Where Fact Stops and Fiction Begins

Whenever I read a work of fiction, I analyze what it is commenting on about society, people or culture. Strangely enough, fiction is not supposed to have anything to do with reality. But, while in English classes, I read in between the fictitious lines struggling to connect to the world. So, does that mean that fiction is commentary on fact? Virginia Woolf brings up a strong point when identifying that "fiction must stick to facts, and the truer the facts the better the fiction" (16). Perhaps, the title of "a work of fiction" is a cover that allows the author to write their beliefs and views on facts or reality while escaping any condemnation on their theories. I know, when I write, I take my experiences and twist them into my characters, commenting on social norms and folkways. I suppose the purpose of fiction is to give us that protection--allowing us the freedom to critique the world we live in without having to worry about any penalties or judgment on our viewpoints of the world.