,798,349

$1,218,012,644

$—

$1,389,810,993

Other

Financial

Instruments:

Forward

Exchange

Contracts

...............

$—

$5,872,890

$—

$5,872,890

Total

Other

Financial

Instruments

.........

$—

$5,872,890

$—

$5,872,890

8. #### Other

#### Derivative

#### Information
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
(continued)

11. #### Operating

#### Segments
The Fund operates

as

a

single

operating

segment,

which

is

an

investment

portfolio.

The

portfolio

managers

assigned

to

the

Fund

within

the

Fund's

Investment

manager serve

as

the

Chief

Operating

Decision

Maker

("CODM")

and

are

responsible

for

evaluating

the

Fund's

operating

results

and

allocating

resources

in

accordance

with

the

Fund's

investment

strategy.

Internal

reporting

provided

to

the

CODM

aligns

with

the

accounting

policies

and

measurement

principles

used

in

the financial

statements.

For

information

regarding

segment

assets,

segment

profit

or

loss,

and

significant

expenses,

refer

to

the Statement

of

Assets

and

Liabilities

and

the Statement

of

Operations,

along

with

the

related

notes

to

the financial

statements.

The Schedule

of

Investments

provides

details

of

the Fund's investments

that

generate

returns

such

as

interest,

dividends,

and

realized

and

unrealized

gains

or

losses.

Performance

metrics,

including

portfolio

turnover

and

expense

ratios,

are

disclosed

in

the Financial

Highlights.

12. #### Subsequent

#### Events
The

Fund

has

evaluated

subsequent

events

through

the

issuance

of

the

financial

statements

and

determined

that

no

events

have

occurred

that

require

disclosure.

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
(continued)

#### Liabilities:
Other

Financial

Instruments:

Forward

Exchange

Contracts

...............

$

—

$

16,557,600

$

—

$

16,557,600

Total

Other

Financial

Instruments

.........

$—

$16,557,600

$—

$16,557,600

a

For

detailed

categories,

see

the

accompanying

Schedule

of

Investments.

10. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
(continued)

#### Abbreviations

#### Counterparty

#### BNDP
BNP

Paribas

SA

#### BOFA
Bank

of

America

NA

#### BZWS
Barclays

Bank

plc

#### CITI
Citibank

NA

#### DBAB
Deutsche

Bank

AG

#### HSBK
HSBC

Bank

plc

#### JPHQ
JPMorgan

Chase

Bank

NA

#### MSCO
Morgan

Stanley

#### Cu

#### r

#### rency

#### AUD
Australian

Dollar

#### BRL
Brazilian

Real

#### COP
Colombian

Peso

#### EUR
Euro

#### GHS
Ghanaian

Cedi

#### INR
Indian

Rupee

#### MXN
Mexican

Peso

#### MYR
Malaysian

Ringgit

#### NOK
Norwegian

Krone

#### RSD
Serbian

Dinar

#### UYU
Uruguayan

Peso

#### ZAR
South

African

Rand

Franklin

Templeton

Variable

Insurance

Products

Trust

Report

of

Independent

Registered

Public

Accounting

Firm

franklintempleton.com

Annual

Report

To

the

Board

of

Trustees

of

Franklin

Templeton

Variable

Insurance

Products

Trust

and

Shareholders

of

Templeton

Global

Bond

VIP

Fund

#### Opinion

#### on

#### the

#### Financial

#### Statements
We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

investments,

of

Templeton

Global

Bond

VIP

Fund

(one

of

the

funds

constituting

Franklin

Templeton

Variable

Insurance

Products

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2025,

the

related

statement

of

operations

for

the

year

ended

December

31,

2025,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

(collectively

referred

to

as

the

"financial

statements").

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2025,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

#### Basis

#### for

#### Opinion
These

financial

statements

are

the

responsibility

of

the

Fund's

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund's

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2025

by

correspondence

with

the

custodian,

transfer

agent

and

brokers;

when

replies

were

not

received

from

brokers,

we

performed

other

auditing

procedures.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/PricewaterhouseCoopers

LLP

San

Francisco,

California

February

19,

2026

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Franklin

Templeton

Group

of

Funds

since

1948. Franklin

Templeton

Variable

Insurance

Products

Trust

Tax

Information

(unaudited)

franklintempleton.com

Annual

Report

#### Templeton

#### Global

#### Bond

#### VIP

#### Fund
By

mid-February,

tax

information

related

to

a

shareholder's

proportionate

share

of

distributions

paid

during

the

preceding

calendar

year

will

be

received,

if

applicable.

Please

also

refer

to

www.franklintempleton.com

for

per

share

tax

information

related

to

any

distributions

paid

during

the

preceding

calendar

year.

Shareholders

are

advised

to

consult

with

their

tax

advisors

for

further

information

on

the

treatment

of

these

amounts

on

their

tax

returns.

The

following

tax

information

for

the

Fund

is

required

to

be

furnished

to

shareholders

with

respect

to

income

earned

and

distributions

paid

during

its

fiscal

year.

The

Fund

hereby

reports

the

following

amounts,

or

if

subsequently

determined

to

be

different,

the

maximum

allowable

amounts,

for

the

fiscal

year

ended

December

31,

2025:

#### Amount

#### Reported
Foreign

Taxes

Paid

$2,644,312

Foreign

Source

Income

Earned

$70,661,575

Franklin

Templeton

Variable

Insurance

Products

Trust

franklintempleton.com

Annual

Report

#### Changes

#### In

#### and

#### Disagreements

#### with

#### Accountants
For

the

period

covered

by

this

report

Not

applicable.

#### Results

#### of

#### Meeting(s)

#### of

#### Shareholders
For

the

period

covered

by

this

report

Not

applicable.

#### Remuneration

#### Paid

#### to

#### Directors,

#### Officers

#### and

#### Others
For

the

period

covered

by

this

report

Refer

to

the

financial

statements

included

herein.

Remuneration

to

officers

is

paid

by

the

Fund's

investment

manager

according

to

the

terms

of

the

agreement.

#### Board

#### Approval

#### of

#### Investment

#### Management

#### Agreements
For

the

period

covered

by

this

report

Not

applicable.

4827-AFSOI

02/26©

2026

Franklin

Templeton.

All

rights

reserved.

#### Templeton

#### Growth

#### VIP

#### Fund

#### Financial

#### Statements

#### and

#### Other

#### Important

#### Information

#### Annual
\|

December

31,

2025

#### Table

#### of

#### Contents
franklintempleton.com

Financial

Statements

and

Other

Important

Information—Annual

Financial

Highlights

and

Schedule

of

Investments

#### 2
Financial

Statements

#### 9
Notes

to

Financial

Statements

#### 12
Report

of

Independent

Registered

Public

Accounting

Firm

#### 21
Tax

Information

#### 22
Changes

In

and

Disagreements

with

Accountants

#### 23
Results

of

Meeting(s)

of

Shareholders

Remuneration

Paid

to

Directors,

Officers

and

Others

Board

Approval

of

Management

and

Subadvisory

Agreements

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Templeton

#### Growth

#### VIP

#### Fund
franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 1

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$12.77

$12.26

$10.47

$11.87

$11.42

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.12 0.15 0.14 0.12 0.09 Net

realized

and

unrealized

gains

(losses)

...........

2.82 0.55 2.06 (1.47)

0.52 Total

from

investment

operations

....................

2.94 0.70 2.20 (1.35)

0.61 Less

distributions

from:

Net

investment

income

..........................

(0.16)

(0.15)

(0.41)

(0.05)

(0.16)

Net

realized

gains

.............................

(1.04)

(0.04)

—

—

—

Total

distributions

...............................

(1.20)

(0.19)

(0.41)

(0.05)

(0.16)

Net

asset

value,

end

of

year

.......................

$14.51

$12.77

$12.26

$10.47

$11.87

Total

return

c

...................................

24.16%

5.70%

21.23%

(11.32)%

5.26%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

0.94%

0.92%

0.91%

0.90%

0.91%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

0.87%

0.87%

0.87%

0.90%

d

0.91%

d

Net

investment

income

...........................

0.87%

1.15%

1.20%

1.12%

0.71%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$37,948

$33,772

$34,924

$31,251

$39,373

Portfolio

turnover

rate

............................

77.90%

51.62%

29.48%

34.43%

45.59%

e

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Templeton

#### Growth

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 2

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$12.48

$11.99

$10.24

$11.59

$11.17

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.08 0.11 0.11 0.09 0.05 Net

realized

and

unrealized

gains

(losses)

...........

2.75 0.54 2.02 (1.42)

0.50 Total

from

investment

operations

....................

2.83 0.65 2.13 (1.33)

0.55 Less

distributions

from:

Net

investment

income

..........................

(0.12)

(0.12)

(0.38)

(0.02)

(0.13)

Net

realized

gains

.............................

(1.04)

(0.04)

—

—

—

Total

distributions

...............................

(1.16)

(0.16)

(0.38)

(0.02)

(0.13)

Net

asset

value,

end

of

year

.......................

$14.15

$12.48

$11.99

$10.24

$11.59

Total

return

c

...................................

23.83%

5.40%

21.01%

(11.50)%

4.87%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.19%

1.17%

1.16%

1.15%

1.18%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.12%

1.12%

1.12%

1.15%

d

1.18%

d

Net

investment

income

...........................

0.63%

0.90%

0.95%

0.87%

0.39%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$319,119

$302,997

$333,250

$315,684

$405,365

Portfolio

turnover

rate

............................

77.90%

51.62%

29.48%

34.43%

45.59%

e

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Highlights

#### Templeton

#### Growth

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### 2024

#### 2023

#### 2022

#### 2021

#### Class

#### 4

#### Per

#### share

#### operating

#### performance
(for

a

share

outstanding

throughout

the

year)

Net

asset

value,

beginning

of

year

...................

$12.70

$12.19

$10.41

$11.79

$11.35

Income

from

investment

operations

a

:

Net

investment

income

b

.........................

0.07 0.10 0.10 0.08 0.03 Net

realized

and

unrealized

gains

(losses)

...........

2.80 0.55 2.04 (1.45)

0.53 Total

from

investment

operations

....................

2.87 0.65 2.14 (1.37)

0.56 Less

distributions

from:

Net

investment

income

..........................

(0.10)

(0.10)

(0.36)

(0.01)

(0.12)

Net

realized

gains

.............................

(1.04)

(0.04)

—

—

—

Total

distributions

...............................

(1.14)

(0.14)

(0.36)

(0.01)

(0.12)

Net

asset

value,

end

of

year

.......................

$14.43

$12.70

$12.19

$10.41

$11.79

Total

return

c

...................................

23.71%

5.35%

20.79%

(11.62)%

4.85%

#### Ratios

#### to

#### average

#### net

#### assets
Expenses

before

waiver

and

payments

by

affiliates

......

1.29%

1.27%

1.26%

1.25%

1.29%

Expenses

net

of

waiver

and

payments

by

affiliates

.......

1.22%

1.22%

1.22%

1.25%

d

1.29%

d

Net

investment

income

...........................

0.54%

0.80%

0.85%

0.77%

0.24%

#### Supplemental

#### data
Net

assets

,

end

of

year

(000's)

.....................

$13,877

$14,425

$16,621

$17,048

$21,559

Portfolio

turnover

rate

............................

77.90%

51.62%

29.48%

34.43%

45.59%

e

a

The

amount

shown

for

a

share

outstanding

throughout

the

period

may

not

correlate

with

the

Statement

of

Operations

for

the

period

due

to

the

timing

of

sales

and

repurchases

of

the

Fund's

shares

in

relation

to

income

earned

and/or

fluctuating

fair

value

of

the

investments

of

the

Fund.

b

Based

on

average

daily

shares

outstanding.

c

Total

return

does

not

include

fees,

charges

or

expenses

imposed

by

the

variable

annuity

and

life

insurance

contracts

for

which

Franklin

Templeton

Variable

Insurance

Products

Trust

serves

as

an

underlying

investment

vehicle.

d

Benefit

of

waiver

and

payments

by

affiliates

rounds

to

less

than

0.01%.

e

Excludes

the

value

of

portfolio

activity

as

a

result

of

in-kind

transactions.

