Thanks for the reply. Looking at the sample aircraft file, it seems that we actually decide when each LOD is used based on the bounding box height as a percentage of screen height, so you are definitely on the right track.
From the sample file:
<!-- minimum display size in % (should be bounding sphere vertical screen size, sphere will often be slightly larger than you expect) -->
<!-- default minSize is 0 -->
<LOD minSize="50" ModelFile="SimpleAircraft_LOD00.gltf"/>
<LOD minSize="20" ModelFile="SimpleAircraft_LOD01.gltf"/>
<LOD minSize="10" ModelFile="SimpleAircraft_LOD02.gltf"/>
<LOD minSize="5" ModelFile="SimpleAircraft_LOD03.gltf"/>
<LOD minSize="1" ModelFile="SimpleAircraft_LOD04.gltf"/>
Correct.