[guided]The recursion is designed to make the desired formula true at level $n$ by definition. The only possible obstruction is whether the right-hand side can already be evaluated before $\kappa_n$ has been defined. This is where the one-block partition is separated out.
Let $\hat{1}_n\in NC(n)$ be the partition whose only block is $\{1,\dots,n\}$. If $\pi\in NC(n)$ and $\pi\neq\hat{1}_n$, then no block of $\pi$ can have cardinality $n$, because a block of cardinality $n$ would be the whole set $\{1,\dots,n\}$ and hence would force $\pi=\hat{1}_n$. Therefore every block $V\in\pi$ has cardinality $|V|<n$. By the induction hypothesis, the cumulant map $\kappa_{|V|}:\mathcal A^{|V|}\to\mathbb C$ is already available.
For $n=1$, there is no lower-order contribution. We set
\begin{align*}
\kappa_1(a_1):=\varphi(a_1).
\end{align*}
This is the only possible definition because the moment-cumulant formula for $n=1$ reads $\varphi(a_1)=\kappa_1(a_1)$.
Now fix $n\geq 2$ and assume that $\kappa_r$ has been defined as a multilinear map $\mathcal A^r\to\mathbb C$ for every $1\leq r<n$. Define the contribution of all non-one-block partitions by
\begin{align*}
R_n(a_1,\dots,a_n):=\sum_{\pi\in NC(n),\,\pi\neq\hat{1}_n}\prod_{V\in\pi}\kappa_V[a_1,\dots,a_n].
\end{align*}
This expression is well-defined because each factor uses only cumulants of order strictly smaller than $n$. The sum is finite because $NC(n)$ is finite by hypothesis.
We next check multilinearity, since the theorem asserts that the cumulants are multilinear maps. The moment map $M_n:\mathcal A^n\to\mathbb C$ given by $M_n(a_1,\dots,a_n)=\varphi(a_1\cdots a_n)$ is multilinear: the product map $(a_1,\dots,a_n)\mapsto a_1\cdots a_n$ is multilinear by bilinearity of multiplication in $\mathcal A$, and applying the linear map $\varphi$ preserves multilinearity. For a fixed partition $\pi\neq\hat{1}_n$, each variable $a_j$ appears in exactly one block $V$ of $\pi$. The factor attached to that block is multilinear in its own variables, and the remaining block factors are scalar-valued functions of the other variables. Hence the product over blocks is linear in each variable separately. Therefore every summand defining $R_n$ is multilinear, and the finite sum $R_n$ is multilinear.
We now define the missing one-block contribution by subtracting all lower-order contributions from the moment:
\begin{align*}
\kappa_n(a_1,\dots,a_n):=M_n(a_1,\dots,a_n)-R_n(a_1,\dots,a_n).
\end{align*}
Since both $M_n$ and $R_n$ are multilinear, this definition makes $\kappa_n:\mathcal A^n\to\mathbb C$ multilinear. The point of the definition is that the only term not included in $R_n$ is the one-block term, and the one-block term is exactly $\kappa_n(a_1,\dots,a_n)$.[/guided]