You have it right, I use the same settings here, I found it rides much better 2 up. I find on setting 1, the "front end" is too stiff riding solo, 3 works OK 2 up at slower speeds <65 mph. pauljo installed new shocks in the rear and he says it seems to help. The consensous here (the forum) is the rear springs are a bit too stiff. There is a balance between the front shocks and rear, and that changes from riding solo to 2 up. I contend the rears need to be a bit stiff to accmodate the front. Changing the fork oil in the front to a lighter weight (softer) seems to help some riders, some prefer heaver oil (stiffer). It would be nice if the front forks were adjustable so you could change between solo and 2 up riding. At higher speeds you need a stiffer setting in the rear to keep to front end down.