Waste includes overuse of services and other practices that lead to unnecessary costs.

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Multiple Choice

Waste includes overuse of services and other practices that lead to unnecessary costs.

Explanation:
Waste is about resource use that doesn’t add value and leads to unnecessary costs. When services are overused—doing tests, procedures, or treatments more than medically needed—the resulting extra costs fall under waste. This fits the common FWA framework, which defines waste as inefficiency and unnecessary use of resources, distinct from fraud (intentional deception) and abuse (improper practices). So the statement is true.

Waste is about resource use that doesn’t add value and leads to unnecessary costs. When services are overused—doing tests, procedures, or treatments more than medically needed—the resulting extra costs fall under waste. This fits the common FWA framework, which defines waste as inefficiency and unnecessary use of resources, distinct from fraud (intentional deception) and abuse (improper practices). So the statement is true.

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