Yeah, the game completely lies about how much it actually takes.
Download MSI Afterburner to view the real VRAM usage.
It's a bit choppy, but playable at 1366*768 on HD 4400 graphics on low settings on a crappy i5-4210u. I have dual channel RAM in it, which will help out the iGPU speeds just a hair.
FYI, my dxdiag (now out of the game) says:
Approx total RAM: 2160
Display Memory: 112 MB VRAM
Shared: 2048 MB
Intel HD graphics can allocate UP to 2 GB (4 in your case) if it is ever needed, but it will never really use that much. In most cases, it is less than a gig before it runs out of power. HD 5500 isn't too bad for what it is, though.