What does "Skip Kinematic Update When Interpolating" do?

While profiling the game thread, i found out that my skeletal meshes in the level are rather costly, specifically their UpdateKinematicBonesToAnim call.

I was trying various stuff, and when I checked “Optimization → Skip Kinematic Update When Interpolating”, performance got much better.

I can’t figure out what does that setting do exactly, and documentation is of no help.

Is this safe to check? What aspects of gameplay can I potentially break by this?

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For example, bullets will not react to collisions with the skeletal mesh, but will fly through it.