Different Squelch Types
I will try to answer your questions:-
1. LEVEL SQUELCH is the easiest to explain. It is like a switch setting governed solely by the 'S' meter (signal strength) signal. You set the position, any signal below that the receiver volume is muted. Any signal above it and the audio is sent to the speaker.
2. NOISE SQUELCH is very similar, except the switching is governed be the strength of the audio signal, not the signal strength. The main advantage is in say AM Broadcast monitoring, when you might get a lowish signal strength signal (below your LEVEL SQUELCH threshold), but with quite a lot of volume.
3. VOICE SQUELCH never seems to work very well, not just on the AR-DV1. In theory it analyses the audio, and only sends sound to the speaker IF the frequencies of the audio match voice frequencies.
The problems there are fairly obvious, and because other sounds can sometimes (often) include voice type frequencies it is not very useful.
It only tends to come into its own if, for example you are listening to a frequency which sends out bursts of data, and sometimes a voice. It can work 100% then, but it still depends on the audio frequencies of the data bursts.
As MStep says, you just have to figure out which type of Squelch best serves your needs for individual frequencies.
I know eSPYonARD lets you change the Squelch settings in real time. I cannot comment about other software.
The AR-DV1 also allows you to select auto-squelch, for Level and Noise. Again eSPYonARD lets you do this in real-time as above, but personally I have never experimented with it. After clicking the Squelch type you want, you click the Auto button. The program's display is almost identical to that of the receiver, so what you see on the AR-DV1, you see in the same place on the program's screen.
I know the eSPYonARD 'Try Before You Buy' version has no limitations regarding Squelch selection.
On VHF/UHF usually I find Level Squelch is best. For the lower Bands I have to decide by experimentation.
Cheers