I'm in Old Vizima, doing the "Flame that Cleanses" quest.

I apparently have to pick up squirrel puffs from dead rebels before going to the hospital. Except I can't search the remains no matter where I point. I can see the label "remains", but getting the pointer to turn into that hand icon is seemingly random.

If you are actively under attack, (i.e red meadallion) you will not be able to search remains. Since there's so many enemies at that part of the game it can be tricky to actually exit combat. Try to kill anything nearby and then get farther away from other enemies, and you should be able to exit combat long enough to search a few bodies.

Ah, I didn't notice that. Thanks.