Hi,
If you don't want the payment to be captured automatically then yes, you want to set the "instant capture" setting to "no".
Note that in this case, after the payment is authorized at the end of the checkout, the plugin will change the status of the order to what you selected in the "pending status" setting of the payment method.
Then, when you change the status of the order to the status configured in the "verified status" setting, the plugin will ask epay to capture the payment.
So if you want the status to be confirmed after the authorization, and the funds to be captured when the order is shipped, you want to select "confirmed" in the "pending status" setting, and "shipped" in the "verified status" setting of the payment method.