A contingent beneficiary is like a backup plan for when someone is supposed to receive money or things from someone else. If the first person can't get the money or things for some reason, like they die or don't want them, then the second person gets them instead. It's like having a second choice just in case something goes wrong with the first choice.
Example-
Let's say John wants to leave his life insurance policy to his wife, Mary. However, John also wants to have a backup plan in case Mary passes away before him or cannot receive the benefits for any reason. In this case, John can name their son, David, as the contingent beneficiary. This means that if Mary is unable to receive the benefits, David will receive them instead.
So, if John passes away and Mary is still alive, she would receive the benefits from the life insurance policy. But if Mary passes away before John or is unable to receive the benefits, then David would become the contingent beneficiary and receive the benefits instead.