Hollow cathodes for plasma switch applications are investigated via 2D3V particle-in-cell simulations of the channel and plume region. The kinetic nature of the plasma within the channel is dependent on the thermalization rate of electrons, emitted from the insert. When Coulomb collisions occur at a much greater rate than ionization or excitation collisions, the electron energy distribution function rapidly relaxes to a Maxwellian and the plasma within the channel can be described accurately via a fluid model. In contrast, if inelastic processes are much faster than Coulomb collisions, then the electron energy distribution function in the channel exhibits a notable high-energy tail, and a kinetic treatment is required. This criterion is applied to hollow cathodes from the literature, revealing that a fluid approach is suitable for most electric propulsion applications, whereas a kinetic treatment can be more critical to accurate modeling of plasma switches.