The board made the decision at a meeting Wednesday in Athens, The Athens Banner-Herald reported.
The new policy limiting what the state will pay for retiree health benefits will not affect current employees of the University of Georgia and other Georgia public schools and colleges, officials said. The change will only apply to people hired after Jan. 1, 2013.
Under the new policy, the state will contribute to retirees' health insurance coverage based on how long a person has worked for the university system when he or she retires.
The policy change should save the university system more than $3 million a year starting in about 10 years, according to system Chancellor Hank Huckaby and Vice Chancellor for Human Resources Marion Ross Fedrick.
The Regents approved the change unanimously without discussion.