Yes, speaking for my own organization, we are aware of the procedure. In sim scenarios, I have always assumed that crews will proceed as far as 1000ft/OM or equivalent and re-check RVR, as you describe. Our Ops Manual only repeats the standard Approach Ban wording.
I must say, I have often wondered how ATC know when to start the spiel if they don't know (e.g. non-radar) how close you are getting to 1000ft. Or do you say "cleared for the ILS, not below 1000ft", or something?