I use a ton of Flexwatt, though not the same kind of enclosures. Safe installation instructions for Flexwatt (& similar UTH) is to leave a little air gap to help prevent overheating. So personally, I'd never skip the gap, & there's different ways to accomplish that. I use Flexwatt under all my tanks & for those (which typically sit on top of a solid wood cabinet), I install rubber weather-stripping on the bottom edge of each tank (plastic molding), & then leave a little gap of .5-1.0" on opposite sides in the weather-stripping- this allows air circulation, & also leaves a gap so the weight of the tank is not sitting on the cord, which will cause damage & a safety issue in time. I'm sure you can find ppl who leave no gaps, & perhaps they seem to "get away with it" too, but personally (since the thought of a short caused by overheating that causes a house fire is not very appealing to me) I do as instructions suggest.You don't need a huge gap, btw.
FYI- Flexwatt was not even designed with herpetology in mind- it was originally made for warming the roots of plants in commercial greenhouses, but we in herpetoculture "took it over" for our purposes.And now there are a number of "look-alike" products out there.