Assesses the extent of the drug diversion problem, the reason it persists, & what actions are being taken to bring it under control. Compares the incidence & outcomes of malpractice litigation involving Medicare & Medicaid patients to that of the general population & analyzes aggregate hospital data on malpractice losses for Medicare, Medicaid, & other hospital patients. Assesses the methods being used to approve or deny Medicare Part B claims. Describes the characteristics of claims denials that are appealed & of those that are reversed. Illustrated.