New Clarity RCM research also finds patient use of AI and social media for self-diagnosis is intensifying strain on overburdened dermatology offices

SAN FRANCISCO: A new national survey of U.S. dermatologists with ownership stakes in their practices finds they are facing a compounding set of financial and clinical challenges. The survey, which was commissioned by Clarity RCM and conducted by market research firm PureSpectrum, found that many dermatologist-owners are reporting significant revenue leakage from avoidable coding and billing errors, growing operational demands (especially for independent practices), and existing staffing challenges exacerbated by increased patient volume and an uptick in self-diagnosis via AI and social media.

The survey of 156 U.S. dermatologist-owners, which included doctors in both independent and private equity-backed practices, found 46% said they review financials only occasionally or rely primarily on administrators or billing teams to track performance. This means nearly half of owners lack consistent financial oversight, most often due to growing pressures related to everything from an uptick in payer downcoding and denials to a significant increase in the time and money spent simply running a practice.

Additional notable survey findings include:

• 44% estimate losing 6% or more of annual revenue to coding errors and denials;
• 67% feel pressure to see more patients than is clinically ideal;
• 88% of practices are currently using AI tools; and
• 100% of dermatologists report patients arriving with social media-influenced diagnoses.

“This survey highlights both the resilience of dermatology practices and the significant opportunities available to strengthen financial performance,” said Ashwin Krishnan, CEO and co-founder of Clarity RCM. “Practices shouldn’t have to become financial experts to run a healthy business. With the right support, specialty-specific expertise, and strategic guidance, dermatology practices can turn revenue cycle management into a powerful driver of stability and long-term success.”

Revenue leakage is widespread, and many practices lack visibility

Despite mostly confident assessments of financial health, a significant share of dermatologist-owners say they are losing meaningful revenue to avoidable operational problems.

The survey finds independent dermatology practice owners are the most exposed. They are nearly three times as likely to delegate financial management entirely, with 27% of independent owners fully delegating financial management, versus just 10% of private equity-backed practices.

“When dermatology practices aren’t enlisting the right specialty-specific expertise to review their finances, they’re operating with a dangerous blind spot. Revenue cycle management isn’t just an administrative function - it’s the engine of the business,” said Dr. Matthew Elias, DO, FAAD, CEO of Elias Dermatology and Clarity RCM advisor.

That difference in financial health engagement across the two audiences surveyed suggests a structural divide in how practices approach financial management. Private equity-backed organizations tend to operate with more formalized oversight and reporting expectations, while independent practices are more likely to rely on distributed or delegated financial management.

Taken together, these findings point to a broader issue beyond margin pressure alone. A meaningful share of dermatology practices - particularly independent ones - may not have invested in a strategy to build transparency into their financial performance, even as many acknowledge ongoing operational challenges, including revenue leakage.

In an environment where profitability is increasingly shaped by operational precision, that visibility gap itself is a serious concern. Dr. Elias added, “The answer for dermatologists isn’t to take revenue cycle management in-house - clinicians are already stretched thin. Instead, lean into a revenue cycle partner that extends your bench and brings financial clarity to you, without adding to your workload.”

Independent practices face mounting pressure, and many are weighing their options

The survey shows concerns about private equity ownership are real but distributed across both audiences. Respondents cited financial transparency (30%), pressure to increase patient volume (28%), loss of clinical autonomy (20%), and potential staff reductions (18%) as their leading worries.

For independent dermatologists specifically, the survey reveals a practice environment under considerable strain and, in many cases, at an inflection point. Among dermatologists in independent practices, 86% report having been approached by a private equity firm or consolidator about a potential acquisition. And attitudes toward a future sale were far from uniformly resistant: Among independent dermatologists asked about the likelihood of selling to private equity within five years, nearly half (46%) said it was somewhat or very likely. Another 45% remain unsure, which leaves just 9% of independent dermatologists who indicated they are unlikely to sell in five years.

Taken together, the findings suggest that independent dermatologists are not simply resisting consolidation. They are actively weighing whether the operational and financial demands of independence still make sense given the pressures they face.

AI and social media offer both hope and hype for dermatologists and patients alike

The survey also found that dermatology has moved well beyond early experimentation with AI. Overall, 88% of respondents said their practice is currently using AI tools in some capacity.

On the consumer side, AI tools have further compounded challenges for dermatologists: 93% of respondents said patients arrive with AI-generated diagnoses or treatment ideas at least a few times per week, and 58% said this happens daily. Every single dermatologist surveyed (100%) reported patients arriving at appointments with preconceived diagnoses or treatment ideas influenced by social media.

These social media and AI-driven volumes are impacted by the fact that patient demand has grown significantly for dermatologists: 73% of respondents said demand has increased over the past three years (30% overall said it increased “significantly”) - and that demand is not being absorbed without significantly straining practices.

For more data and insights, visit: report.clarityrcm.com

The Clarity RCM 2026 State of Dermatology report was conducted in collaboration with PureSpectrum in March 2026. This survey engaged 156 U.S. dermatologists with an ownership or equity stake in their practice (80% independent, 20% private equity-backed), spanning solo practice to multiprovider groups across urban, suburban, and rural markets.

About Clarity RCM

Clarity RCM is the only revenue cycle management company built exclusively for dermatology. Serving 200+ independent practices across 42 states, Clarity combines deep billing, coding, and compliance expertise with high-touch service and a technology-driven approach - helping independent dermatology practices collect more, faster. Founded in 2017, Clarity RCM is ranked among America’s fastest-growing private companies by Inc. three years running. Learn more at clarityrcm.com and on LinkedIn.

Fonte: Business Wire