Yes, that's the idea. But the nozzle(tip) still gets heated when cutting.
And when you are drag cutting, current goes from electrode, nozzle, work. Which also heats the nozzle.
So if possable, use non conductive templates, and keep the nozzle from draging on the work.
I have 2 nozzles with mine. One is a drag tip that has 3 equally spaced openings to let air in or blowback out (not sure) and the other is not a drag tip. So for the drag tip should I keep it off the cut material? I've been using an aluminum cutting guide and if I understand you right that may be contributing to my early nozzle wear when using the drag tip. Is that correct?