Teledermatology practice

Teledermatology overview

Dermatologists use telemedicine to evaluate and treat patients remotely, expanding access for those in rural or underserved areas. Teledermatology provides greater scheduling flexibility, supports efficient triage, convenient follow-ups, and enables collaboration with distant colleagues. However, it depends heavily on technology, which can malfunction, and may raise privacy and security concerns. Reimbursement can be complicated. Limitations include the inability to perform in-person exams, possible diagnostic inaccuracies, and the fact that it may not be suitable for all patients.

Why dermatologists choose this

• Expands patient base beyond local area.

• Allows flexible scheduling and practice locations.

• Increases patient volume through reduced no-shows.

• Facilitates long-distance collaboration and specialist access.

• Supports better work-life balance for dermatologists.

How this model works

Structure

Dermatologists deliver care remotely using secure telemedicine platforms. Care can be synchronous (live video) or asynchronous (store-and-forward), depending on clinical needs and state laws.

Reimbursement model

Payment varies by payer and state. Many insurers cover teledermatology similarly to in-person visits, but clinicians must follow specific coding and documentation rules to ensure reimbursement.

Patient care model

Expands access to care for patients in underserved or remote areas, enables efficient triage, and supports follow-ups for chronic conditions or post-procedure reviews.

Administrative support

Practices must establish workflows for scheduling, documentation, consent, and patient tech support. Staff may need training to manage digital platforms and support compliance.

Compensation and benefits

Physician compensation may be based on volume, encounter type, or hybrid models. Teledermatology can reduce overhead and support flexible work arrangements.

Technology and operations

Requires HIPAA-compliant platforms, EHR integration, and reliable internet connections. Some practices also use teletriage tools to prioritize care delivery.

Legal considerations

Physicians must comply with state licensing laws, privacy regulations, and consent requirements. Malpractice coverage and cross-state care rules should be reviewed.

Career growth

Offers opportunities to lead in digital health innovation, expand patient panels, and improve access in medically underserved regions.

When this model makes sense

• When expanding patient access beyond local area is a priority.

• For practices aiming to offer flexible scheduling and remote care options.

• When increasing patient volume and reducing no-show rates are important goals.

• If collaboration with distant specialists and improving work-life balance matter.

• When looking to enhance operational efficiency through technology-enabled care.

Success factors

• Robust technology infrastructure and IT support.

• Clear protocols for patient privacy and data security.

• Training staff and clinicians on telehealth platforms and reimbursement.

• Coordination with payers to ensure appropriate billing.

• Aligning teledermatology use with clinical standards and patient needs.

Potential challenges

• Dependence on reliable technology and internet connections.

• Privacy and cybersecurity concerns due to data transmission.

• Limited by inability to perform in-person exams, possibly affecting diagnostic accuracy.

• Reimbursement inconsistencies across states and insurers.

• Liability issues related to handling of sensitive patient information remotely.

• Not ideal for first-time visits without prior patient history.

Real-world example

Cory Simpson, MD, PhD, FAAD, a dermatologist at the University of Washington and former Chair of the AAD Teledermatology Committee, embraced teledermatology to improve access for underserved patients. Early in his career, he saw the potential of remote consultations to reduce wait times and increase care efficiency. Dr. Simpson stresses the importance of innovation and collaboration in expanding dermatology services: “Teledermatology allows us to reach patients who otherwise might not get timely care.”

Early career advice

• Explore state-specific telemedicine laws and reimbursement rules.

• Invest in reliable, secure technology platforms.

• Develop skills for remote patient assessment and communication.

• Balance teledermatology with in-person care for best patient outcomes.

• Use the AAD’s teledermatology resources to support implementation and compliance.

Related AAD resources

• Practice types: See our full menu of resources on practice types, from solo to institutional.

• Get started: Access our guide to getting started in practice, with resources on practice types and policies and procedures.

• Employment guide: See all our resources on contracts, questions for employers, and more.

This content was created with the particular needs of early-career dermatologists in mind. See the rest of our Career Launch resources for young physicians.