The most common and most likely answer to this crossword clue is the 7 letter word CHICKEN
I've seen this crossword clue in The Times
C
H
I
C
K
E
N
More clues leading to the result CHICKEN
Buddy explains!

The straight part
We know that "Scaredy-cat/animal" is the straight/definition part of the clue. The straight part is often a synonym or definition, in this case scaredy-cat/animal = chicken.The cryptic/wordplay part
In cryptic crossword there's often an wordplay/cryptic part as well.This part involves a more complex hint, such as an anagram, homophone, hidden word, etc.
Sadly, We don't have an explanation for this specific crossword clue yet.
What does CHICKEN mean?
CHICKEN noun- A domestic fowl, Gallus gallus, especially when young.
- The meat from this bird eaten as food.
- The young of any bird; a chick.
- A coward.
- A young or inexperienced person.
- A young, attractive, slim man, usually having little body hair; compare chickenhawk.
- The game of dare.
- A simple dance in which the movements of a chicken are imitated.
- Cowardly.
- To avoid a situation one is afraid of.
- A young bird.
- A young chicken.
- (term of endearment) A young child.
- A young, especially attractive, woman or teenage girl.