Fully paid health care is a factor in my choice of employment. It is a perk, like a company car, that keeps my employer from loosing me to competition. Simple Supply and Demand.
The big difference is that the company car is a taxable benefit to you — and the medical insurance is not.
We also have insurance provided by hubby’s employer. We pay I think $8 a week to cover me. We also consider it a big reason Dh has stayed there for 32 years and will continue with them for as long as possible.