It should not have any impact on accuracy as long as GPS is used. The only difference is how can it speed up the initial satellite lock. Ideally, it should be within 10 seconds (just like on the phone) but I'm not seeing that yet.I just saw that setting today and switched to high accuracy. Have you tracked any walks/runs to see if it makes a difference? Or do you think the speed of obtaining the signal is the only difference and once obtained the accuracy is about the same?
EDIT: re-read the descriptions on those options, High Accuracy means the watch can use GPS or wifi, BT or cell network triangulation if GPS is not available. It has nothing to do with speed up the initial acquisition. Device only means use GPS only, won't rely on other location services.