Cormac Costello was Dublin's saviour with a dramatic 75th minute match-winning point at Croke Park, nudging them a step closer to a return to Division 1 of the Allianz Football League.
Trailing by six points with only 12 minutes remaining, Dessie Farrell's side looked in real danger of a humbling defeat to a Clare side fresh off back-to-back defeats.
But seven points in a row from that stage onwards helped rescue a vital win with Costello fisting over the winner in the dying moments of a memorable encounter.
Clare, who were beaten by Kildare in Round 3 having been in a similar position, will kick themselves for letting victory slip through their hands again.
They put themselves in a great position at the three quarter mark with Eoin Cleary, goalscorer Gavin Cooney and Sigerson Cup finalist Emmett McMahon all exceptional but just couldn't finish it off.
Three straight defeats leaves Clare badly needing a positive result from their round 5 clash with Cork in Ennis next weekend while Dublin will head to Derry and Celtic Park.
Sean Lowry and David Byrne were late additions to the Dublin lineup in place of Costello and Niall Scully.
St Vincent's man Lowry, making his full National League debut after coming on against Limerick, looked a positive addition initially with a hand in a series of early attacks.
He won a free that Dean Rock, who finished with 0-8, converted for Dublin's opening score in the fourth minute and when Tom Lahiff won the subsequent kick-out, Lowry was played in again for a point.
Lowry had two shots that he blazed wide too, one of those a half chance for a goal as Dublin piled on the early pressure.
With 13 minutes on the clock, the hosts led 0-04 to 0-01 and everything seemed to be going to plan.
Con O'Callaghan isolated himself close to the Clare goal and was picked up by Cillian Brennan while James McCarthy started at midfield beside Brian Fenton who, for the fourth league game running, got on the scoresheet for Dublin.
Rock was a constant menace and had five points on the board by the 28th minute with two of those coming from open play.
Clare steadied themselves after that difficult opening quarter and three points in a row between the 16th and 20th minutes hauled them back into the contest.
Cleary then tied it up at 0-6 apiece in the 27th minute with a brilliant score after taking on his man and making a difficult kick from the left of goals look easy.
It was another burst of Clare scoring just before half-time that sent the Banner in with a surprise 1-08 to 0-08 lead.
The in-form Cleary booted over again nonchalantly before Cooney beat Lee Gannon in a 50-50 aerial battle to a long ball in from Ciaran Russell and fired a rocket shot to the net, a la Offaly legend Seamus Darby.
Suddenly, Clare led by two points and Podge Collins stretched it to three when he pointed from distance.
Dublin called for the cavalry at half-time and brought on multiple All-Ireland medal winners Costello and Scully up front though it was Clare that scored the next point, extending their lead to four.
Jack McCaffrey then came on for Dublin, his second appearance from the bench since returning from a near three-year exile.
Farrell threw on Colm Basquel in attack too but it was Clare that stretched their lead out to six points with 20 minutes to go following points from Cleary and McMahon.
It turned out to be Clare's high point and they didn't score again as Dublin, through Basquel, Ciaran Kilkenny, Rock, O'Callaghan and Costello, stole victory from the jaws of what looked a certain defeat.
Dublin: David O'Hanlon; Daire Newcombe, Sean MacMahon, Lee Gannon (0-01); John Small, David Byrne, Lee Gannon; James McCarthy (0-01), Brian Fenton (0-01); Ciaran Kilkenny (0-01), Ross McGarry, Tom Lahiff; Sean Lowry (0-01), Dean Rock (0-08, 0-06f, 0-01 45), Con O'Callaghan (0-01).
Subs: Cormac Costello (0-01) for McGarry h/t, Niall Scully for Lowry h/t, Jack McCaffrey for Lahiff 45, Colm Basquel (0-01) for Gannon 51, Eoin Murchan for Murphy 61.
Clare: Stephen Ryan; Manus Doherty, Cillian Brennan, Ronan Lanigan; Cian O'Dea, Pearse Lillis, Alan Sweeney; Ciaran Russell, Darragh Bohannon; Jamie Malone, Eoin Cleary (0-04, 0-01f), Dermot Coughlan (0-01); Gavin Cooney (1-02), Emmett McMahon (0-04, 0-01f), Padraic Collins (0-01).
Subs: Aaron Griffin for Collins h/t, Brendan Rouine for Bohannon 64-66 blood, Rouine for Russell 67, Keelan Sexton for Griffin 70.
Referee: Paul Faloon (Down).
