This summary is not the rule. The rule text controls.
Sometimes a statement includes another statement inside it, like when a hospital record quotes what a patient said, or a witness says "my neighbor told me that the mail carrier said..." This is called multiple hearsay, because you have layers of out-of-court statements stacked on top of each other.
This rule says that layered statements are not automatically thrown out of court just because they contain more than one level of hearsay. Each layer just needs to fit its own exception to the hearsay rule. So if the outer statement qualifies under one exception, and the inner statement also qualifies under an exception (even a different one), the whole thing can come in as evidence.
In practice, this matters when you are dealing with things like business records, medical records, or reports that include statements from other people. A doctor's note that repeats what a patient said can still be used in court, as long as both the note itself and the patient's statement each satisfy a recognized exception to the rule against hearsay. If either layer fails to meet an exception, that part of the evidence cannot be used.