diff --git a/changelogs/fragments/vm_fix.yml b/changelogs/fragments/vm_fix.yml
new file mode 100644
index 00000000000..29bd711dc7d
--- /dev/null
+++ b/changelogs/fragments/vm_fix.yml
@@ -0,0 +1,2 @@
+bugfixes:
+- Fix traceback when updating facts and the fact cache plugin was nonfunctional
diff --git a/lib/ansible/vars/manager.py b/lib/ansible/vars/manager.py
index 8a8efc13ef5..cb58ed63fcb 100644
--- a/lib/ansible/vars/manager.py
+++ b/lib/ansible/vars/manager.py
@@ -622,10 +622,21 @@ class VariableManager:
         if host.name not in self._fact_cache:
             self._fact_cache[host.name] = facts
         else:
-            try:
-                self._fact_cache.update(host.name, facts)
-            except KeyError:
-                self._fact_cache[host.name] = facts
+            if isinstance(self._fact_cache, FactCache):
+                try:
+                    self._fact_cache.update(host.name, facts)
+                except KeyError:
+                    self._fact_cache[host.name] = facts
+            else:
+                # Dictionary fallback so we need to use a dictionary update.
+                try:
+                    host_cache = self._fact_cache[host.name]
+                except KeyError:
+                    host_cache = facts
+                else:
+                    host_cache.update(facts)
+
+                self._fact_cache[host.name] = host_cache
 
     def set_nonpersistent_facts(self, host, facts):
         '''