I personally use Clip Protection. It will never allow sound values getting too high resulting in distortion - which can happen if you use None (overflow flatline). But I also use iZotope Ozone 5 EQ and sometimes iZotope Ozone 6 EQ plug-ins for eq'ing, they too have auto-clip protection thus I never have any clipping or distorting.
Another option is to use Volume Leveling in the DSP studio options. It uses the R128 algorithm to analyze files and apply the correct playback volume for every song thus preventing you from ever having to mess with the volume control as all songs will be played at the same volume, while preserving intentional volume differences between tracks on the same album.
So I think the best option is Clip protection, which is what I use. When you use overflow flatline you can get clipping and distortion when the peak level begins to exceed 100% by too much. Since albums are mastered at different "Loudness" levels (some albums (CD's) are mastered at 86db, and I have seen some as high as 97-97db). As someone who records and masters my own music, I am very familiar with these concepts (LFF also has much more knowledge than me when it comes to mastering and clipping, but not sure if he uses JRiver, but he can tell you a lot about those concepts, he is much more knowledgeable than me).
You always have the freedom to try both, but if you choose overflow flatline and experience distortion or sound volumes getting too high, then switch to Clip Protection - I found that is the best option for me - and you may want to consider what I mentioned above and use the Volume Leveling option in the DSP Studio options of JRiver. That along with Clip Protection is probably your best bet IMO. I personally do not use Volume Leveling, but I think I am going to start so I can set the volume on my amp once, and all of my songs, regardless of how loud or soft they are mastered, always play at the same volume. So that is my personal opinion. You can try these suggestions and find what is best for you. JRiver is incredibly versatile and powerful!