There are some false positives, but as with many things in game development 'close enough' usually works pretty well.
If you're really concerned with efficiency you should look into other data structures than an octree. Octrees are a nightmare for cache performance (like most other tree based structures) and cache utilization is usually the bottleneck on modern CPUs.
If you're interested in the subject this book (http://realtimecollisiondetection.net/books/rtcd/) covers everything extremely well.