In the Netherlands at least it's just added to the general funds, rather than being ear-marked for health care. Also, it turns out smoking actually saves on overall health care costs because smokers die younger; I only looked at the Netherlands, from [1]:
"On a yearly basis smokers have higher health care costs (€3.5 billion) and use more caregivers. Over the complete life-span non-smokers use more health care, especially elderly care (€8.6 billion) and care givers (€1.4 billion). This is because life expectancy is longer. In a smoke-free society health care costs will be higher per capita"
The overall gist of the article is still that smoking is bad and that a smoke-free society would be good (I agree), but health care costs don't actually seem a strong argument, in the Netherlands at least. And aside from lower health care costs, there are also less pensions to give, which saves money.
The costs of alcohol were estimated to be "€2.3 tot 4.2 billion"/year[2] (2013), which also includes police, damage, loss of productivity, etc. Health care specifically is about €450 million. The income from alcohol tax was about €1 billion, which certainly covers the health care costs, though not all of them. I'm not sure if they should: that a small group of people destroy things when drinking doesn't really need to be paid by other alcohol consumers, IMHO.
Anyway, turns out it's not as simple as "smoking = costs society money". Details may differ per country; I just looked at the Netherlands because that's where I'm from.
> They're basically the equivalent to getting a lower health insurance premium if you keep your blood pressure low or sign up for a gym for example.
I'm not sure we have this kind of thing here. Besides, what if I stay healthy by running or cycling? What if you're genetically pre-disposed to high blood pressure? You can market it as a "discount", but it's really a "premium" for people who don't do this IMHO (reminds me of getting a "discount" at some camping sites if you arrive by foot, which isn't really a "discount" but just a way of packaging "you pay for parking").
[1]: https://www.ntvg.nl/artikelen/de-rekening-van-roken#lb-3
[2]: https://www.rivm.nl/bibliotheek/rapporten/2018-0146.pdf