Yes, that is exactly what it means.
Example.
You buy XYZ option, Dec Strike $5 for $.50.
Stock is at $5.25.
This means that $.25 is intrinsic value, $.25 time value.
At expiration, all time value is gone, and only intrinsic is left. If stock is at $5.01 or higher, your broker will buy the shares for $5 a share. you lose $.49.
Typically, you would sell your calls before they expire.