Details

	None	no labeling
	Automatic	label with tooltips only
	True	label with text only
	All	label with text and tooltips
	f	label with f[x,y,z]
	{f,g}	use g as a tooltip for the complete contour

With ContourLabels->f, the label can be any expression or graphic, and can include constructs such as Tooltip.
ContourLabels->{f,g} uses f[x,y,z] as an explicit displayed label, and uses g[x,y,z] as a tooltip for each complete contour line.
The positions of contour labels are determined automatically to optimize readability.

Examples

Automatically label contour lines with tooltips:

Wolfram Language code: ContourPlot[x / Exp[x ^ 2 + y ^ 2], {x, -2, 2}, {y, -2, 2}, ContourLabels -> Automatic]

Label with tooltips and text:

Wolfram Language code: ContourPlot[x / Exp[x ^ 2 + y ^ 2], {x, -2, 2}, {y, -2, 2}, ContourLabels -> All]

Customize the appearance of the labels:

Wolfram Language code:

ContourPlot[x / Exp[x ^ 2 + y ^ 2], {x, -2, 2}, {y, -2, 2}, ContourLabels -> (Text[Framed[#3], {#1, #2}, Background -> StandardGray]&)]

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