Yes they do (brakes engage faster than regen). Regen starts a few 10ths of a second after you release, not immediately. I (and I'll bet the majority of drivers) can swap to the brake much faster. Brakes can also stop the car sooner than regen.
I'm also fine with driving safely. Hypermiling in many cases eschews safety - like over-inflating tires, drafting too close, etc.
However I often use N to release the cruise control smoothly well before an off-ramp, then hit D when I'm ready to slow down more. I can usually press the accelerator just enough to engage D without any jerky motions, it takes a little practice.