That is pretty accurate. Less air gap means the compression curve of the air that is there is steeper, so it will have a higher spring rate quicker. Keep in mind that a fork is, for all intent, a sealed system. The oil doesn't compress, so all the compressing has to be done by the air above the oil. That means the air above the oil acts like an air spring. Less air above the oil means that compression curve of the air spring is steeper. More air above the oil means the compression curve of the air spring is more gradual. If the air gap is small enough it can make it impossible for the forks to compress all the way. Been there, done that.
A little more oil / less air can make the forks stiffer, especially towards the end of their travel. Less oil / more air can make the forks softer, especially towards the end of their travel. The effect of different oil levels / air gaps will be most noticeable towards the end of the forks travel. It can be a useful tuning tool, either on the track or on the street. It is as important in my opinion as getting the right spring rate.