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments,

December

31,

2025

#### Templeton

#### Growth

#### VIP

#### Fund
franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks

#### 97.2%

#### Aerospace

#### &

#### Defense

#### 6.5%
Airbus

SE

.........................................

France

35,910

$

8,339,163

Rolls-Royce

Holdings

plc

.............................

United

Kingdom

531,637

8,222,145

Safran

SA

.........................................

France

21,354

7,437,963

23,999,271

#### Automobiles

#### 0.9%
BYD

Co.

Ltd.

,

H

....................................

China

270,300

3,303,271

#### Banks

#### 11.8%
HDFC

Bank

Ltd.

....................................

India

566,927

6,262,783

ING

Groep

NV

.....................................

Netherlands

285,964

8,037,943

KeyCorp

..........................................

United

States

226,622

4,677,478

Mizuho

Financial

Group,

Inc.

...........................

Japan

131,907

4,813,888

PNC

Financial

Services

Group,

Inc.

(The)

.................

United

States

20,036

4,182,114

Royal

Bank

of

Canada

...............................

Canada

30,815

5,253,289

a,b

SBI

Shinsei

Bank

Ltd.

................................

Japan

179,058

1,989,025

Sumitomo

Mitsui

Financial

Group,

Inc.

....................

Japan

144,778

4,656,266

Wells

Fargo

&

Co.

...................................

United

States

43,477

4,052,057

43,924,843

#### Broadline

#### Retail

#### 2.9%
a

Amazon.com,

Inc.

...................................

United

States

46,435

10,718,127

#### Building

#### Products

#### 0.8%
a

Builders

FirstSource,

Inc.

.............................

United

States

27,510

2,830,504

#### Capital

#### Markets

#### 1.1%
Charles

Schwab

Corp.

(The)

...........................

United

States

40,185

4,014,883

#### Chemicals

#### 1.1%
b

Akzo

Nobel

NV

.....................................

Netherlands

57,562

4,005,194

#### Construction

#### &

#### Engineering

#### 1.6%
Vinci

SA

..........................................

France

42,699

6,007,028

#### Construction

#### Materials

#### 1.3%
b

CRH

plc

..........................................

United

States

39,287

4,903,018

#### Containers

#### &

#### Packaging

#### 1.4%
Crown

Holdings,

Inc.

.................................

United

States

36,845

3,793,929

b

Smurfit

WestRock

plc

................................

United

States

36,658

1,417,565

5,211,494

#### Electric

#### Utilities

#### 1.9%
SSE

plc

..........................................

United

Kingdom

244,329

7,163,217

#### Electrical

#### Equipment

#### 3.7%
Mitsubishi

Electric

Corp.

..............................

Japan

138,200

4,029,478

Schneider

Electric

SE

................................

United

States

15,312

4,188,984

a

Siemens

Energy

AG

.................................

Germany

39,387

5,525,546

13,744,008

#### Electronic

#### Equipment,

#### Instruments

#### &

#### Components

#### 1.4%
Keyence

Corp.

.....................................

Japan

13,900

5,027,977

#### Entertainment

#### 1.3%
Universal

Music

Group

NV

............................

Netherlands

188,238

4,907,334

#### Financial

#### Services

#### 1.1%
Visa,

Inc.

,

A

........................................

United

States

11,422

4,005,810

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Templeton

#### Growth

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Food

#### Products

#### 1.0%
McCormick

&

Co.,

Inc.

...............................

United

States

56,664

$

3,859,385

#### Ground

#### Transportation

#### 1.0%
Canadian

Pacific

Kansas

City

Ltd.

.......................

Canada

50,307

3,703,706

#### Health

#### Care

#### Equipment

#### &

#### Supplies

#### 3.0%
Alcon

AG

.........................................

United

States

46,412

3,672,494

Medtronic

plc

......................................

United

States

39,720

3,815,503

Zimmer

Biomet

Holdings,

Inc.

..........................

United

States

40,604

3,651,112

11,139,109

#### Health

#### Care

#### Providers

#### &

#### Services

#### 2.9%
HCA

Healthcare,

Inc.

.................................

United

States

11,756

5,488,406

UnitedHealth

Group,

Inc.

..............................

United

States

15,678

5,175,465

10,663,871

#### Industrial

#### Conglomerates

#### 3.1%
Honeywell

International,

Inc.

...........................

United

States

26,803

5,228,997

Siemens

AG

.......................................

Germany

22,289

6,242,627

11,471,624

#### Insurance

#### 1.1%
AIA

Group

Ltd.

.....................................

Hong

Kong

398,200

4,098,710

#### Interactive

#### Media

#### &

#### Services

#### 6.8%
Alphabet,

Inc.

,

A

....................................

United

States

46,414

14,527,582

Meta

Platforms,

Inc.

,

A

...............................

United

States

8,913

5,883,382

c

Tencent

Holdings

Ltd.

................................

China

60,500

4,642,984

25,053,948

#### Life

#### Sciences

#### Tools

#### &

#### Services

#### 3.6%
a

ICON

plc

..........................................

United

States

21,082

3,841,562

Thermo

Fisher

Scientific,

Inc.

..........................

United

States

16,630

9,636,254

13,477,816

#### Machinery

#### 1.0%
b

Ebara

Corp.

.......................................

Japan

158,143

3,727,394

#### Oil,

#### Gas

#### &

#### Consumable

#### Fuels

#### 1.5%
BP

plc

............................................

United

States

975,739

5,690,475

#### Personal

#### Care

#### Products

#### 1.8%
b

Unilever

plc

........................................

United

Kingdom

100,405

6,569,466

#### Pharmaceuticals

#### 4.5%
AstraZeneca

plc

....................................

United

Kingdom

40,369

7,470,661

Eli

Lilly

&

Co.

......................................

United

States

8,524

9,160,572

16,631,233

#### Semiconductors

#### &

#### Semiconductor

#### Equipment

#### 10.2%
ASM

International

NV

................................

Netherlands

7,443

4,505,957

Broadcom,

Inc.

.....................................

United

States

10,993

3,804,677

NVIDIA

Corp.

......................................

United

States

92,072

17,171,428

Taiwan

Semiconductor

Manufacturing

Co.

Ltd.

,

ADR

.........

Taiwan

41,204

12,521,484

38,003,546

#### Software

#### 6.9%
Intuit,

Inc.

.........................................

United

States

8,413

5,572,939

Microsoft

Corp.

.....................................

United

States

34,577

16,722,129

Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Templeton

#### Growth

#### VIP

#### Fund
(continued)

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

a

a

#### Country

#### Shares
a

#### Value
a

a

#### a
a

#### Common

#### Stocks
(continued)

#### Software
(continued)

SAP

SE

..........................................

Germany

13,668

$

3,320,894

25,615,962

#### Technology

#### Hardware,

#### Storage

#### &

#### Peripherals

#### 4.8%
Apple,

Inc.

........................................

United

States

34,448

9,365,033

Samsung

Electronics

Co.

Ltd.

..........................

South

Korea

102,736

8,610,808

17,975,841

#### Textiles,

#### Apparel

#### &

#### Luxury

#### Goods

#### 3.7%
LVMH

Moet

Hennessy

Louis

Vuitton

SE

..................

France

9,761

7,357,215

NIKE,

Inc.

,

B

.......................................

United

States

101,634

6,475,102

13,832,317

#### Trading

#### Companies

#### &

#### Distributors

#### 1.5%
Ferguson

Enterprises,

Inc.

............................

United

States

24,152

5,376,960

#### Total

#### Common

#### Stocks

#### (Cost

#### $

#### 276,784,601

####)
...................................

#### 360,657,342

#### Short

#### Term

#### Investments

#### 5.0%
a

a

#### Country

#### Principal

#### Amount

#### \*
a

#### Value
a

a

#### a
a

#### Time

#### Deposits

#### 2.9%
National

Bank

of

Canada

,

3.58 %

,

1/02/26

.................

Canada

5,000,000

5,000,000

Royal

Bank

of

Canada

,

3.6 %

,

1/02/26

....................

Canada

5,800,000

5,800,000

#### Total

#### Time

#### Deposits

#### (Cost

#### $

#### 10,800,000

####)
......................................

#### 10,800,000

#### Shares
d

#### Investments

#### from

#### Cash

#### Collateral

#### Received

#### for

#### Loaned

#### Securities

#### 2.1%

#### Money

#### Market

#### Funds

#### 2.1%
e,f

Franklin

Institutional

U.S.

Government

Money

Market

Fund

,

3.681 %

.........................................

United

States

7,700,939

7,700,939

#### Total

#### Investments

#### from

#### Cash

#### Collateral

#### Received

#### for

#### Loaned

#### Securities

#### (Cost

#### $

#### 7,700,939

####)
..........................................................

#### 7,700,939

#### Total

#### Short

#### Term

#### Investments

#### (Cost

#### $

#### 18,500,939

####)
..............................

#### 18,500,939

#### a

#### Total

#### Investments

#### (Cost

#### $

#### 295,285,540

####)
102.2 #### %
................................

#### $379,158,281

#### Other

#### Assets,

#### less

#### Liabilities

#### (2.2 ####)

#### %
.........................................

#### (8,214,193)

#### Net

#### Assets

#### 100.0%

#### .........................................................

#### $370,944,088

#### a
Franklin

Templeton

Variable

Insurance

Products

Trust

Schedule

of

Investments

#### Templeton

#### Growth

#### VIP

#### Fund
(continued)

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

See

Abbreviations

on

page

20. \*

The

principal

amount

is

stated

in

U.S.

dollars

unless

otherwise

indicated.

a

Non-income

producing.

b

A

portion

or

all

of

the

security

is

on

loan

at

December

31,

2025. See

Note

1(c).

c

Variable

interest

entity

(VIE).

See

Note

regarding

investments

made

through

a

VIE

structure.

At

December

31,

2025,

the

value

of

this

security

was

$4,642,984,

represent-

ing

1.3%

of

net

assets.

d

See

Note

1(c)

regarding

securities

on

loan.

e

See

Note

3(e)

regarding

investments

in

affiliated

management

investment

companies.

f

The

rate

shown

is

the

annualized

seven-day

effective

yield

at

period

end.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Assets

and

Liabilities

December

31,

2025

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Templeton

#### Growth

#### VIP

#### Fund
Assets:

Investments

in

securities:

Cost

-

Unaffiliated

issuers

...................................................................

$287,584,601

Cost

-

Non-controlled

affiliates

(Note

e)

........................................................

7,700,939

Value

-

Unaffiliated

issuers

(Includes

securities

loaned

of

$

18,578,758)

.................................

$371,457,342

Value

-

Non-controlled

affiliates

(Note

e)

.......................................................

7,700,939

Cash

....................................................................................

69,586

Receivables:

Capital

shares

sold

........................................................................

Dividends

and

interest

.....................................................................

560,931

European

Union

tax

reclaims

(Note

d)

.........................................................

173,685

Total

assets

..........................................................................

379,962,896

Liabilities:

Payables:

Investment

securities

purchased

..............................................................

652,324

Capital

shares

redeemed

...................................................................

136,256

Management

fees

.........................................................................

250,741

Distribution

fees

..........................................................................

71,942

Trustees'

fees

and

expenses

.................................................................

Payable

upon

return

of

securities

loaned

(Note

c)

..................................................

7,700,939

Deferred

taxes

on

unrealized

appreciation

........................................................

126,257

Accrued

expenses

and

other

liabilities

...........................................................

80,273

Total

liabilities

.........................................................................

9,018,808

Net

assets,

at

value

.................................................................

$370,944,088

Net

assets

consist

of:

Paid-in

capital

.............................................................................

$230,616,085

Total

distributable

earnings

(losses)

.............................................................

140,328,003

Net

assets,

at

value

.................................................................

$370,944,088

#### Templeton

#### Growth

#### VIP

#### Fund

#### Class

#### 1:
Net

assets,

at

value

.......................................................................

$37,947,704

Shares

outstanding

........................................................................

2,614,737

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$14.51

#### Class

#### 2:
Net

assets,

at

value

.......................................................................

$319,119,478

Shares

outstanding

........................................................................

22,550,256

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$14.15

#### Class

#### 4:
Net

assets,

at

value

.......................................................................

