A previous poster explained it perfectly. So in mode A: the water level sensor in the sump will detect low level and activate the pump to fill. Once it reaches it's float position the circuit is broken and the pump is off.
The second switch is set to always be floated and sitting in your topoff reservoir just above the pump...so if it FALLS the pump is cut off to avoid burning the pump.
To me, water damage an dead livestock cost more than a stupid pump, so as you see pictured I run them both in the sump to prevent over filling.
You can see they're RIGHT next to each other. But the second switch housing is just mounted on the bracket upside down you can see the white float on that if you look closely.
So in summary. Mode A: switch one drops, activates pump, raises with water being added and cuts off pump. If for some reason there is a fault, or pump malfunction or whatever, and the water continues to rise, the backup switch will float to the top of its braket (or as it "thinks" the "bottom"), and cuts the pump in the event of a switch 1 failure. It thinks it has sunk to the "low reservoir level" since it's upside down and acts as a fail safe. Make sense?