Com Addin - "Type Mismatch Error"

I created a new VB Addin project with the template. On the designer chose Word as the "Application" and Startup as the "Initial Load Behavior". Ran the Addin and opened Word. I received a Type Mismatch error. I set a breakpoint and found that the line
Set VBInstance = Application
What is causing this?

what have you declared vbinstance as? This suggests that vbInstance isn't an object but say a long or integer, but application is an object.