Just played a game where half the players had 16-18k health. One CP110 player was even walking around in Mannimarco costume (yes walking, not running).
I haven't observed this, I think you just got thrown in a low mmr game as a bug
PC NA @gariondavey, BG, IC & Cyrodiil Focused Since October 2017 Stamplar (main), Magplar, Magsorc, Stamsorc, StamDK, MagDK, Stamblade, Magblade, Magden, Stamden