Some of our employees who are mostly on the road get this service. Since I have an office, I don't. Although I suppose I have never asked for it. Maybe...
Why do you prefer paper faxes? With email, I know it was delivered, with email I know if you sent it or not. With a fax, they malfunction a lot and even if it did go through, maybe someone else put it somewhere and now it is lost.
If I start with a paper document, fax is a lot easier to transmit. As for delivery, the machine knows if there was a failure or not. I always follow up a fax with another form of communication, normally a telephone call unless the recipient requests otherwise as was the case when I did a telephone number port.
I no longer have the ability to fax at work (we have a secure email system that makes the harder to intercept argument moot), I do have the ability to fax at home. My fax number costs me a $1.95 a month plus actual incoming use (outgoing shares minutes with my voice lines). My home phone is set up like the old Mythbuster's saying though "If its worth doing, its worth overdoing."
Last time I had to send something I had the option of scan and email or fax. I personally prefer to use fax as I have better luck with it. If you object to receiving paper faxes, there are services out there that allow you to receive faxes and convert them to PDF and email to you. In fact my VoIP provider Callcentric provides such service, but only provides it for receive only. I know you can get fax software for Asterisk that does the same thing. I don't use these as I prefer to send and receive paper faxes.