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Although the name suggests otherwise, ringworm is not caused by a worm at all-but a fungus. This highly contagious infection can lead to patchy areas of hair loss on a dog, and can spread to other animals-and to humans, too.
Ringworm. Ringworm â Ringworm is a common skin infection that is caused by a fungus. Itâs called âringwormâ because it can cause a circular rash (shaped like a ring) that is usually red and itchy.1  Symptoms. 2  Risk and Prevention. 3  Diagnosis and Testing.ungal diseases are often caused by fungi that are common in the environment. Fungi live outdoors in soil and on plants and trees as well as on many indoor surfaces and on human skin.