Damage includes eastern women's quarters (5)
I believe the answer is:
harem
'women's quarters' is the definition.
(I've seen this before)
'damage includes eastern' is the wordplay.
'damage' becomes 'harm' ('harm' can be a synonym of 'damage').
'includes' indicates putting letters inside.
'eastern' becomes 'e'.
'harm' enclosing 'e' is 'HAREM'.
(Other definitions for harem that I've seen before include "House of concubines" , "Group of wives" , "Place for women" , "Concubines living together" , "Place for wives of 25 ac" .)