"My heart is here at UConn," Ollie told ESPN on Thursday. "I want to stay invested in the student-athletes' lives on and off the court. I want to be here."
In April, Ollie coached the Huskies to the school's fourth national championship since 1999, beating Kentucky 60-54.
The new deal more than doubles Ollie's salary; he was paid $1.25 million last season. Ollie was originally given a seven-month contract when he replaced Hall of Fame coach Jim Calhoun in September 2012. Three months later, he was given a five-year contract worth an estimated $7.5 million.
Next season, the Huskies will play Duke in December at the Izod Center in New Jersey and take on other high-profile nonconference opponents such as Florida, Stanford and Texas. In addition, UConn will participate in the Puerto Rico Tip-Off.