I have a feeling we already had a discussion here concerning identification at long ranges and hitting neutral shipping. Or was that another forum board?
Anyway, why increase the range? Why had russians kept increasing it? Cause that was the only way their ships/planes could have any realistic chance of even hitting US surface fleets.
Naturally, no one should be just lobbing a missile out there and hoping its gonna find, identify and lock on a proper target on its own. But, that being said, airborne radars are becoming quite good at identifying ships of certain sizes at large distances (be it through sheer improvement in resolution or by scanning techniques like ISAR or SAR ). While exact data is not public, i would venture a guess that if USAF's JSTARS could, by their own admission, identify tank columns in iraqi desert from 100 km away in 1991, the ability to tell a destroyer from a cargo ship/tanker/fishing ship etc in 2007 is quite realistic at even longer ranges.
Besides, only ships out there in a war situation would be real warships and real decoys. Russians didn't have the identification tech available today in 70s and 80s and they still relied on their 400+ km missiles as their weapon of choice. I'm not saying that was necesarrily a good way to go, but in light of other options of the time, it certainly seemed the best one available.