€¢ It's piece of plastic that fits between the actual CAM cover and the upper CAM bearings (just wedged between the two). When the car is running, oil is splashed around a lot in the CAM chamber (just try it...you'll have to repaint your garage) and sometimes saturates the positive crankcase ventilation valve. The PCV is connected to the breather tube on top of the CAM cover and goes to the airfilter box.
When the PCV gets saturated it my drip oil into your airfilter box. The CAM saver cover prevents oil from splashing directly on to the inner CAM cover, and also allows oil to drip back directly on the CAM providing extra lubrication instead of just sliding back along the sides. Both VW and certain after market places sell these barriers for about US$ 15. Many of the newer VWs (87 GTIs) have such a barrier installed as stock, but you can often retrofit your car with it as well.
Note that these things not always fit quite right... According to Graig: You need to buy a new cam cover ... more.
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