$13,876,906

Shares

outstanding

........................................................................

961,447

Net

asset

value

and

maximum

offering

price

per

share

a

.............................................

$14.43

a

Net

asset

value

per

share

may

not

recalculate

due

to

rounding.

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statement

of

Operations

for

the

year

ended

December

31,

2025

franklintempleton.com

Annual

Report

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

#### Templeton

#### Growth

#### VIP

#### Fund
Investment

income:

Dividends:

(net

of

foreign

taxes

of

$271,448)

Unaffiliated

issuers

........................................................................

$5,685,146

Interest:

Unaffiliated

issuers

........................................................................

611,563

Income

from

securities

loaned:

Unaffiliated

entities

(net

of

fees

and

rebates)

.....................................................

(5,656)

Non-controlled

affiliates

(Note

e)

.............................................................

21,530

Other

income

(Note

d)

......................................................................

4,594

Total

investment

income

...................................................................

6,317,177

Expenses:

Management

fees

(Note

a)

...................................................................

3,241,190

Distribution

fees:

(Note

3c)

Class

................................................................................

779,169

Class

................................................................................

49,108

Custodian

fees

............................................................................

5,957

Reports

to

shareholders

fees

..................................................................

20,055

Professional

fees

...........................................................................

90,870

Trustees'

fees

and

expenses

..................................................................

4,066

Other

....................................................................................

35,881

Total

expenses

.........................................................................

4,226,296

Expenses

waived/paid

by

affiliates

(Note

e

and

f)

..............................................

(255,226)

Net

expenses

.........................................................................

3,971,070

Net

investment

income

................................................................

2,346,107

Realized

and

unrealized

gains

(losses):

Net

realized

gain

(loss)

from:

Investments:

(net

of

foreign

taxes

of

$755,738)

Unaffiliated

issuers

......................................................................

55,675,933

Foreign

currency

transactions

................................................................

34,018

Net

realized

gain

(loss)

..................................................................

55,709,951

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments:

Unaffiliated

issuers

......................................................................

18,482,696

Translation

of

other

assets

and

liabilities

denominated

in

foreign

currencies

..............................

46,912

Change

in

deferred

taxes

on

unrealized

appreciation

...............................................

538,187

Net

change

in

unrealized

appreciation

(depreciation)

............................................

19,067,795

Net

realized

and

unrealized

gain

(loss)

............................................................

74,777,746

Net

increase

(decrease)

in

net

assets

resulting

from

operations

..........................................

$77,123,853

Franklin

Templeton

Variable

Insurance

Products

Trust

Financial

Statements

Statements

of

Changes

in

Net

Assets

franklintempleton.com

The

accompanying

notes

are

an

integral

part

of

these

financial

statements.

Annual

Report

#### Templeton

#### Growth

#### VIP

#### Fund

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024
Increase

(decrease)

in

net

assets:

Operations:

Net

investment

income

.................................................

$2,346,107

$3,473,292

Net

realized

gain

(loss)

.................................................

55,709,951

28,211,786

Net

change

in

unrealized

appreciation

(depreciation)

...........................

19,067,795

(10,749,072)

Net

increase

(decrease)

in

net

assets

resulting

from

operations

................

77,123,853

20,936,006

Distributions

to

shareholders:

Class

.............................................................

(3,009,419)

(531,254)

Class

.............................................................

(26,479,356)

(4,139,710)

Class

.............................................................

(1,144,393)

(176,753)

Total

distributions

to

shareholders

..........................................

(30,633,168)

(4,847,717)

Capital

share

transactions:

(Note

2)

Class

.............................................................

(552,786)

(2,621,281)

Class

.............................................................

(23,779,437)

(44,164,595)

Class

.............................................................

(2,408,636)

(2,902,918)

Total

capital

share

transactions

............................................

(26,740,859)

(49,688,794)

Net

increase

(decrease)

in

net

assets

...................................

19,749,826

(33,600,505)

Net

assets:

Beginning

of

year

.......................................................

351,194,262

384,794,767

End

of

year

...........................................................

$370,944,088

$351,194,262

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

#### Templeton

#### Growth

#### VIP

#### Fund

franklintempleton.com

Annual

Report

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
Franklin

Templeton

Variable

Insurance

Products

Trust

(Trust)

is

registered

under

the

Investment

Company

Act

of

1940

(1940

Act)

as

an

open-end

management

investment

company,

consisting

of seventeen separate

funds.

The Trust

follows the

accounting

and

reporting

guidance

in

Financial

Accounting

Standards

Board

(FASB)

Accounting

Standards

Codification

Topic

946,

Financial

Services

–

Investment

Companies

(ASC

946)

and

applies

the

specialized

accounting

and

reporting

guidance

in

U.S.

Generally

Accepted

Accounting

Principles

(U.S.

GAAP),

including,

but

not

limited

to,

ASC

946. Templeton

Growth

VIP

Fund

(Fund)

is

included

in

this

report.

Shares

of

the

Fund

are

generally

sold

only

to

insurance

company

separate

accounts

to

fund

the

benefits

of

variable

life

insurance

policies

or

variable

annuity

contracts. At

December

31,

2025,

40.4%

of

the

Fund's

shares

were

held

through

one

insurance

company.

Investment

activities

of

these

insurance

company

separate

accounts

could

have

a

material

impact

on

the

Fund.

The

Fund

offers three classes

of

shares:

Class

1,

Class

and

Class

4. Each

class

of

shares

may

differ

by

its

distribution

fees,

voting

rights

on

matters

affecting

a

single

class

and

its

exchange

privilege.

The

following

summarizes

the Fund's

significant

accounting

policies.

a. #### Financial

#### Instrument

#### Valuation
The

Fund's

investments

in

financial

instruments

are

carried

at

fair

value

daily.

Fair

value

is

the

price

that

would

be

received

to

sell

an

asset

or

paid

to

transfer

a

liability

in

an

orderly

transaction

between

market

participants

on

the

measurement

date.

The

Fund

calculates

the

net

asset

value

(NAV)

per

share

each business

day as

of

p.m.

Eastern

time

or

the

regularly

scheduled

close

of

the

New

York

Stock

Exchange

(NYSE),

whichever

is

earlier.

Under

compliance

policies

and

procedures

approved

by

the Trust's

Board

of

Trustees

(the

Board),

the

Board

has

designated

the

Fund's

investment

manager

as

the

valuation

designee

and

has

responsibility

for

oversight

of

valuation.

The

investment

manager

is

assisted

by

the

Fund's

administrator

in

performing

this

responsibility,

including

leading

the

cross-

functional

Valuation

Committee

(VC).

The

Fund

may

utilize

independent

pricing

services,

quotations

from

securities

and

financial

instrument

dealers,

and

other

market

sources

to

determine

fair

value.

Equity

securities

listed

on

an

exchange

or

on

the

NASDAQ

National

Market

System

are

valued

at

the

last

quoted

sale

price

or

the

official

closing

price of

the

day,

respectively.

Foreign

equity

securities

are

valued

as

of

the

close

of

trading

on

the

foreign

stock

exchange

on

which

the

security

is

primarily

traded,

or

as

of

p.m.

Eastern

time.

The

value

is

then

converted

into

its

U.S.

dollar

equivalent

at

the

foreign

exchange

rate

in

effect

at

p.m.

Eastern

time

on

the

day

that

the

value

of

the

security

is

determined.

Over-the-counter

(OTC)

securities

are

valued

within

the

range

of

the

most

recent

quoted

bid

and

ask

prices.

Securities

that

trade

in

multiple

markets

or

on

multiple

exchanges

are

valued

according

to

the

broadest

and

most

representative

market.

Certain

equity

securities

are

valued

based

upon

fundamental

characteristics

or

relationships

to

similar

securities.

Investments

in open-end mutual

funds

are

valued

at

the

closing

NAV.

Investments

in time

deposits are

valued

at

cost,

which

approximates

fair

value.

The

Fund

has

procedures

to

determine

the

fair

value

of

financial

instruments

for

which

market

prices

are

not

reliable

or

readily

available.

Under

these

procedures,

the Fund

primarily

employs

a

market-based

approach

which

may

use

related

or

comparable

assets

or

liabilities,

recent

transactions,

market

multiples,

and

other

relevant

information

for

the

investment

to

determine

the

fair

value

of

the

investment.

An

income-based

valuation

approach

may

also

be

used

in

which

the

anticipated

future

cash

flows

of

the

investment

are

discounted

to

calculate

fair

value.

Discounts

may

also

be

applied

due

to

the

nature

or

duration

of

any

restrictions

on

the

disposition

of

the

investments.

Due

to

the

inherent

uncertainty

of

valuations

of

such

investments,

the

fair

values

may

differ

significantly

from

the

values

that

would

have

been

used

had

an

active

market

existed.

Trading

in

securities

on

foreign

securities

stock

exchanges

and

OTC

markets

may

be

completed

before

p.m.

Eastern

time.

In

addition,

trading

in

certain

foreign

markets

may

not

take

place

on

every

Fund's

business

day. Events

can occur

between

the

time

at

which

trading

in

a

foreign

security

is

completed

and

p.m.

Eastern

time

that

might

call

into

question

the

reliability

of

the

value

of

a

portfolio

security

held

by

the

Fund.

As

a

result,

differences

may

arise

between

the

value

of

the

Fund's

portfolio

securities

as

determined

at

the

foreign

market

close

and

the

latest

indications

of

value

at

p.m.

Eastern

time. In

order

to

minimize

the

potential

for

these

differences,

an

independent

pricing

service

may

be

used

to

adjust

the

value

of

the

Fund's

portfolio

securities

to

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Growth

#### VIP

#### Fund
(continued)

the

latest

indications

of

fair

value

at

p.m.

Eastern

time.

At

December

31,

2025,

certain

securities

may

have

been

fair

valued

using

these

procedures,

in

which

case

the

securities

were

categorized

as

Level

within

the

fair

value

hierarchy

(referred

to

as

"market

level

fair

value").

See

the

Fair

Value

Measurements

note

for

more

information.

When

the

last

day

of

the

reporting

period

is

a

non-business

day,

certain

foreign

markets

may

be

open

on

those

days

that

the

Fund's

NAV

is

not

calculated,

which

could

result

in

differences

between

the

value

of

the

Fund's

portfolio

securities

on

the

last

business

day

and

the

last

calendar

day

of

the

reporting

period.

Any

security

valuation

changes

due

to

an

open

foreign

market

are

adjusted

and

reflected

by

the

Fund

for

financial

reporting

purposes.

b. #### Foreign

#### Currency

#### Translation
Portfolio

securities

and

other

assets

and

liabilities

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

based

on

the

exchange

rate

of

such

currencies

against

U.S.

dollars

on

the

date

of

valuation.

The

Fund

may

enter

into

foreign

currency

exchange

contracts

to

facilitate

transactions

denominated

in

a

foreign

currency.

Purchases

and

sales

of

securities,

income

and

expense

items

denominated

in

foreign

currencies

are

translated

into

U.S.

dollars

at

the

exchange

rate

in

effect

on

the

transaction

date.

Portfolio

securities

and

assets

and

liabilities

denominated

in

foreign

currencies

contain

risks

that

those

currencies

will

decline

in

value

relative

to

the

U.S.

dollar.

Occasionally,

events

may

impact

the

availability

or

reliability

of

foreign

exchange

rates

used

to

convert

the

U.S.

dollar

equivalent

value.

If

such

an

event

occurs,

the

foreign

exchange

rate

will

be

valued

at

fair

value

using

procedures

established

and

approved

by

the

Board.

The

Fund

does

not

separately

report

the

effect

of

changes

in

foreign

exchange

rates

from

changes

in

market

prices

on

securities

held.

Such

changes

are

included

in

net

realized

and

unrealized

gain

or

loss

from

investments

in

the

Statement of

Operations.

Realized

foreign

exchange

gains

or

losses

arise

from

sales

of

foreign

currencies,

currency

gains

or

losses

realized

between

the

trade

and

settlement

dates

on

securities

transactions

and

the

difference

between

the

recorded

amounts

of

dividends,

interest,

and

foreign

withholding

taxes

and

the

U.S.

dollar

equivalent

of

the

amounts

actually

received

or

paid.

