Wolfram Language (Mathematica), 53 bytes
#/.{a___,Shortest@b___,c___}/;PalindromeQ[a<>c]:>{b}& Input and output are lists of characters. The test suite does the conversion from and to actual strings for convenience.
#/.{a___,Shortest@b___,c___}/;PalindromeQ[a<>c]:>{b}& Input and output are lists of characters. The test suite does the conversion from and to actual strings for convenience.