Isn't spiderman too strong for fall damage? In the canon he falls multiple stories onto his face with no ill effects. If he were to hit a building super hard, he would go through it.
Well, it is at least a toggle to allow it or not. I bet it's there to keep the challenge up for people who are looking for it. I would probably turn it on because there is nothing quite like lining up your momentum and direction perfectly. It'll probably feel even better knowing you didnt take damage.
This is an interesting question. They said at times you can go 3 times as fast as in spiderman 1. That would add some additional risk to swinging around town.