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Written by Max Zeshut
Founder at Agentmelt
When an AI model generates plausible-sounding but factually incorrect information. In agent contexts, hallucination is mitigated through RAG (grounding responses in your knowledge base), confidence scoring, and citation requirements. Critical in legal, healthcare, and finance agents where accuracy is non-negotiable.
A support agent invents a return policy that does not exist. RAG-based grounding prevents this by requiring the agent to cite specific knowledge base articles.