Something furry around old garment (4)
I believe the answer is:
coat
'garment' is the definition.
(I know that coat is a type of garment)
'something furry around old' is the wordplay.
'something furry' becomes 'cat'.
'around' is an insertion indicator.
'old' becomes 'o' (common abbreviation eg in OE for Old English).
'cat' going around 'o' is 'COAT'.
(Other definitions for coat that I've seen before include "Jacket" , "Outer garment" , "Warm outerwear" , "Overgarment" , "Layer of paint" .)