Final answer:
The policy that enforced legal racial separation in South Africa was apartheid, an institutionalized system of segregation introduced by the white minority government in 1948.
Step-by-step explanation:
The policy used in South Africa to legally separate people of color from whites was apartheid. Apartheid was a system of institutionalized racial segregation and discrimination that was implemented in 1948 by the white minority government.
This policy classified South Africans into different racial groups, including black, white, colored (mixed race), and Indian or Asian.
Apartheid affected every aspect of life and entrenched racial inequalities within the society.
Furthermore, to enforce this policy, legislation was passed that created separate homelands for different ethnic groups, leading to forced removals of people from their homes.