This skill will trigger if damage taken is above 60 before any damage reduction (such as from Protective Spirit or Reversal of Fortune) or any damage increase (such as from Frenzy, which must be used before Protective Spirit in order for it to be advantageous). The exception to this is Aura of Faith which must be used after Spirit Bond to allow Spirit Bond to trigger on packets with initial damage of 60+ and have double healing.
Anomaly! This skill actually heals before the damage is taken, though the description would imply reverse order.