If you got that letter without a phone call first, I'd suggest a change in brokers might be appropriate.
As Peggie suggested, I'd find a good marine broker and the one she suggests has a good reputation. Insurance is available and while some have raised premiums significantly, with enough searching you'll find a moderate and livable increase.
I don't know who you're referring to as the "outfit in Germany" so could not offer an opinion as to their quality. Perhaps if you share who it is, others may have experience. I'm assuming they're licensed to sell where you are so not sure of the hesitancy as many of us are insured by companies headquartered elsewhere. I'm insured through some outfit in the UK who uses insurers from all over the place.
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