That looks identical to how I have my pump switch, except I have a red LED.
And yeah, sucks when the pump dies. My original pump died on me and I couldn't figure out why I was getting so much hesitation and spark retard under load. Turns out no intercooling will do that. lol
Most setups I've seen are wired so that the pump and fan are on when the ignition is on. I don't have a fan for mine, but that's how I wired the pump.
I also need to update this. I ditched the radiator cap and added a small reservoir with a vent. The system kept pressurizing and then leaking all the fluid out. Once I added the reservoir, no more leaking. It also made the pump much quieter. I think the way I had it before would never quite get all the air worked out of the system and it made the pump noisy.
Yea, having a nice big reservoir for ice would be nice, but this is a DD for me, so it'll prob stay the way it is now. I am planning on going to a full size radiator and A/C condenser though.
If it doesn't get below freezing where you live, I'd run distilled water with water wetter. That's going to get you the best heat transfer. Otherwise, a 50/50 antifreeze mixture.