Re: How is your idle set?
The myth that the kill switch will damage the CDI is just that; a myth. Those that have had problems will sometimes blame them on the kill switch but the evidence is that wiring it correctly will have no ill effects on the ignition components.
Set your idle speed just high enough that the engine doesn't die when the clutch is disengaged and enjoy the ride using the kill switch as it was designed to be used.
By the way; I do the same as you and shut off my engine and pedal with the clutch disengaged when encountering people on walks and bike paths then pop the clutch and go when the coast is clear.
Age and Treachery Will Always Triumph
Over Youth and Skill & "Charlie Don't Ride"