Yes, that is correct. I heard (in a University level sex class) and confirmed with my doctor that yes, in many cases the body actually rids itself of the virus (eventually). So, if you have genital warts and treat them it is possible to never have an outbreak again.
There is no test for the .H.P.V virus itself, however so even if you suspect your body has rid itself of the virus (no warts, no irregular cells on pap smear), it is still possible you still have it and can pass it on.