Injuries limited the 34-year-old Elliott to 26 games last season, and the Flyers finally got off their goalie carousel by giving the job to youngster Carter Hart.
Elliott was 11-11-1 last season with a 2.96 goals-against average -- his worst since 2010-11 -- and .907 save percentage -- his worst since 2012-13.
He was coming off a two-year, $5.5 million deal he signed as a free agent after stints with Calgary, St. Louis, Colorado and Ottawa.
"Brian has played well for us the last two seasons," Fletcher said in a statement. "He is a proven, quality goaltender who competes and battles hard every time he has the net. We are excited to have him rejoin our team."
Elliott is a two-time All-Star who led the league in save percentage twice and GAA once.