Do you use a harness? If you do, you can leave the collar loose enough for use at rest, and use it just for ID while on walks. Another option is to use a harness always, instead of a collar, and attach the tags to the harness.
However, because of the potential for bacterial build-up, or for the collar getting caught on things (choking hazard), or for the dog to get their foot stuck in the collar (yes, this happens, sometimes they loose nails or have other injuries)- because of that, it's usually recommended that your dog not wear the collar inside- eliminating the issue where it's too tight when she's lying down. And of course, NEVER let her wear it in the crate.
However, because of the potential for bacterial build-up, or for the collar getting caught on things (choking hazard), or for the dog to get their foot stuck in the collar (yes, this happens, sometimes they loose nails or have other injuries)- because of that, it's usually recommended that your dog not wear the collar inside- eliminating the issue where it's too tight when she's lying down. And of course, NEVER let her wear it in the crate.