Be careful with your car if surfing 13th - my van got stolen this morning, key in a surf lock safe on towbar attachment (idiot). Down past Boings at Ant carpark (36W) I was in the water when it got taken but a couple of guys were checking the surf, on platform only about 5 meters from car (behind a tree) but not looking, didn't hear them smash the key safe or drive away. So don't leave your car with a key safe attached!!! Thanks to the crew who assisted after - especially Shannon, legend!
Now for the fight with insurance, i'm with RACV anyone with experience with this issue, especially with them,, I've heard of denied claims???

I wouldn't give them the full story just in case.
Maybe say you were pick pocketed, robbed etc
Too much money to be lost
Best of luck

Bugger dools. What mongrel b*stards.

I use one of those key lock safes when surfing in summer and always wondered if they were slightly vulnerable. Question answered.

All the best with insurance.

Sorry to hear about your car. That sucks.
Read your insurance PDS. Some have very clear exceptions (is that the right word?) around keys being in, on or near the car. Which is what leads to the denied claims you're concerned about.

One of the issues that us surfers face is that many newer cars only have electronic key fobs. Can't put those in your pocket while surfing. With some cars, you can get a 'blank' made that will manually unlock the doors, but won't start the car. But where do you keep your electronic fob? Even with a manual key for the doors, if the electronic key is still in the proximity of the car, your insurance can still be void. There needs to be a better work around.
Even worse if it's a newer car that you can unlock with the key in the vicinity, and you can't disable the feature.
If nothing else, everyone should discuss with their insurance co to try and facilitate a work-around, even if it means a higher premium or excess to overcome any exception (?) regarding keys being in, on or near the car. Or change insurer to one that will meet your needs.

My car is leased. Lease company changed insurers mid-lease. PDS doesn't provide wording around keys etc, only that 'all necessary precautions need to be taken' or some such broad wording giving them scope. I sent an email to the insurance handler at the lease company, providing details and pictures of how I lock my heavy duty key safe to the car (underneath, PITA to get to). He said he'd pass it on to the insurers and get back to me. He never got back to me. I figure I've take all necessary precautions.

Hope it all works out for you.

I know this is too late but I leave my electronic key to my Landcruiser in an aluminium drawer in the back. I take the fob key tied around my neck or in the legrope pocket. Even if they break into the cruiser they can't start it by pushing the ignition button. Tested many times. They can't open the back either to find the electronic key. Had my old Corolla stolen twice back in the 80s with the old key on the tyre trick. Slow learner then. The key safes are too risky. Hope you get that insurance. And yes being the Gold Coast (thief capital) I got the Corolla back both times. Must have needed a fix. They were disappointed.