First off, welcome to audioholics!
To answer your questions:
1. You will loss some quality as coax/optical digital cannot carry HD audio such as DTS-HD, which you will find on your bluray discs.
2. I would not recommend this option, same reason as #1.
3. If you run everything through the receiver you will need to have it on, unless you run multiple connects, like cable box --> hdmi --> receiver and cable box --> coax --> tv. Wouldn't recommend it, but it's an option!
Looking at the model number you provided all I see is a receiver, no speakers or HTIB. I would strongly suggest you look at some stand alone speakers, perhaps a 5.0 set of Energy speakers like
this.
Combine those speakers with another receiver, perhaps something like
this. It would ensure you will get all the HD audio that your bluray player can produce.
If you want a sub I would recommend this
this.
The above setup will sound significantly better than a HTIB, is still very easy to setup, especially if you follow some of the wonderful guides available here at Audioholics!