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I just finished clearing out Privateer's Hold and now I'm preparing to fast-travel back to Daggerfall city... but then I get this weird message:

"You are not well and may not survive an extended period of travel. Do you still wish to continue with the fast travel?"

I immediately dropped out of the fast-travel menu, since I wasn't aware something was wrong with me. I checked, my health is full and my status says, "You are healthy." I figured I was experiencing a bug, so I fast-traveled anyway.

I arrived and then immediately fell down and died.

I have no idea what's happening.

EDIT: Ah! I tried fast-traveling to a much closer place. This time I arrived and I got the message:

"You have contracted the Plague, a very serious, often fatal disease. Very quickly it will spread through your system. Few who contracted it live for more than a few days unless they are cured quickly."

I guess that explains things, though the game was being a bit inconsistent by both telling me I was healthy and telling me I was unwell simultaneously.

Diseases have incubation periods, and so there is a delay between the time you contract the disease and the time it is detectable and affects you. The game knew you had the plague before you did!