When using metal junction boxes for electrical work, it is required to use a cable clamp to hold the cable at the edge of the box and to protect it as it passes through the potentially sharp metal. Often, a screw-clamp clamp like this is used:

Image courtesy of topaz-usa.com. First small image I found for what I was after
How tight should the screws be that actually clamp down on the cable? I've always tended to tighten them until the wire cable* is squashed between the clamps, but recent reading indicates to me that this may be too tight.
What is a reasonable rule-of-thumb for knowing when the clamp is tight enough?
*I originally meant to say "cable", but wrote "wire". I know I've pinched the cable housing, but don't know if I've tightened things down tight enough to actually pinch the wire insulation within the cable.