In plain words
The wise one, liberated while living, at once lets go of the qualities of the adjuncts that clung to him before he understood, and abides as his own nature, being-awareness-bliss, as the insect takes on the form of the wasp. Understand this.
Word for word
Understand that the wise one liberated while living relinquishes the adjunct-qualities adhering before understanding and immediately abides in one's own nature of being-awareness-bliss, like the insect assuming the wasp's form.