Electric and magnetic fields are not defined at the same point. They sit at offset positions within the cell and are updated half a time step apart. Both time and space derivatives are approximated by central differences, giving a scheme that is second-order accurate in space and time.
The update is explicit. The next values follow from the previous ones alone, so no large system of equations has to be solved. In exchange there is an upper bound on the time step: fail the CFL condition and the calculation diverges.
Accuracy does not come automatically from the method. The grid is generated according to the accuracy setting and the materials, with setting 1 giving 6 points per wavelength and each step after that adding 4. The run continues until the auto-shutoff condition is met, and PML is placed at open boundaries. For materials using measured (n,k) data, how well the dispersion model fits also affects the result.