I’m happy to concede that, and I’d have loved to have seen the man play live in his heyday (very nearly did.....).
As I said in my post; the original of “Knocking on heavens door” (one of his most covered songs) firmly remains my favourite version. I think the combination of his very individual vocal style (which can grate), sparse instrumental arrangements on the originals, and -as you say- very strong songwriting, lends BD’s songs perfectly for covering. Hendrix has been mentioned; I’d add Manfred Mann (Just like a woman), Byrds (Mr Tambourine man), and, Siouxsie (This wheels on fire)