Broken by Design: How AI Is Fixing the Prior Authorization Nightmare in Dermatology
If you're running a dermatology practice, you've likely seen it firsthand: prior authorizations (PAs) delaying care, disrupting workflow, and draining your staff's time. Once a back-office inconvenience, PAs have now become one of the biggest operational threats to patient access and provider profitability. Fortunately, AI is rewriting the rules.
The Growing Burden of Prior Authorizations Dermatology is among the specialties most impacted by PAs. As of 2023:
Over 80% of dermatology-related medications and services required prior authorization.
The volume of PAs increased 35% from 2021 to 2023.
Physicians now spend 16.2 hours per week on PAs and claim denials.
Worse, payers deny an average of 7.4% of prior auth requests, rising to 28.8% for Medicare. These denials often delay or block care for patients in need, contributing to worsened outcomes.
A System That Hurts Everyone The current PA process isn’t just inconvenient—it’s dangerous. According to national data:
88% of physicians report PAs interfere with continuity of care.
33% of PA delays have led to hospitalization, permanent impairment, or even death.
60% of denied coverage delayed necessary care.
This is a system that’s broken by design—meant to slow down approvals, not support care.
Enter AI: Streamlining Approvals and Reducing Risk Today’s AI-powered PA tools automate the submission, tracking, and resubmission of prior auth requests. These solutions:
Cut approval times by up to 40%
Reduce denied requests through real-time payer rules matching
Free up physician and staff hours for patient care
These tools integrate with EHRs and work behind the scenes 24/7—ensuring no request falls through the cracks.
Business Benefits for Dermatology Practices The financial and operational upside is significant:
Reduced physician time on PAs = recovered hours valued at $453K/year
Lower denial rates = faster reimbursements and fewer write-offs
Leaner staff requirements = overhead savings of $69K/year per physician
Time to Modernize the Front Lines Prior authorization is no longer just a bureaucratic hurdle—it's a critical leverage point for operational excellence. Dermatology practices that adopt AI-driven PA automation will see faster care delivery, better financial outcomes, and far less friction across the board.
Want to eliminate the PA pain point in your practice? Book a demo with our team!