Net

unrealized

foreign

exchange

gains

and

losses

arise

from

changes

in

foreign

exchange

rates

on

foreign

denominated

assets

and

liabilities

other

than

investments

in

securities

held

at

the

end

of

the

reporting

period.

c. #### Securities

#### Lending
The

Fund

participates

in

an

agency

based

securities

lending

program

to

earn

additional

income.

The

Fund

receives

collateral

in

the

form

of

cash

and/or

U.S.

Government

and

Agency

securities

against

the

loaned

securities

in

an

amount

equal

to

at

least

102%

of

the

fair

value

of

the

loaned

securities.

Collateral

is

maintained

over

the

life

of

the

loan

in

an

amount

not

less

than

100%

of

the

fair

value

of

loaned

securities,

as

determined

at

the

close

of

Fund

business

each

day;

any

additional

collateral

required

due

to

changes

in

security

values

is

delivered

to

the

Fund

on

the

next

business

day.

Any

cash

collateral

received

is

deposited

into

a

joint

cash

account

with

other

funds

and

is

used

to

invest

in

a

money

market

fund

managed

by

Franklin

Advisers,

Inc.,

an

affiliate

of

the

Fund.

Additionally,

at

December

31,

2025,

the

Fund

held

$11,779,510

in

U.S.

Government

and

Agency

securities

as

collateral.

These

securities

are

held

as

collateral

in

segregated

accounts

with

the

Fund's

custodian.

The

Fund

cannot

repledge

or

resell

these

securities

held

as

collateral.

As

such,

the

non-cash

collateral

is

excluded

from

the

Statement

of

Assets

and

Liabilities. The

Fund

may

receive

income

from

the

investment

of

cash

collateral,

in

addition

to

lending

fees paid

by

the

borrower.

Income

from

securities

loaned,

net

of

fees

paid

to

the

securities

lending

agent

and/or

third-party

vendor,

is

reported

separately

in

the Statement of

Operations.

The

Fund

bears

the

market

risk

with

respect

to

any

cash

collateral

investment,

securities

loaned,

and

the

risk

that

the

agent

may

default

on

its

obligations

to

the

Fund.

If

the

borrower

defaults

on

its

obligation

to

return

the

securities

loaned,

the

Fund

has

the

right

to

repurchase

the

securities

in

the

open

market

using

the

collateral

received.

The

securities

lending

agent

has

agreed

to

indemnify

the

Fund

in

the

event

of

default

by

a

third

party

borrower.

Securities

on

loan

outstanding

at

period

end,

if

any,

are

listed

in

the

Fund's

Schedule

of

Investments.

d. #### Income

#### and

#### Deferred

#### Taxes
It

is the Fund's

policy

to

qualify

as

a

regulated

investment

company

under

the

Internal

Revenue

Code. The Fund

intends

to

distribute

to

shareholders

substantially

all

of

its

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

a. #### Financial

#### Instrument

#### Valuation
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Growth

#### VIP

#### Fund
(continued)

taxable

income

and

net

realized

gains

to

relieve

it

from

federal

income

and if

applicable,

excise

taxes.

As

a

result,

no

provision

for

U.S.

federal

income

taxes

is

required.

The

Fund

may

be

subject

to

foreign

taxation

related

to

income

received,

capital

gains

on

the

sale

of

securities

and

certain

foreign

currency

transactions

in

the

foreign

jurisdictions

in

which

it

invests.

Foreign

taxes,

if

any,

are

recorded

based

on

the

tax

regulations

and

rates

that

exist

in

the

foreign

markets

in

which

the

Fund

invests.

When

a

capital

gain

tax

is

determined

to

apply,

the

Fund

records

an

estimated

deferred

tax

liability

in

an

amount

that

would

be

payable

if

the

securities

were

disposed

of

on

the

valuation

date.

As

a

result

of

several

court

cases,

in

certain

countries

across

the

European

Union,

the

Fund

filed

additional

tax

reclaims

for

previously

withheld

taxes

on

dividends

earned

in

those

countries

(EU

reclaims). Income

recognized,

if

any,

for

EU

reclaims

is

reflected

as

other

income

in

the

Statement

of

Operations

and

any

related

receivable,

if

any,

is

reflected

as

European

Union

tax

reclaims

in

the

Statement

of

Assets

and

Liabilities.

Any

fees

associated

with

these

filings

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

When

uncertainty

exists

as

to

the

ultimate

resolution

of

these

proceedings,

the

likelihood

of

receipt

of

these

EU

reclaims,

and

the

potential

timing

of

payment,

no

amounts

are

reflected

in

the

financial

statements.

For

U.S.

income

tax

purposes,

when

EU

reclaims

are

received

by

the

Fund

and

the

Fund

previously

passed

foreign

tax

credit

on

to

its

shareholders,

the

Fund

will

enter

into

a

closing

agreement

with

the

Internal

Revenue

Service

(IRS)

in

order

to

pay

the

associated

tax

liability

on

behalf

of

the

Fund's

shareholders.

The Fund

may

recognize

an

income

tax

liability

related

to

its

uncertain

tax

positions

under

U.S.

GAAP

when

the

uncertain

tax

position

has

a

less

than

50%

probability

that

it

will

be

sustained

upon

examination

by

the

tax

authorities

based

on

its

technical

merits.

As

of

December

31,

2025, the Fund

has

determined

that

no

tax

liability

is

required

in

its

financial

statements

related

to

uncertain

tax

positions

for

any

open

tax

years

(or

expected

to

be

taken

in

future

tax

years).

The

Fund's

federal

and

state

income

and

federal

excise

tax

returns

for

the

prior

three

fiscal

years

are

subject

to

examination

by

the

Internal

Revenue

Service

and

state

departments

of

revenue.

e. #### Security

#### Transactions,

#### Investment

#### Income,

#### Expenses

#### and

#### Distributions
Security

transactions

are

accounted

for

on

trade

date.

Realized

gains

and

losses

on

security

transactions

are

determined

on

a

specific

identification

basis. Interest

income

(including

interest

income

from

payment-in-kind

securities,

if

any)

and

estimated

expenses

are

accrued

daily.

Dividend

income

is

recorded

on

the

ex-dividend

date

except

for

certain

dividends

from

securities

where

the

dividend

rate

is

not

available.

In

such cases,

the

dividend

is

recorded

as

soon

as

the

information

is

received

by

the

Fund. Distributions

to

shareholders

are recorded

on

the

ex-dividend

date.

Distributable

earnings

are

determined

according

to

income

tax

regulations

(tax

basis)

and

may

differ

from

earnings

recorded

in

accordance

with

U.S.

GAAP.

These

differences

may

be

permanent

or

temporary.

Permanent

differences

are

reclassified

among

capital

accounts

to

reflect

their

tax

character.

These

reclassifications

have

no

impact

on

net

assets

or

the

results

of

operations.

Temporary

differences

are

not

reclassified,

as

they

may

reverse

in

subsequent

periods.

Common

expenses

incurred

by

the

Trust

are

allocated

among

the

Funds

based

on

the

ratio

of

net

assets

of

each

Fund

to

the

combined

net

assets

of

the

Trust

or

based

on

the

ratio

of

number

of

shareholders

of

each

Fund

to

the

combined

number

of

shareholders

of

the

Trust.

Fund

specific

expenses

are

charged

directly

to

the

Fund

that

incurred

the

expense.

Realized

and

unrealized

gains

and

losses

and

net

investment

income,

excluding

class

specific

expenses,

are

allocated

daily

to

each

class

of

shares

based

upon

the

relative

proportion

of

net

assets

of

each

class.

Differences

in

per

share

distributions

by

class

are

generally

due

to

differences

in

class

specific

expenses.

f. #### Accounting

#### Estimates
The

preparation

of

financial

statements

in

accordance

with

U.S.

GAAP

requires

management

to

make

estimates

and

assumptions

that

affect

the

reported

amounts

of

assets

and

liabilities

at

the

date

of

the

financial

statements

and

the

amounts

of

income

and

expenses

during

the

reporting

period.

Actual

results

could

differ

from

those

estimates.

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

d. #### Income

#### and

#### Deferred

#### Taxes
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Growth

#### VIP

#### Fund
(continued)

g. #### Guarantees

#### and

#### Indemnifications
Under

the Trust's

organizational

documents,

its

officers

and trustees

are

indemnified

by

the Trust against

certain

liabilities

arising

out

of

the

performance

of

their

duties

to

the

Trust.

Additionally,

in

the

normal

course

of

business,

the Trust,

on

behalf

of

the

Fund, enters

into

contracts

with

service

providers

that

contain

general

indemnification

clauses.

The Trust's

maximum

exposure

under

these

arrangements

is

unknown

as

this

would

involve

future

claims

that

may

be

made

against

the Trust

that

have

not

yet

occurred.

Currently,

the Trust

expects

the

risk

of

loss

to

be

remote.

2. #### Shares

#### of

#### Beneficial

#### Interest
At

December

31,

2025,

there

were

an

unlimited

number

of

shares

authorized

(without

par

value).

Transactions

in

the

Fund's

shares

were

as

follows:

3. #### Transactions

#### with

#### Affiliates
Franklin

Resources,

Inc.

is

the

holding

company

for

various

subsidiaries

that

together

are

referred

to

as

Franklin

Templeton.

Certain

officers

and trustees

of

the Fund are

also

officers

and/or directors

of

the

following

subsidiaries:

#### Year

#### Ended

#### December

#### 31,

#### 2025

#### Year

#### Ended

#### December

#### 31,

#### 2024

#### Shares

#### Amount

#### Shares

#### Amount

#### Class

#### 1

#### Shares:
Shares

sold

...................................

27,669

$359,446

70,226

$909,757

Shares

issued

in

reinvestment

of

distributions

..........

233,288

3,009,419

40,992

531,254

Shares

redeemed

...............................

(290,845)

(3,921,651)

(314,174)

(4,062,292)

Net

increase

(decrease)

..........................

(29,888)

$(552,786)

(202,956)

$(2,621,281)

#### Class

#### 2

#### Shares:
Shares

sold

...................................

1,218,777

$16,047,429

656,666

$8,308,166

Shares

issued

in

reinvestment

of

distributions

..........

2,103,206

26,479,356

326,475

4,139,710

Shares

redeemed

...............................

(5,056,908)

(66,306,222)

(4,499,430)

(56,612,471)

Net

increase

(decrease)

..........................

(1,734,925)

$(23,779,437)

(3,516,289)

$(44,164,595)

#### Class

#### 4

#### Shares:
Shares

sold

...................................

8,604

$111,321

48,727

$627,969

Shares

issued

in

reinvestment

of

distributions

..........

89,058

1,144,393

13,691

176,753

Shares

redeemed

...............................

(272,166)

(3,664,350)

(289,492)

(3,707,640)

Net

increase

(decrease)

..........................

(174,504)

$(2,408,636)

(227,074)

$(2,902,918)

#### Subsidiary

#### Affiliation
Templeton

Global

Advisors

Limited

(Global

Advisors)

Investment

manager

Templeton

Asset

Management

Ltd.

(TAML)

Subadvisor

Franklin

Templeton

Services,

LLC

(FT

Services)

Administrative

manager

Franklin

Distributors,

LLC

(Distributors)

Principal

underwriter

Franklin

Templeton

Investor

Services,

LLC

(Investor

Services)

Transfer

agent

1. #### Organization

#### and

#### Significant

#### Accounting

#### Policies
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Growth

#### VIP

#### Fund
(continued)

a. #### Management

#### Fees
The

Fund

pays

an

investment

management fee,

calculated

daily and

paid

monthly,

to

Global

Advisors based

on the

average

daily

net

assets

of

the

Fund

as

follows:

For

the

year

ended

December

31,

2025,

the

gross

effective

investment

management

fee

rate

was 0.897%

of

the

Fund's

average daily

net

assets.

Under

a

subadvisory

agreement,

TAML,

an

affiliate

of

Global

Advisors,

provides

subadvisory

services

to

the

Fund.

The

subadvisory

fee

is

paid

by Global

Advisors based

on

the

Fund's

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Fund.

