EHIC as applied to Spain
In short - at least as far as I can understand it:-
All public-sector health treatment should be free; but in certain areas, and in life-threatening emergencies, they may treat you at a private hospital as the only nearby option. Should that happen, you'll get billed, and you probably won't get a refund from anyone. Depending on whereabouts you'll be, you may still want to have health insurance. Better information will come from a travel agent, or someone who's been to wherever you're going in particular.