A term may describe business concept as defined by the business. So a term is related to the language of the people within the company. A term used in one group may differ in its meaning within another group. Term in SBVR is a concept and can be declined as noun concept or verb concept.Term represents a unit of knowledge with a unique combination of characteristics. In Object Oriented Analysis we will map to a Class.

Fact is a combination of terms that describes what business people know about their business. Fact may describe the relationship between terms, like an Insurance Policy is a form of Contract, or it may describe the interactions between terms (collaboration).

Taking as an example a rule description like:

Ask for an audit if  one of the treatment includes an emergency room treatment or an ambulance transfer done on a day after the accident.

The analysis team can extract the following business terms: audit, treatment, emergency room, ambulance transfer, day of accident, accident. Discussing with a claim processor we can extract the following facts:

• A car accident is declared in a claim
• Claim has a type, and a date of loss
• There may be some injuries,
• Medical treatments are done by medical providers
• The medical provider issues medical bill
• A medical bill includes the description of the medical treatment done on the patient

Insurance wants to verify the treatment done, and limit the payments on what is defined in the policy and the legal engagements.

Later on in the project the facts have to be analyzed to understand how the software application will support it. It can be through implementing the logic, the GUI layout, structuring the different data models or just staying in documentation.