Yes, that's a very good way to do it. These fuses have a high ampere interrupt rating (AIC) and are one of only three types which are acceptable under current ABYC E-11 recommendations for direct connection to a battery bank (the others are the Class-T and ANC types). Note that most breakers are NOT suitable, as they don't have a high enough AIC, except for the new Blue Sea System breakers which are specifically designed for such service.
And, you're right to be concerned about the placement of the fuse: it should be within 7" or so...if possible...of the battery bank, NOT after the main cutoff switch.
Bill (or others) - could you elaborate a bit more on the need for AIC rating, with respect to battery banks. What Im really asking is - then how EXACTLY should such a battery fuse be sized/selected with respect to AIS ratings, etc. etc. etc. Thanx