Effective

August

1,

2025,

the

subadvisory

agreement

was

terminated

for

TAML.

b. #### Administrative

#### Fees
Under

an

agreement

with

Global

Advisors,

FT

Services

provides

administrative

services

to

the

Fund.

The

fee

is

paid

by

Global Advisors

based

on

the

Fund's

average

daily

net

assets,

and

is

not

an

additional

expense

of

the

Fund.

c. #### Distribution

#### Fees
The

Board

has

adopted distribution

plans

for

Class

2 and

Class

shares

pursuant

to

Rule

12b-1

under

the

1940

Act.

Under

the

Fund's

compensation

distribution

plans,

the

Fund

pays

Distributors

for

costs

incurred

in

connection

with

the

servicing,

sale

and

distribution

of

the

Fund's

shares

up

to

0.35%

per

year

of

its

average

daily

net

assets

of

each

class.

The

Board

has

agreed

to

limit

the

current

rate

to

0.25%

per

year

for

Class

2. The

plan

year,

for

purposes

of

monitoring

compliance

with

the

maximum

annual

plan

rates,

is

February

through

January

31. d. #### Transfer

#### Agent

#### Fees
Investor

Services,

under

terms

of

an

agreement,

performs

shareholder

servicing

for

the

Fund and

is

not

paid

by

the Fund

for

the

services.

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
The

Fund

invests

in

one

or

more

affiliated

management

investment

companies.

As

defined

in

the

1940

Act,

an

investment

is

deemed

to

be

a

"Controlled

Affiliate"

of

a

fund

when

a

fund

owns,

either

directly

or

indirectly,

25%

or

more

of

the

affiliated

fund's

outstanding

shares

or

has

the

power

to

exercise

control

over

management

or

policies

of

such

fund.

The

Fund

does

not

invest

for

purposes

of

exercising

a

controlling

influence

over

the

management

or

policies.

Management

fees

paid

by

the

Fund

are

waived

on

assets

invested

in

the

affiliated

management

investment

companies,

as

noted

in

the

Statement

of

Operations,

#### Annualized

#### Fee

#### Rate

#### Net

#### Assets
1.000%

Up

to

and

including

$100

million

0.900%

Over

$100

million,

up

to

and

including

$250

million

0.800%

Over

$250

million,

up

to

and

including

$500

million

0.750%

Over

$500

million,

up

to

and

including

$1

billion

0.700%

Over

$1

billion,

up

to

and

including

$5

billion

0.675%

Over

$5

billion,

up

to

and

including

$10

billion

0.655%

Over

$10

billion,

up

to

and

including

$15

billion

0.635%

Over

$15

billion,

up

to

and

including

$20

billion

0.615%

In

excess

of

$20

billion

3. #### Transactions

#### with

#### Affiliates
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Growth

#### VIP

#### Fund
(continued)

in

an

amount

not

to

exceed

the

management

and

administrative

fees,

if

applicable, paid

directly

or

indirectly

by

each

affiliate.

During

the

year

ended

December

31,

2025,

the

Fund

held

investments

in

affiliated

management

investment

companies

as

follows:

f. #### Waiver

#### and

#### Expense

#### Reimbursements
Global

Advisors

has

contractually

agreed

in

advance

to

waive

or

limit

its

fees

and

to

assume

as

its

own

expense

certain

expenses

otherwise

payable

by

the

Fund

so

that

the

operating

expenses

(excluding

interest

expense,

distribution

fees,

acquired

fund

fees

and

expenses,

and

certain

non-routine

expenses

or

costs,

including

those

relating

to

litigation,

indemnification,

reorganizations,

and

liquidations)

for

each

class

of

the

Fund

do

not

exceed

0.87%

based

on

the

average

net

assets

of

each

class

until

April

30,

2026. Total

expenses

waived

or

paid

are

not

subject

to

recapture

subsequent

to

the

Fund's

fiscal

year

end.

4. #### Income

#### Taxes
The

tax

character

of

distributions

paid

during

the

years

ended

December

31,

2025

and

2024,

was

as

follows:

At

December

31,

2025,

the

cost

of

investments,

net

unrealized

appreciation

(depreciation),

undistributed

ordinary

income

and

undistributed

long

term

capital

gains for

income

tax

purposes

were

as

follows:

#### &nbsp;&nbsp;&nbsp;&nbsp;aa

#### Value

#### at

#### Beginning

#### of

#### Year

#### Purchases

#### Sales

#### Realized

#### Gain
(Loss)

#### Net

#### Change

#### in

#### Unrealized

#### Appreciation
(Depreciation)

#### Value

#### at

#### End

#### of

#### Year

#### Number

#### of

#### Shares

#### Held

#### at

#### End

#### of

#### Year

#### Investment

#### Income

#### a&nbsp;&nbsp;&nbsp;&nbsp;

#### a

#### Templeton

#### Growth

#### VIP

#### Fund

#### Non-Controlled

#### Affiliates
Income

from

securities

loaned

Franklin

Institutional

U.S.

Government

Money

Market

Fund,

3.681%

............

$—

$32,329,608

$(24,628,669)

$—

$—

$7,700,939

7,700,939

$21,530

#### Total

#### Affiliated

#### Securities

#### ...
$—

$32,329,608

$(24,628,669)

$—

$—

$7,700,939

$21,530

#### 2025

#### 2024
Distributions

paid

from:

Ordinary

income

..........................................................

$3,259,273

$4,481,139

Long

term

capital

gain

......................................................

27,373,895

366,578

$30,633,168

$4,847,717

Cost

of

investments

..........................................................................

$295,808,490

Unrealized

appreciation

........................................................................

$88,495,390

Unrealized

depreciation

........................................................................

(5,145,599)

Net

unrealized

appreciation

(depreciation)

..........................................................

$83,349,791

3. #### Transactions

#### with

#### Affiliates
(continued)

e. #### Investments

#### in

#### Affiliated

#### Management

#### Investment

#### Companies
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Growth

#### VIP

#### Fund
(continued)

Differences

between

income

and/or

capital

gains

as

determined

on

a

book

basis

and

a

tax

basis

are

primarily

due

to

differing

treatments

of

wash

sales,

foreign

capital

gains

tax

and

corporate

actions.

5. #### Investment

#### Transactions
Purchases

and

sales

of

investments (excluding

short

term

securities) for

the

year

ended

December

31,

2025,

aggregated

$271,455,112 and

$324,262,373,

respectively.

6. #### Concentration

#### of

#### Risk
Investing

in

foreign

securities

may

include

certain

risks

and

considerations

not

typically

associated

with

investing

in

U.S.

securities,

such

as

fluctuating

currency

values

and

changing

local,

regional

and

global

economic,

political

and

social

conditions,

which

may

result

in

greater

market

volatility.

Political

and

financial

uncertainty

in

many

foreign

regions

may

increase

market

volatility

and

the

economic

risk

of

investing

in

foreign

securities.

In

addition,

certain

foreign

securities

may

not

be

as

liquid

as

U.S.

securities.

Certain

investments

in

Chinese

companies

are

made

through

a

special

structure

known

as

a

VIE.

In

a

VIE

structure,

foreign

investors,

such

as

the

Fund,

will

only

own

stock

in

a

shell

company

rather

than

directly

in

the

VIE,

which

must

be

owned

by

Chinese

nationals

(and/or

Chinese

companies)

to

obtain

the

licenses

and/or

assets

required

to

operate

in

a

restricted

or

prohibited

sector

in

China.

The

value

of

the

shell

company

is

derived

from

its

ability

to

consolidate

the

VIE

into

its

financials

pursuant

to

contractual

arrangements

that

allow

the

shell

company

to

exert

a

degree

of

control

over,

and

obtain

economic

benefits

arising

from,

the

VIE

without

formal

legal

ownership.

While

VIEs

are

a

longstanding

industry

practice

and

are

well

known

by

Chinese

officials

and

regulators,

the

structure

historically

has

not

been

formally

recognized

under

Chinese

law

and

it

is

uncertain

whether

Chinese

officials

or

regulators

will

withdraw

their

implicit

acceptance

of

the

structure.

It

is

also

uncertain

whether

the

contractual

arrangements,

which

may

be

subject

to

conflicts

of

interest

between

the

legal

owners

of

the

VIE

and

foreign

investors,

would

be

enforced

by

Chinese

courts

or

arbitration

bodies.

Prohibitions

of

these

structures

by

the

Chinese

government,

or

the

inability

to

enforce

such

contracts,

from

which

the

shell

company

derives

its

value,

would

likely

cause

the

VIE-structured

holding(s)

to

suffer

significant,

detrimental,

and

possibly

permanent

losses,

and

in

turn,

adversely

affect

the

Fund's

returns

and

net

asset

value.

7. #### Credit

#### Facility
The

Fund,

together

with

other

U.S.

registered

and

foreign

investment

funds

(collectively,

Borrowers),

managed

by

Franklin

Templeton,

are

borrowers

in

a

joint

syndicated

senior

unsecured

credit

facility

totaling

$2.995

billion

(Global

Credit

Facility)

which

matured

on

January

30,

2026. This

Global

Credit

Facility

provides

a

source

of

funds

to

the

Borrowers

for

temporary

and

emergency

purposes,

including

the

ability

to

meet

future

unanticipated

or

unusually

large

redemption

requests.

Effective

January

30,

2026,

the

Borrowers

renewed

the

Global

Credit

Facility

for

a

one-year

term,

maturing

January

29,

2027,

for

a

total

of

$2.995

billion.

Under

the

terms

of

the

Global

Credit

Facility,

the

Fund

may,

in

addition

to

interest

charged

on

any

borrowings

made

by

the

Fund

and

other

costs

incurred

by

the

Fund,

pay

its

share

of

fees

and

expenses

incurred

in

connection

with

the

implementation

and

maintenance

of

the

Global

Credit

Facility,

based

upon

its

relative

share

of

the

aggregate

net

assets

of

all

of

the

Borrowers,

Distributable

earnings:

Undistributed

ordinary

income

...................................................................

$8,367,135

Undistributed

long

term

capital

gains

..............................................................

49,320,517

Total

distributable

earnings

.....................................................................

$57,687,652

4. #### Income

#### Taxes
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Growth

#### VIP

#### Fund
(continued)

including

an

annual

commitment

fee

of

0.15%

based

upon

the

unused

portion

of

the

Global

Credit

Facility.

These

fees

are

reflected

in

other

expenses

in

the

Statement

of

Operations.

During

the

year

ended

December

31,

2025,

the Fund

did

not

use

the

Global

Credit

Facility.

8. #### Fair

#### Value

#### Measurements
The

Fund

follows

a

fair

value

hierarchy

that

distinguishes

between

market

data

obtained

from

independent

sources

(observable

inputs)

and

the Fund's

own

market

assumptions

(unobservable

inputs).

These

inputs

are

used

in

determining

the

value

of

the

Fund's financial

instruments

and

are

summarized

in

the

following

fair

value

hierarchy:

Level

–

quoted

prices

in

active

markets

for

identical

financial

instruments

Level

–

other

significant

observable

inputs

(including

quoted

prices

for

similar

financial

instruments,

interest

rates,

prepayment

speed,

credit

risk,

etc.)

Level

–

significant

unobservable

inputs

(including

the

Fund's

own

assumptions

in

determining

the

fair

value

of

financial

instruments)

The

input

levels

are

not

necessarily

an

indication

of

the

risk

or

liquidity

associated

with

financial

instruments

at

that

level.

A

summary

of

inputs

used

as

of

December

31,

2025,

in

valuing

the

Fund's assets carried

at

fair

value,

is

as

follows:

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Templeton

#### Growth

#### VIP

#### Fund

#### Assets:
Investments

in

Securities:

a

Common

Stocks

:

Aerospace

&

Defense

...................

$

—

$

23,999,271

$

—

$

23,999,271

Automobiles

..........................

—

3,303,271

—

3,303,271

Banks

...............................

20,153,963

23,770,880

—

43,924,843

Broadline

Retail

.......................

10,718,127

—

—

10,718,127

Building

Products

......................

2,830,504

—

—

2,830,504

Capital

Markets

........................

4,014,883

—

—

4,014,883

Chemicals

...........................

—

4,005,194

—

4,005,194

Construction

&

Engineering

...............

