Go with whatever works, but I'd think the cord would put my lids in greater danger of smacking up against the side of the pot. I guess it all comes down to whatever you're used to.
I never had that experience. I would imagine hitting the side of the pot would be much gentler than falling in the sink, floor, or counter top. For me, removing the cord was simply an aesthetic decision. I was tired of looking at it. But, it's purpose is very clear and that's why many pots remain with their cords. By doing this, I just lost several hundreds of dollars by chipping the knob.