ReThrow
Whenever you want to notify caller method about exception, you catch and rethrow exception.
Say some method callSomething() is calling your method something(). If any exception occurs inside something (), it will just catch exception, so application doesn't fail, and rethrow it to the callSomething() method. Then callSomething() will notify client about internal error.
Other example is, in MVC pattern, request submitted by client is served by some method from controller based on request mapping. Controller will call service, and service will interact with some method of dao. If some exception occurs in DAO, then DAO will rethrow exception to service, service will rethrow to controller, and it is controller which will notify client about error message.
This is known as Exception propagation in java. An exception propagates from method to method, up the call stack, until it's caught.
Multi catch
If you want to perform same action for multiple types of exception, then you use multi catch.