I would start by emphasizing that things that can kill lots of people should be regulated. Cars and planes and buildings fall in that category. But how?

An airline should be forced to get insurance for the risk of bad pilots. That might be enough to align incentives and protect people from risk. It is a slightly irrelevant issue as laws will be passed within our lifetimes that mandate a human must _not_ fly a commercial airplane. Only robots.

Driving is similar, but much easier, so more people can do it. It's harder from a robotics front, but will also be solved soon. I've worked on robot cars.

Heart surgery is where it gets interesting. By mandating a certain level of quality, you essentially place a price floor above the market price on medical care. That means a lot of people don't get it. Would you rather have a shoddy operation or none at all? As desperate times often demonstrate (e.g. delivering a baby outside a hospital by necessity), people want shoddy care over none at all.

So licensing doctors is bad. Private accreditation is enough. I will trust a doctor that has received a credential or accreditation from an institution I trust. I certainly trust Harvard more than I trust the AMA or HHS.

You should read Capitalism and Freedom by the way. Milton Friedman is an excellent author. He makes this issue crystal clear.

Regulations are just there to try and avoid the transition period of pain (and death).

Sounds remarkably similar to where we are.

Saying that doesn't make it true, it's a belief, not a fact, keep that in mind.