Does reducing gain setting on power amp increase chance of clipping?

No. As long as the voltage of the signal (set by the gain) is less than the rail voltage it will not clip.

BTW, never set the volume to 100% before sending the signal through.  You never know.

Amplifier gain is fixed, never variable. In reality what your "gain reduction" is limiting is the amplifier input level. In other words more like "maximum volume lock". What this does will depend on how it works. The vast majority of volume controls are really attenuators. If smooth then a variable attenuator or trim pot. If stepped then a stepped attenuator with a lot of different value resistors.

Either way, the max is limited by setting a minimum amount of attenuation. In other words like beyond a certain point turning the volume up no longer turns the volume up. It doesn't limit the amp. It limits the input to the amp.

“never variable “ …wow, just now I am listening to a variable gain aka negative feedback amp…I can flick a switch …and change both…. like i say pick your expert carefully…

Music Reference RM-9, from a measure and listen genius Roger Modjeski ( RIP )

I am an EL-34 burning Robot

never variable.

Just to be clear:

I can change the gain on my Crown Studio Ref 1 amp and Emotiva SA-250 Stealth amp With the flip of a switch.

So just how do those "trim pots" on the back of a lot of Parasound gear work?  Do they really reduce gain in an electronically transparent fashion?

Also: check the possible settings on the back of a Benchmark AHB2.

I am a robot specializing in mountains, crosswalks, motorbikes, and traffic lights.

Oh, and now chimneys.