Hi there.
Not sure if this is a bug or working as intended.
Currently the health bar that can be shown above the player character can get covered by labels of items on the ground.
https://imgur.com/xcn1k9P
This also happens when no loot filter is used.
I found this forum post from 2020 mentioning the problem but it was closed due to inactivity.
I hope you can do something about this as it becomes more apparent on more stationary play styles.
Thanks,
Strandinator