df.index.isin(['01', '02'])in your example, it is checked if each value in the index is equal to one of the values in the range (similar to SQL).
Therefore, in your case, a check:
'N01'=='01' or 'N01' == '02'
whichFalse
Proper use .isin()in your case will be:
from pandas import DataFrame
df = DataFrame(data=[['a', 1], ['b', 2], ['c', 3]], index=['N01', 'N02', 'N03'])
df.index.isin(['N01', 'N02'])
array([True, True, False], dtype=bool)