In Battle Doom, a VR FPS game, in order to keep the player in bounds at all times, the player's position is altered if their head, body or weapons move past a wall. This element surprised me as I thought I was peeking around a corner, but I had actually just left the spawn area and wasn't allowed to go back.
I applaud the idea, but would want to implement it such that the player's avatar is instead prevented from walking into the wall, and the player's vision gets a 1 foot depth fog barrier perpendicular to the wall(s) they have passed. This prevents the player from gaining knowledge of what is on the other side of the wall, and prevents the player from protecting their avatar via wall movement. During this time, the player should be told that they:
1) are separated from their body
2) can activate the normal movement system to return to their body's location
3) perhaps have an arrow pointing in bound near chest height perpendicular to the wall and where their vision is at. If they enter back in bounds within a short distance where their avatar could be, their body snaps back to them. If they wall clipped to a location they didn't have short access to (2 teleports of distance/10 seconds of movement), then I would be tempted to teleport them back (fade out, move their viewpoint, fade in, message "You have been returned to your body.")