Installation of insulators for DZ-2500 anti-derail and Custom Signals

On the frog end of my switches I will install an insulator for the green and yellow wire to enable anti-derail.  The green and yellow are also connected to the DCS AIU.  I am going to solder a green and yellow wire to terminal connectors.  I was going to solder 2 wires to each connector to allow me a wire to use for the track signals.  Terry at Custom recommended I do it separately because of a surge hazard being fed to his board.  I drew a sketch of what I have in mind to allow 2 separate places to be insulated.. Question, does this look like it will work.  Appreciate any comments.  

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