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Q: engine coolant light always on, normal running temp on gauge and fluids ok on 1992 Mercedes-Benz 300E

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Is it a faulty sensor?
(2) Answers
(1) Comments
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Probably the coolant level sensor. Located in the expansion tank. A new sensor is around $30.00 and not too hard to change. If you simply unplug the sensor the light should go out. Otherwise there may be a short to ground further up the wire harness.
You were spot on as well as Answer #2. Thanks again from Enthusiast in San Diego..
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