This option refers to the internal Phoenix FD Light Cache, which is not related to the V-Ray Light Cache.
When using V-Ray Progressive Rendering, this option might slow down rendering startup or the overall render speed.
This feature might produce artifacts when the smoke is very dense.
This feature might produce artifacts when objects cast shadows through the smoke.
Rendering multiple copies or instances of the simulator node with this option turned on might lead to slow-downs.
This option will consume additional memory, so beware of high RAM usage when rendering very large cache files or a large number of copied or instanced volumes.