From an electrical standpoint I could see that using the kill switch while the engine is turning at high speed, like going downhill, with the clutch engaged, that the magneto is pumping its output into a short (caused by the kill switch), and maybe the hair-thin wire used for the blue wire output could open up like a fuse.
But, if you disengage the clutch and hit the kill switch, then you could do that a million times and nothing would be damaged.