IBM said Watson will be used by one of the nation's largest health insurers to help diagnose medical problems and authorize treatments.
Wellpoint Inc. will use the supercomputer's technology to access patient information and choose among the best treatments and medicines for its 34 million members.
Earlier this year, Watson won $1 million on the game show and donated the money to charity.
WellPoint is the nation's largest publicly traded health insurer based on enrollment. It operates Blue Cross Blue Shield plans in 14 states, including New York and California.
The Associated Press contributed to this report.