I agree. However, I wonder how easy this concept is to sell for general population. (Excuse me in advance, if my ramblings seem ignorant, just trying to organise my thoughts...)
Most people seem to agree that free trans healthcare is vital treatment for an illness of dysphoria that make people suicidal. This is the transmed position if I'm correct. They might be completely unaware that there are trans people without dysphoria. (Heck, I just recently learned that too.) The thing is, if being trans would not be classified as an illness, then it might fall into cathegory of cosmetic treatments or such that are not usually tax-funded. There would be freedom of choice but it would depend on one's personal wealth. Also, I get confused about this discussion whenever brought up, because US healthcare is so different compared to country where I live. (Well, our politicians are working on to change that by ruining everything.)