Chris,
That lockout device makes a lot of sense. The auto-lockout panels are rediculously expensive.
I believe I may eventually get a PTO generator. I like the idea of not having another engine to maintain. I will hook up a generator jack to one of the service panels outside beside the power transformer. This approach has the advantage that I don't need a long expensive cable running from the generator to the indoor electrical panels. In addition, the outdoor service panel is far enough from the house that I won't have to worry about exhaust fumes. Plus, since the generator will be upstream of our main electrical panel inside the basement, I can turn on anything I want to in the house as long as I have enough power. Our water heater is gas and we can heat the house reasonably well with the fireplace. Eventually we plan to replace our freebie electric stove with a gas stove. In the grand scheme, once implemented, I believe we could live quite comfortably during an extended power outage.
Interestingly, if we were not on well water, I probably wouldn't get a generator. With cold water, a gas stove, and the fireplace, we could handle a day without power without much trouble. The only big concern about an extended outage would be the freezer. But since we have a well, we'll get a generator regardless.
Obed