To explore the effect of Runzao Zhiyang decoction combined with moisture exposed burn ointment in the treatment of acute eczema and its influence on the psychological state and quality of life of patients. Methods A total of 80 patients with acute eczema admitted to Wuxi Rehabilitation Hospital from January 2022 to May 2023 were randomly divided into study group and control group, with 40 patients in each group. The control group was treated with Runzao Zhiyang decoction, and the study group was treated with Runzao Zhiyang decoction combined with moisture exposed burn ointment. The therapeutic effect, mental state and quality of life of the two groups were compared. Results The total effective rate of treatment in the study group was 95.00%, which was higher than 75.00% in the control group (P <0.05). After treatment, the SAS and SDS scores of the two groups were lower than those before treatment, and the SAS and SDS scores of the study group were lower than those of the control group (P <0.05). After treatment, the physiological function, psychological score, trunk level and social support score of the two groups were higher than those before treatment, and the physiological function, psychological score, trunk level and social support score of the study group were higher than those of the control group (P <0.05). Conclusion The combination of Runzao Zhiyang decoction and moist exposed burn ointment is effective in the treatment of patients with acute eczema, which can effectively improve the clinical symptoms, reduce the negative emotions caused by skin damage, and improve the quality of daily life, with higher clinical application value.