Government-imposed regulations are primarily put in place to artificially grant government actors influence and control (mainly the ability to forcefully extract and misappropriate real wealth created by the private sector) that they wouldn't naturally have in markets that are otherwise functioning perfectly fine without this interference.

Markets like healthcare, housing, education, and transportation tend to be early targets because they're large and widespread markets that are fundamental to everyday life, and thus prove to be very lucrative targets for government actors to exploit.

Sometimes, this government-imposed regulation is then co-opted by non-government actors who manage to further abuse it to their advantage, making the situation even worse.

"Market failure", "protecting the consumer", and similar phrases are simply the fake justifications used to try to make this unwanted and unjustifiable government interference more palatable to the public at large.

Government actors are inherently parasitic; they don't create real wealth, and are only able to siphon real wealth away from those who do have the ability to create it and then use it most efficiently. Thus, government interference inherently results in otherwise-fine markets becoming less-efficient and worse off, leading to what is then wrongly misinterpreted as "market failure".