Robyn Hitchcock, who, you remember, had HIS song "Chinese Bones" covered by Suzanne Vega, backed by the Grateful Dead. A very nice version of "Candyman" here.
And Graham Parker doing "Sugaree". He gives that defensive rap at the beginning, that many people feel obliged to give when covering something by an artist with rabid fans. I can dig it. If I covered a Stevie Nicks song I wouldn't want to be harassed by Stevie fans. Graham Parker, for the last decade or so, has often used The Figgs as his backup band. Who are The Figgs? You did not just ask that. Look here.