The can of the capacitor should only be assumed to have functional insulation between itself and its pins. Therefore in this case the clearance should be between the bounding surfaces of the electrolytic capacitors on both sides. That could be dist2, although @Misunderstood pointed out that that marks the silkscreen, not necessarily the outside of the cap.
In your first picture it actually looks like there is less clearance between the top of that same capacitor and the copper adjacent to it. I would think that would be the shortest distance and therefore the clearance.
As for your second question, the amount of clearance required depends on a few factors which are not clear based on what is known about the circuit. For example, mains transient voltage, and the pollution degree of the board. See also Section 184.108.40.206 of IEC 60950-1.