Simple example that I use often when writing API clients:
In current C# I usually do something like
public class ApiResponse<T> { public T? Response { get; set; } public bool IsSuccessful { get; set; } public ErrorResponse Error { get; set; } }
This means I have to check that IsSuccessful is true (and/or that Response is not null). But more importantly, it means my imbecile coworkers who never read my documentation need to do so as well otherwise they're going to have a null reference exception in prod because they never actually test their garbage before pushing it to prod. And I get pulled into a 4 hour meeting to debug and solve the issue as a result.
With union types, I can return a union of the types T and ErrorResponse and save myself massive headaches.
I think I get it but I'm not really sure what I'm gaining over exception types. With an intelligent use of exceptions I can easily specify the happy path and all the error paths separately which seems really nice to me, because usually the behaviour between those two outcomes is rather different.