In bone drilling process during the surgical operations, heating increases extremely due to undesired temperature rise that sometimes seriously damages the bones and soft tissues. The overheating is usually recognized as the temperature exceeds 47 degrees C known as a critical limit above which the drilling causes osteonecrosis. In this study, a new driller system is developed to prevent the overheating in orthopedic surgical applications. The driller system has a closed-circuit cooling system to reduce the undesired temperature rise during the bone drilling process. The driller system is designed and manufactured as a prototype and tested experimentally in vitro by drilling fresh bovine bones using different processing parameters. A drill bit with a diameter of 10 mm is designed with a closed-circuit cooling channel internally and used in the bone drilling tests. In the drilling tests, the temperatures levels of the bones are measured using both non-contact and thermocouple sensors. Based on the results measured in the experiments, the developed driller system provides a valuable temperature reduction during the bone drilling process. Therefore, the bone temperature reduction was measured range of 20-25% for lower spindle speeds (rpm) that is usually preferred by surgeons. The temperature levels measured from the drilling tests of the developed driller system having a cooling system are compared with the use of regular bone drilling process without cooling. A valuable temperature reduction is obtained using the driller system during the bone drilling tests.