Yes.
Correct.
Correct.
Installing an OS update via the OTA updater or via ADB Sideload does not affect the data partition holding the user data at all.
User data will be deleted by using the Easy Installer, by issuing command line commands to wipe the data partition (aka userdata), by unlocking the bootloader (forcing a factory reset for security reasons) or by locking the bootloader (forcing a factory reset for security reasons).
Did you try to boot into safe mode? The shutdown menu should be available before unlocking the SIM card …