I am currently obtain LCM results with pts=2. Results obtained for class 1 for all variables are significant but for class 2 all the variables are insignificant. Please guide.
The interpretation is as simple as any other model. Since your pts=2, there are two latent groups in the population w.r.t what ever choice you are modeling. For the group where all variables are significant, the choice decisions of that group can be explained by the significant variables. For the other group, the variables that you have incorporated in your model do not explain the choice decisions of the individuals in that group. Probably there are other variables (which are not incorporated in the model) that explain the choice decisions of the second group. Think of the 2 latent classes similar to market segmentation but here we don't know what the classes are, these are latent (hidden) classes. You can refer to following references for more details:
Train, Kenneth E. Discrete choice methods with simulation. Cambridge university press, 2009. (Chapter 6: Mixed Logit)
Greene, William H., and David A. Hensher. "A latent class model for discrete choice analysis: contrasts with mixed logit." Transportation Research Part B: Methodological 37.8 (2003): 681-698.