Step 1: The question asks for the FALSE statement about diabetes mellitus.
Step 2: The claim that type 2 diabetes patients never require insulin is incorrect. Many type 2 diabetics eventually need insulin because of progressive beta cell failure, during acute illness or surgery, during pregnancy, or when oral agents fail to achieve glycemic targets. Therefore this statement is the exception.
Step 3: A sliding scale insulin regimen, in which the insulin dose is adjusted according to the measured blood glucose, is indeed commonly used in hospitalized patients. This statement is true.
Step 4: Keeping the evening or bedtime insulin dose low helps avoid excessive insulin action during the early morning hours and thus prevents nocturnal hypoglycemia. This statement is true.
Step 5: Regular (short-acting) human insulin is safe and is used in gestational diabetes when pharmacotherapy is needed, since insulin does not cross the placenta. This statement is true.
Conclusion: The printed key marks option A as the exception, which is medically correct.