Yes. They're both seperate, and work a little different from the description, however.
Basically, they take the damage you receive from attacks, reduce it by the appropriate percent, then cap it depending on your smiting prayers attribute, and then hit the person who hit you with Holy spell damage equal to that amount.
Necromancers wearing -Holy AL will take quite a bit of damage, and warriors wearing absorption runes will take a little less than the amount listed by the spell.
Against an opponent under shielding hands, the damage is largely negligable.
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