If we have never learned a word of French, we'll still know more than 15,000 French words. The only difference is the pronunciation. And that's (almost the spelling of) one of them!
Hôtel is a French word in English usage and the closest we ever get to that word in English is Hostel. Because English children would be taught that to speak correctly they should pronounce their aitches, they would naturally make that sound when using words beginning with "H". Words such as hamster and hiatus are in common English usage and so the aitches would again be sounded. Many English or American words which (to the despair of many traditionalists in France) are taken up and then adopted with "le" or "la" in front of them are automatically mispronounced in France, especially if they begin with an "H". (le hold-up, le hot jazz, le home-trainer, etc., ) Incidentally, "honor" is an American word - the English is "honour".
In the Middle Ages, French was the language spoken by Royalty and persons of wealth and title at the English Court. In the years when France was ruled from England and then when England was ruled by a French King, it's likely at that time there was a huge exchange of words - and naturally much of the French remains in the English language. Today many are actually used and pronounced in the French way - fait accompli, for example- and it's likely that many English people never think of the origins.
In France now, English language and traditions and style are often considered "très snob"; yes, they actually say snob. It's the reverse of a time when the French language was the classiest language spoken at Court all those years ago.
IMO it's a straight choice. If you have a word which you use in English and which you have always considered as English, then you are going to pronounce it in the English way. Far less often, you'll use a new word from another language but try to pronounce it in the way it would be in that language. Hotel is a word used commonly in English over endless years, so people will please themselves. But otherwise, we generally make an effort to pronounce words properly in another language - whether we speak that language or not. If not, the UK would be filled with the sound of people mangling language and ordering "café olē to drink with their take-away Peezers, for example!