That would be quite normal and appropriate, as any Indonesian applying for a European Schengen visa has to prove medical travel insurance coverage of at least 30k euros, plus cover for medical evacuation back to Indonesia. Would suggest, however, that it such a requirement would be even more relevant to long term visitors to Indonesia, including social pass holders.
Mark...By social pass holders, if you mean Sosbud, you will remember that visa needs a Sponsor. The Sponsor's duty ensures responsibility for all financial obligations etc. of the person they sponsor....including medical bills.