—

6,007,028

—

6,007,028

Construction

Materials

..................

4,903,018

—

—

4,903,018

Containers

&

Packaging

.................

5,211,494

—

—

5,211,494

Electric

Utilities

........................

—

7,163,217

—

7,163,217

Electrical

Equipment

....................

—

13,744,008

—

13,744,008

Electronic

Equipment,

Instruments

&

Components

........................

—

5,027,977

—

5,027,977

Entertainment

.........................

—

4,907,334

—

4,907,334

Financial

Services

......................

4,005,810

—

—

4,005,810

Food

Products

........................

3,859,385

—

—

3,859,385

Ground

Transportation

..................

3,703,706

—

—

3,703,706

Health

Care

Equipment

&

Supplies

.........

7,466,615

3,672,494

—

11,139,109

Health

Care

Providers

&

Services

..........

10,663,871

—

—

10,663,871

Industrial

Conglomerates

................

5,228,997

6,242,627

—

11,471,624

Insurance

............................

—

4,098,710

—

4,098,710

Interactive

Media

&

Services

..............

20,410,964

4,642,984

—

25,053,948

Life

Sciences

Tools

&

Services

............

13,477,816

—

—

13,477,816

Machinery

............................

—

3,727,394

—

3,727,394

Oil,

Gas

&

Consumable

Fuels

.............

—

5,690,475

—

5,690,475

Personal

Care

Products

.................

—

6,569,466

—

6,569,466

Pharmaceuticals

.......................

9,160,572

7,470,661

—

16,631,233

7. #### Credit

#### Facility
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Notes

to

Financial

Statements

franklintempleton.com

Annual

Report

#### Templeton

#### Growth

#### VIP

#### Fund
(continued)

9. #### Operating

#### Segments
The Fund operates

as

a

single

operating

segment,

which

is

an

investment

portfolio.

The

chief

investment

officer

of

the

Fund's

Investment

manager serves

as

the

Chief

Operating

Decision

Maker

("CODM")

and

is

responsible

for

evaluating

the

Fund's

operating

results

and

allocating

resources

in

accordance

with

the

Fund's

investment

strategy.

Internal

reporting

provided

to

the

CODM

aligns

with

the

accounting

policies

and

measurement

principles

used

in

the financial

statements.

For

information

regarding

segment

assets,

segment

profit

or

loss,

and

significant

expenses,

refer

to

the Statement

of

Assets

and

Liabilities

and

the Statement

of

Operations,

along

with

the

related

notes

to

the financial

statements.

The Schedule

of

Investments

provides

details

of

the Fund's investments

that

generate

returns

such

as

interest,

dividends,

and

realized

and

unrealized

gains

or

losses.

Performance

metrics,

including

portfolio

turnover

and

expense

ratios,

are

disclosed

in

the Financial

Highlights.

10. #### Subsequent

#### Events
The Fund

has

evaluated

subsequent

events

through

the

issuance

of

the

financial

statements

and

determined

that

no

events

have

occurred

that

require

disclosure

other

than

those

already

disclosed

in

the

financial

statements.

#### Abbreviations

#### Level

#### 1

#### Level

#### 2

#### Level

#### 3

#### Total

#### Templeton

#### Growth

#### VIP

#### Fund
(continued)

#### Assets:
(continued)

Investments

in

Securities:

a

(continued)

Common

Stocks:

(continued)

Semiconductors

&

Semiconductor

Equipment

.

$

33,497,589

$

4,505,957

$

—

$

38,003,546

Software

.............................

22,295,068

3,320,894

—

25,615,962

Technology

Hardware,

Storage

&

Peripherals

.

9,365,033

8,610,808

—

17,975,841

Textiles,

Apparel

&

Luxury

Goods

..........

6,475,102

7,357,215

—

13,832,317

Trading

Companies

&

Distributors

..........

5,376,960

—

—

5,376,960

Short

Term

Investments

...................

7,700,939

10,800,000

—

18,500,939

Total

Investments

in

Securities

...........

$210,520,416

$168,637,865

b

$—

$379,158,281

a

For

detailed

categories,

see

the

accompanying

Schedule

of

Investments.

b

Includes

foreign

securities

valued

at

$157,837,865,

which

were

categorized

as

Level

as

a

result

of

the

application

of

market

level

fair

value

procedures.

See

the

Financial

Instrument

Valuation

note

for

more

information.

#### Selected

#### Portfolio

#### ADR
American

Depositary

Receipt

8. #### Fair

#### Value

#### Measurements
(continued)

Franklin

Templeton

Variable

Insurance

Products

Trust

Report

of

Independent

Registered

Public

Accounting

Firm

franklintempleton.com

Annual

Report

To

the

Board

of

Trustees

of

Franklin

Templeton

Variable

Insurance

Products

Trust

and

Shareholders

of

Templeton

Growth

VIP

Fund

#### Opinion

#### on

#### the

#### Financial

#### Statements
We

have

audited

the

accompanying

statement

of

assets

and

liabilities,

including

the

schedule

of

investments,

of

Templeton

Growth

VIP

Fund

(one

of

the

funds

constituting

Franklin

Templeton

Variable

Insurance

Products

Trust,

referred

to

hereafter

as

the

"Fund")

as

of

December

31,

2025,

the

related

statement

of

operations

for

the

year

ended

December

31,

2025,

the

statements

of

changes

in

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025,

including

the

related

notes,

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

(collectively

referred

to

as

the

"financial

statements").

In

our

opinion,

the

financial

statements

present

fairly,

in

all

material

respects,

the

financial

position

of

the

Fund

as

of

December

31,

2025,

the

results

of

its

operations

for

the

year

then

ended,

the

changes

in

its

net

assets

for

each

of

the

two

years

in

the

period

ended

December

31,

2025

and

the

financial

highlights

for

each

of

the

five

years

in

the

period

ended

December

31,

2025

in

conformity

with

accounting

principles

generally

accepted

in

the

United

States

of

America.

#### Basis

#### for

#### Opinion
These

financial

statements

are

the

responsibility

of

the

Fund's

management.

Our

responsibility

is

to

express

an

opinion

on

the

Fund's

financial

statements

based

on

our

audits.

We

are

a

public

accounting

firm

registered

with

the

Public

Company

Accounting

Oversight

Board

(United

States)

(PCAOB)

and

are

required

to

be

independent

with

respect

to

the

Fund

in

accordance

with

the

U.S.

federal

securities

laws

and

the

applicable

rules

and

regulations

of

the

Securities

and

Exchange

Commission

and

the

PCAOB.

We

conducted

our

audits

of

these

financial

statements

in

accordance

with

the

standards

of

the

PCAOB.

Those

standards

require

that

we

plan

and

perform

the

audit

to

obtain

reasonable

assurance

about

whether

the

financial

statements

are

free

of

material

misstatement,

whether

due

to

error

or

fraud.

Our

audits

included

performing

procedures

to

assess

the

risks

of

material

misstatement

of

the

financial

statements,

whether

due

to

error

or

fraud,

and

performing

procedures

that

respond

to

those

risks.

Such

procedures

included

examining,

on

a

test

basis,

evidence

regarding

the

amounts

and

disclosures

in

the

financial

statements.

Our

audits

also

included

evaluating

the

accounting

principles

used

and

significant

estimates

made

by

management,

as

well

as

evaluating

the

overall

presentation

of

the

financial

statements.

Our

procedures

included

confirmation

of

securities

owned

as

of

December

31,

2025

by

correspondence

with

the

custodian,

transfer

agent

and

brokers;

when

replies

were

not

received

from

brokers,

we

performed

other

auditing

procedures.

We

believe

that

our

audits

provide

a

reasonable

basis

for

our

opinion.

/s/PricewaterhouseCoopers

LLP

San

Francisco,

California

February

19,

2026

We

have

served

as

the

auditor

of

one

or

more

investment

companies

in

the

Franklin

Templeton

Group

of

Funds

since

1948. Franklin

Templeton

Variable

Insurance

Products

Trust

Tax

Information

(unaudited)

franklintempleton.com

Annual

Report

#### Templeton

#### Growth

#### VIP

#### Fund
By

mid-February,

tax

information

related

to

a

shareholder's

proportionate

share

of

distributions

paid

during

the

preceding

calendar

year

will

be

received,

if

applicable.

Please

also

refer

to

www.franklintempleton.com

for

per

share

tax

information

related

to

any

distributions

paid

during

the

preceding

calendar

year.

Shareholders

are

advised

to

consult

with

their

tax

advisors

for

further

information

on

the

treatment

of

these

amounts

on

their

tax

returns.

The

following

tax

information

for

the

Fund

is

required

to

be

furnished

to

shareholders

with

respect

to

income

earned

and

distributions

paid

during

its

fiscal

year.

The

Fund

hereby

reports

the

following

amounts,

or

if

subsequently

determined

to

be

different,

the

maximum

allowable

amounts,

for

the

fiscal

year

ended

December

31,

2025:

Under

Section

853

of

the

Internal

Revenue

Code,

the

Fund

intends

to

elect

to

pass

through

to

its

shareholders

the

following

amounts,

or

amounts

as

finally

determined,

of

foreign

taxes

paid

and

foreign

source

income

earned

by

the

Fund

during

the

fiscal

year

ended

December

31,

2025:

#### Pursuant

#### to:

#### Amount

#### Reported
Long-Term

Capital

Gain

Dividends

Distributed

§852(b)(3)(C)

$27,373,895

Income

Eligible

for

Dividends

Received

Deduction

(DRD)

§854(b)(1)(A)

$1,991,936

#### Amount

#### Reported
Foreign

Taxes

Paid

$250,253

Foreign

Source

Income

Earned

$1,451,969

FRANKLIN

TEMPLETON

VARIABLE

INSURANCE

PRODUCTS

TRUST

franklintempleton.com

Annual

Report

#### Changes

#### In

#### and

#### Disagreements

#### with

#### Accountants
For

the

period

covered

by

this

report

Not

applicable.

#### Results

#### of

#### Meeting(s)

#### of

#### Shareholders
For

the

period

covered

by

this

report

Not

applicable.

#### Remuneration

#### Paid

#### to

#### Directors,

#### Officers

#### and

#### Others
For

the

period

covered

by

this

report

Refer

to

the

financial

statements

included

herein.

Remuneration

to

officers

is

paid

by

the

Fund's

investment

manager

according

to

the

terms

of

the

agreement.

#### Board

#### Approval

#### of

#### Management

#### and

#### Subadvisory

#### Agreements
For

the

period

covered

by

this

report

Not

applicable.

4840-AFSOI

02/26©

2026

Franklin

Templeton.

All

rights

reserved.

ITEM 8. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS FOR OPEN-END MANAGEMENT INVESTMENT COMPANIES.

The information is disclosed as part of the Financial Statements included in Item 7 of this Form N-CSR.

ITEM 9. PROXY DISCLOSURES FOR OPEN-END MANAGEMENT INVESTMENT COMPANIES.

The information is disclosed as part of the Financial Statements included in Item 7 of this Form N-CSR.

ITEM 10. REMUNERATION PAID TO DIRECTORS, OFFICERS, AND OTHERS OF OPEN-END MANAGEMENT INVESTMENT COMPANIES.

The information is disclosed as part of the Financial Statements included in Item 7 of this Form N-CSR.

ITEM 11. STATEMENT REGARDING BASIS FOR APPROVAL OF INVESTMENT ADVISORY CONTRACT.

The information is disclosed as part of the Financial Statements included in Item 7 of this Form N-CSR, as applicable.

ITEM 12. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

Not applicable.

ITEM 13. PORTFOLIO MANAGERS OF CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

Not applicable.

ITEM 14. PURCHASES OF EQUITY SECURITIES BY CLOSED-END MANAGEMENT INVESTMENT COMPANY AND AFFILIATED PURCHASERS.

Not applicable.

---

| | |
|:---|:---|
| ITEM 15. | SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS. |

---

There have been no changes to the procedures by which shareholders may recommend nominees to the Registrant's Board of Trustees that would require disclosure herein.

