Note, it's been around since JDK 1.0, so 1996, 28 years ago (!), though it's not widely used.
But it allows sandboxing of libraries you use. I was using it to make a faulty library that was calling System.exit(0) - yes, a library that was shutting down the entire process, closing the main app... - not do that and instead wrap the exit in a regular exception.
Python and especially Javascript are reinventing a lot of "enterprise" ideas that Java invented 20+ years ago. Maven groupIds are another example from the Java ecosystem (they're used to avoid top level package name squatting).