ITEM 16. CONTROLS AND PROCEDURES.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Registrant's chief executive officer and chief financial officer have concluded
 that the Registrant's disclosure controls and procedures (as defined in Rule 30a- 3(c) under the Investment Company Act of 1940,
 as amended (the "1940 Act")) are effective as of a date within 90 days of the filing date of this report that includes the
 disclosure required by this paragraph, based on their evaluation of the disclosure controls and procedures required by Rule 30a-3(b) under
 the 1940 Act and 15d-15(b) under the Securities Exchange Act of 1934.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) There were no changes in the Registrant's internal control over financial reporting
 (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the period covered by this report that have materially affected
 or are likely to materially affect the Registrant's internal control over financial reporting.

ITEM 17. DISCLOSURE OF SECURITIES LENDING ACTIVITIES FOR CLOSED-END MANAGEMENT INVESTMENT COMPANIES.

Not applicable.

ITEM 18. RECOVERY OF ERRONEOUSLY AWARDED COMPENSATION.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Not applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Not applicable.

ITEM 19. EXHIBITS.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[(a) (1) Code of Ethics attached hereto.](ftvipt-efp22371_ex99code.htm)

Exhibit 99.CODE ETH

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[(a) (3) Certifications pursuant to section 302 of the Sarbanes-Oxley Act of 2002 attached hereto.](ftvipt-efp22371_ex99cert.htm)

Exhibit 99.CERT

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[(b) Certifications pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 attached hereto.](ftvipt-efp22371_ex99906cert.htm)

Exhibit 99.906CERT

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this Report to be signed on its behalf by the undersigned, there unto duly authorized.

---

| | |
|:---|:---|
| **Franklin Templeton Variable Insurance Products Trust** | **Franklin Templeton Variable Insurance Products Trust** |
| By: | /s/ Christopher Kings |
|  | Christopher Kings |
|  | Chief Executive Officer – Finance and Administration |
| Date: | February 24, 2026 |

---

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

---

| | |
|:---|:---|
| By: | /s/ Christopher Kings |
|  | Christopher Kings |
|  | Chief Executive Officer – Finance and Administration |
| Date: | February 24, 2026 |
| By: | /s/ Jeffrey White |
|  | Jeffrey White |
|  | Chief Financial Officer, Chief Accounting Officer and Treasurer |
| Date: | February 24, 2026 |

---

## Ex-99.Code

**Code of Ethics for Principal Executives & Senior Financial Officers**

---

| | |
|:---|:---|
| **Procedures** | &nbsp;&nbsp;&nbsp;Revised [September 27, 2024] |

---

**FRANKLIN TEMPLETON AFFILIATED FUNDS**

**CODE OF ETHICS FOR PRINCIPAL EXECUTIVES AND**

**SENIOR FINANCIAL OFFICERS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;I. Covered Officers
 and Purpose of the Code

This code of ethics (the "Code") applies to the Principal Executive Officers, Principal Financial Officer and Principal Accounting Officer (the "Covered Officers") of each investment company advised by a Franklin Resources subsidiary and that is registered with the United States Securities & Exchange Commission ("SEC") (collectively, "FT Funds") for the purpose of promoting:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Honest
 and ethical conduct, including the ethical resolution of actual or apparent conflicts of
 interest between personal and professional relationships;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Full,
 fair, accurate, timely and understandable disclosure in reports and documents that a registrant
 files with, or submits to, the SEC and in other public communications made by or on behalf
 of the FT Funds;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Compliance
 with applicable laws and governmental rules and regulations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The
 prompt internal reporting of violations of the Code to an appropriate person or persons identified
 in the Code; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Accountability
 for adherence to the Code.

Each Covered Officer will be expected to adhere to a high standard of business ethics and must be sensitive to situations that may give rise to actual as well as apparent conflicts of interest.

*\** Rule 38a-1 under the Investment Company Act of 1940 ("1940 Act") and Rule 206(4)-7 under the Investment Advisers Act of 1940 ("Advisers Act") (together the "Compliance Rule") require registered investment companies and registered investment advisers to, among other things, adopt and implement written policies and procedures reasonably designed to prevent violations of the federal securities laws ("Compliance Rule Policies and Procedures").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;II. Other Policies
 and Procedures

This Code shall be the sole code of ethics adopted by the Funds for purposes of Section 406 of the Sarbanes-Oxley Act and the rules and forms applicable to registered investment companies thereunder.

Franklin Resources, Inc. has separately adopted the <u>Code of Ethics and Business Conduct</u> ("Business Conduct"), which is applicable to all officers, directors and employees of Franklin Resources, Inc., including Covered Officers. It summarizes the values, principles and business practices that guide the employee's business conduct and also provides a set of basic principles to guide officers, directors and employees regarding the minimum ethical requirements expected of them. It supplements the values, principles and business conduct identified in the Code and other existing employee policies.

Additionally, the Franklin Templeton Funds have separately adopted the <u>FTI Personal Investments and Insider Trading Policy</u> governing personal securities trading and other related matters. The Code for Insider Trading provides for separate requirements that apply to the Covered Officers and others, and therefore is not part of this Code.

Insofar as other policies or procedures of Franklin Resources, Inc., the Funds, the Funds' adviser, principal underwriter, or other service providers govern or purport to govern the behavior or activities of the Covered Officers who are subject to this Code, they are superseded by this Code to the extent that they overlap or conflict with the provisions of this Code. Please review these other documents or consult with the Legal Department if have questions regarding the applicability of these policies to you.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;III. Covered
 Officers Should Handle Ethically Actual and Apparent Conflicts of Interest

**Overview.** A "conflict of interest" occurs when a Covered Officer's private interest interferes with the interests of, or his or her service to, the FT Funds. For example, a conflict of interest would arise if a Covered Officer, or a member of his family, receives improper personal benefits as a result of a position with the FT Funds.

Certain conflicts of interest arise out of the relationships between Covered Officers and the FT Funds and already are subject to conflict of interest provisions in the Investment Company Act of 1940 ("Investment Company Act") and the Investment Advisers Act of 1940 ("Investment Advisers Act"). For example, Covered Officers may not individually engage in certain transactions (such as the purchase or sale of securities or other property) with the FT Funds because of their status as "affiliated persons" of the FT Funds. The FT Funds' and the investment advisers' compliance programs and procedures are designed to prevent, or identify and correct, violations of these provisions. This Code does not, and is not intended to, repeat or replace these programs and procedures, and such conflicts fall outside of the parameters of this Code.

Although typically not presenting an opportunity for improper personal benefit, conflicts arise from, or as a result of, the contractual relationship between the FT Funds, the investment advisers and the fund administrator of which the Covered Officers are also officers or employees. As a result, this Code recognizes that the Covered Officers will, in the normal course of their duties (whether formally for the FT Funds, for the adviser, the administrator, or for all three), be involved in establishing policies and implementing decisions that will have different effects on the

adviser, administrator and the FT Funds. The participation of the Covered Officers in such activities is inherent in the contractual relationship between the FT Funds, the adviser, and the administrator and is consistent with the performance by the Covered Officers of their duties as officers of the FT Funds. Thus, if performed in conformity with the provisions of the Investment Company Act and the Investment Advisers Act, such activities will be deemed to have been handled ethically. In addition, it is recognized by the FT Funds' Boards of Directors ("Boards") that the Covered Officers may also be officers or employees of one or more other investment companies covered by this or other codes.

Other conflicts of interest are covered by the Code, even if such conflicts of interest are not subject to provisions in the Investment Company Act and the Investment Advisers Act. The following list provides examples of conflicts of interest under the Code, but Covered Officers should keep in mind that these examples are not exhaustive. The overarching principle is that the personal interest of a Covered Officer should not be placed improperly before the interest of the FT Funds.

Each Covered Officer must:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Not
 use his or her personal influence or personal relationships improperly to influence investment
 decisions or financial reporting by the FT Funds whereby the Covered Officer would benefit
 personally to the detriment of the FT Funds;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Not
 cause the FT Funds to take action, or fail to take action, for the individual personal benefit
 of the Covered Officer rather than the benefit of the FT Funds;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Not
 retaliate against any other Covered Officer or any employee of the FT Funds or their affiliated
 persons for reports of potential violations that are made in good faith;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Report
 at least annually the following affiliations or other relationships:<sup>1</sup>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• all
 directorships for public companies and all companies that are required to file reports with
 the SEC;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• any
 direct or indirect business relationship with any independent directors of the FT Funds;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• any
 direct or indirect business relationship with any independent public accounting firm (which
 are not related to the routine issues related to the firm's service as the Covered
 Persons accountant); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• any
 direct or indirect interest in any transaction with any FT Fund that will benefit the officer
 (not including benefits derived from the advisory, sub-advisory, distribution or service
 agreements with affiliates of Franklin Resources).

These reports will be reviewed by the Legal Department for compliance with the Code.

There are some conflict of interest situations that should always be approved in writing by Franklin Resources General Counsel or Deputy General Counsel, if material. Examples of these include<sup>2</sup>:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Service
 as a director on the board of any public or private Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The
 receipt of any gifts in excess of $100 from any person, from any corporation or association.

<sup>1</sup> Reporting of these affiliations or other relationships shall be made by completing the annual Directors and Officers Questionnaire and returning the questionnaire to Franklin Resources Inc, General Counsel or Deputy General Counsel.

<sup>2</sup> Any activity or relationship that would present a conflict for a Covered Officer may also present a conflict for the Covered Officer if a member of the Covered Officer's immediate family engages in such an activity or has such a relationship. The Covered Person should also obtain written approval by FT's General Counsel in such situations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The
 receipt of any entertainment from any Company with which the FT Funds has current or prospective
 business dealings unless such entertainment is business related, reasonable in cost, appropriate
 as to time and place, and not so frequent as to raise any question of impropriety. Notwithstanding
 the foregoing, the Covered Officers must obtain prior approval from the Franklin Resources
 General Counsel for any entertainment with a value in excess of $1000.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Any
 ownership interest in, or any consulting or employment relationship with, any of the FT Fund's
 service providers, other than an investment adviser, principal underwriter, administrator
 or any affiliated person thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• A
 direct or indirect financial interest in commissions, transaction charges or spreads paid
 by the FT Funds for effecting portfolio transactions or for selling or redeeming shares other
 than an interest arising from the Covered Officer's employment, such as compensation
 or equity ownership.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Franklin
 Resources General Counsel or Deputy General Counsel, or the Chief Compliance Officer, will
 provide a report to the FT Funds Audit Committee of any approvals granted at the next regularly
 scheduled meeting.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;IV. Disclosure
 and Compliance

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Each
 Covered Officer should familiarize himself with the disclosure requirements generally applicable
 to the FT Funds;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Each
 Covered Officer should not knowingly misrepresent, or cause others to misrepresent, facts
 about the FT Funds to others, whether within or outside the FT Funds, including to the FT
 Funds' directors and auditors, and to governmental regulators and self- regulatory
 organizations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Each
 Covered Officer should, to the extent appropriate within his or her area of responsibility,
 consult with other officers and employees of the FT Funds, the FT Fund's adviser and
 the administrator with the goal of promoting full, fair, accurate, timely and understandable
 disclosure in the reports and documents the FT Funds file with, or submit to, the SEC and
 in other public communications made by the FT Funds; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• It
 is the responsibility of each Covered Officer to promote compliance with the standards and
 restrictions imposed by applicable laws, rules and regulations.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;V. Reporting
 and Accountability

Each Covered Officer must:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Upon
 becoming a covered officer affirm in writing to the Board that he or she has received, read,
 and understands the Code (see Exhibit A);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Annually
 thereafter affirm to the Board that he has complied with the requirements of the Code; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Notify
 Franklin Resources' General Counsel or Deputy General Counsel promptly if he or she
 knows of any violation of this Code. Failure to do so is itself is a violation of this Code.

Franklin Resources' General Counsel and Deputy General Counsel are responsible for applying this Code to specific situations in which questions are presented under it and have the authority to interpret this Code in any particular situation.<sup>3</sup> However, the Independent Directors of the respective FT Funds will consider any approvals or waivers<sup>4</sup> sought by any Chief Executive Officers of the Funds.

The FT Funds will follow these procedures in investigating and enforcing this Code:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Franklin
 Resources General Counsel or Deputy General Counsel will take all appropriate action to investigate
 any potential violations reported to the Legal Department;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• If,
 after such investigation, the General Counsel or Deputy General Counsel believes that no
 violation has occurred, The General Counsel is not required to take any further action;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Any
 matter that the General Counsel or Deputy General Counsel believes is a violation will be
 reported to the Independent Directors of the appropriate FT Fund;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• If
 the Independent Directors concur that a violation has occurred, it will inform and make a
 recommendation to the Board of the appropriate FT Fund or Funds, which will consider appropriate
 action, which may include review of, and appropriate modifications to, applicable policies
 and procedures; notification to appropriate personnel of the investment adviser or its board;
 or a recommendation to dismiss the Covered Officer;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• The
 Independent Directors will be responsible for granting waivers, as appropriate; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Any
 changes to or waivers of this Code will, to the extent required, are disclosed as provided
 by SEC rules.<sup>5</sup>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;VI. Other
 Policies and Procedures

This Code shall be the sole code of ethics adopted by the FT Funds for purposes of Section 406 of the Sarbanes-Oxley Act and the rules and forms applicable to registered investment companies thereunder. Insofar as other policies or procedures of the FT Funds, the FT Funds' advisers, principal underwriter, or other service providers govern or purport to govern the behavior or activities of the Covered Officers who are subject to this Code, they are superseded by this Code to the extent that they overlap or conflict with the provisions of this Code. The FTI Personal Investments and Insider Trading Policy, adopted by the FT Funds, FT investment advisers and FT Fund's principal underwriter pursuant to Rule 17j-1 under the Investment Company Act, the Code of Ethics and Business Conduct and more detailed policies and procedures set forth in FT's Employee Handbook are separate requirements applying to the Covered Officers and others, and are not part of this Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;VII. Amendments

Any amendments to this Code must be approved or ratified by a majority vote of the FT Funds' Board including a majority of independent directors.

<sup>3</sup> Franklin Resources General Counsel and Deputy General Counsel are authorized to consult, as appropriate, with members of the Audit Committee, counsel to the FT Funds and counsel to the Independent Directors, and are encouraged to do so.

<sup>4</sup> Item 2 of Form N-CSR defines "waiver" as "the approval by the registrant of a material departure from a provision of the code of ethics" and "implicit waiver," which must also be disclosed, as "the registrant's failure to take action within a reasonable period of time regarding a material departure from a provision of the code of ethics that has been made known to an executive officer" of the registrant. See Part X.

<sup>5</sup> See Part X.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;VIII. Confidentiality

All reports and records prepared or maintained pursuant to this Code will be considered confidential and shall be maintained and protected accordingly. Except as otherwise required by law or this Code, such matters shall not be disclosed to anyone other than the FT Funds' Board and their counsel.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;IX. Internal
 Use

The Code is intended solely for the internal use by the FT Funds and does not constitute an admission, by or on behalf of any FT Funds, as to any fact, circumstance, or legal conclusion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;X. Disclosure
 on Form N-CSR

Item 2 of Form N-CSR requires a registered management investment company to disclose annually whether, as of the end of the period covered by the report, it has adopted a code of ethics that applies to the registrant's principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, regardless of whether these officers are employed by the registrant or a third party. If the registrant has not adopted such a code of ethics, it must explain why it has not done so.

The registrant must also: (1) file with the SEC a copy of the code as an exhibit to its annual report; (2) post the text of the code on its Internet website and disclose, in its most recent report on Form N-CSR, its Internet address and the fact that it has posted the code on its Internet website; or (3) undertake in its most recent report on Form N-CSR to provide to any person without charge, upon request, a copy of the code and explain the manner in which such request may be made. Disclosure is also required of amendments to, or waivers (including implicit waivers) from, a provision of the code in the registrant's annual report on Form N-CSR or on its website. If the registrant intends to satisfy the requirement to disclose amendments and waivers by posting such information on its website, it will be required to disclose its Internet address and this intention.

The Legal Department shall be responsible for ensuring that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• a
 copy of the Code is filed with the SEC as an exhibit to each Fund's annual report;
 and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• any
 amendments to, or waivers (including implicit waivers) from, a provision of the Code is disclosed
 in the registrant's annual report on Form N-CSR.

In the event that the foregoing disclosure is omitted or is determined to be incorrect, the Legal Department shall promptly file such information with the SEC as an amendment to Form N- CSR.

In such an event, the Fund Chief Compliance Officer shall review the Code and propose such changes to the Code as are necessary or appropriate to prevent reoccurrences.

**Exhibit A**

**ACKNOWLEDGMENT FORM**

**Franklin Templeton Funds Code of Ethics**

**For Principal Executives and Senior Financial Officers**

**Instructions:**

&nbsp;&nbsp;&nbsp;&nbsp;1. Complete
 all sections of this form.

&nbsp;&nbsp;&nbsp;&nbsp;2. Print
 the completed form, sign, and date.

&nbsp;&nbsp;&nbsp;&nbsp;3. Submit
 completed form to FT's General Counsel c/o Code of Ethics Administration within 10
 days of becoming a Covered Officer and by February 15<sup>th</sup> of each subsequent year.

---

| | |
|:---|:---|
| **E-mail:** | Code of Ethics Inquiries & Requests (internal address);<br> lpreclear@franklintempleton.com (external address) |

---

---

| |
|:---|
| **Covered Officer's Name:** |
| **Title:** |
| **Department:** |
| **Location:** |
| **Certification for Year Ending:** |

---

***To: Franklin Resources General Counsel, Legal Department***

I acknowledge receiving, reading and understanding the Franklin Templeton Fund's Code of Ethics for Principal Executive Officers and Senior Financial Officers (the "Code"). I will comply fully with all provisions of the Code to the extent they apply to me during the period of my employment. I further understand and acknowledge that any violation of the Code may subject me to disciplinary action, including termination of employment.

---

| | |
|:---|:---|
| ***Signature*** | ***Date signed*** |

---

## Ex-99.Cert

CERTIFICATIONS PURSUANT TO SECTION 302

EX-99.CERT

**<u>CERTIFICATIONS</u>**

I, Christopher Kings, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;1. I
 have reviewed this report on Form N-CSR of **Franklin Templeton Variable Insurance Products Trust;** 

&nbsp;&nbsp;&nbsp;&nbsp;2. Based
 on my knowledge, this report does not contain any untrue statement of a material fact or
 omit to state a material fact necessary to make the statements made, in light of the circumstances
 under which such statements were made, not misleading with respect to the period covered
 by this report;

&nbsp;&nbsp;&nbsp;&nbsp;3. Based
 on my knowledge, the financial statements, and other financial information included in this
 report, fairly present in all material respects the financial condition, results of operations,
 changes in net assets, and cash flows (if the financial statements are required to include
 a statement of cash flows) of the registrant as of, and for, the periods presented in this
 report;

&nbsp;&nbsp;&nbsp;&nbsp;4. The
 registrant's other certifying officers and I are responsible for establishing and maintaining
 disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company
 Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under
 the Investment Company Act of 1940) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) Designed
 such disclosure controls and procedures, or caused such disclosure controls and procedures
 to be designed under our supervision, to ensure that material information relating to the
 registrant, including its consolidated subsidiaries, is made known to us by others within
 those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) Designed
 such internal control over financial reporting, or caused such internal control over financial
 reporting to be designed under our supervision, to provide reasonable assurance regarding
 the reliability of financial reporting and the preparation of financial statements for external
 purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c) Evaluated
 the effectiveness of the registrant's disclosure controls and procedures and presented
 in this report our conclusions about the effectiveness of the disclosure controls and procedures,
 as of a date within 90 days prior to the filing date of this report based on such evaluation;
 and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d) Disclosed
 in this report any change in the registrant's internal control over financial reporting
 that occurred during the period covered by this report that has materially affected, or is
 reasonably likely to materially affect, the registrant's internal control over financial
 reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;5. The
 registrant's other certifying officers and I have disclosed to the registrant's
 auditors and the audit committee of the registrant's board of directors (or persons
 performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) All
 significant deficiencies and material weaknesses in the design or operation of internal control
 over financial reporting which are reasonably likely to adversely affect the registrant's
 ability to record, process, summarize, and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) Any
 fraud, whether or not material, that involves management or other employees who have a significant
 role in the registrant's internal control over financial reporting.

---

| | |
|:---|:---|
| Date: | February 24, 2026 |
| /s/ Christopher Kings | /s/ Christopher Kings |
| Christopher Kings | Christopher Kings |
| Chief Executive Officer – Finance and Administration | Chief Executive Officer – Finance and Administration |

---

**<u>CERTIFICATIONS</u>**

I, Jeffrey White, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;1. I
 have reviewed this report on Form N-CSR of **Franklin Templeton Variable Insurance Products Trust**;

&nbsp;&nbsp;&nbsp;&nbsp;2. Based
 on my knowledge, this report does not contain any untrue statement of a material fact or
 omit to state a material fact necessary to make the statements made, in light of the circumstances
 under which such statements were made, not misleading with respect to the period covered
 by this report;

&nbsp;&nbsp;&nbsp;&nbsp;3. Based
 on my knowledge, the financial information included in this report, and the financial statements
 on which the financial information is based, fairly present in all material respects the
 financial condition, results of operations, changes in net assets, and cash flows (if the
 financial statements are required to include a statement of cash flows) of the registrant
 as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;4. The
 registrant's other certifying officers and I are responsible for establishing and maintaining
 disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company
 Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under
 the Investment Company Act of 1940) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) Designed
 such disclosure controls and procedures, or caused such disclosure controls and procedures
 to be designed under our supervision, to ensure that material information relating to the
 registrant, including its consolidated subsidiaries, is made known to us by others within
 those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) Designed
 such internal control over financial reporting, or caused such internal control over financial
 reporting to be designed under our supervision, to provide reasonable assurance regarding
 the reliability of financial reporting and the preparation of financial statements for external
 purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d) Disclosed
 in this report any change in the registrant's internal control over financial reporting
 that occurred during the period covered by this report that has materially affected, or is
 reasonably likely to materially affect, the registrant's internal control over financial
 reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;5. The
 registrant's other certifying officers and I have disclosed to the registrant's
 auditors and the audit committee of the registrant's board of directors (or persons
 performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a) All significant
deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely
to adversely affect the registrant's ability to record, process, summarize, and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b) Any fraud, whether or not material, that involves
management or other employees who have a significant role in the registrant's internal control over financial reporting.

---

| | |
|:---|:---|
| Date: | February 24, 2026 |
| /s/ Jeffrey White | /s/ Jeffrey White |
| Jeffrey White | Jeffrey White |
| Chief Financial Officer, Chief Accounting Officer and Treasurer | Chief Financial Officer, Chief Accounting Officer and Treasurer |

---

## Exhibit 99.906

CERTIFICATIONS PURSUANT TO SECTION 906

EX-99.906CERT

**CERTIFICATION**

**Christopher Kings,** Chief Executive Officer – Finance and Administration, and **Jeffrey White,** Chief Financial Officer, Chief Accounting Officer and Treasurer of **Franklin Templeton Variable Insurance Products Trust (the "Registrant"), each certify to the best of** their knowledge that:

&nbsp;&nbsp;&nbsp;&nbsp;1. The Registrant's periodic report on Form N-CSR for the period ended **December 31, 2025** (the "Form N-CSR") fully complies with the requirements of Section 13(a) or 15(d), as applicable, of the Securities Exchange Act of 1934, as amended; and

&nbsp;&nbsp;&nbsp;&nbsp;2. The information contained in the Form N-CSR fairly presents, in all material respects, the financial condition and results of operations of the Registrant.

---

| | |
|:---|:---|
| **Chief Executive Officer –** | **Chief Financial Officer, Chief** |
| **Finance and Administration** | **Accounting Officer and Treasurer** |
| Franklin Templeton Variable Insurance Products Trust | Franklin Templeton Variable Insurance Products Trust |
| /s/ Christopher Kings | /s/ Jeffrey White |
| Christopher Kings | Jeffrey White |
| Date: February 24, 2026 | Date: February 24, 2026 |

---

This certification is being furnished to the Securities and Exchange Commission solely pursuant to 18 U.S.C. § 1350 and is not being filed as part of the Form N-CSR with the Commission.