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The light is 'supposed' to come on when you are 1 qt low, which is also at the Min mark on the dipstick.
1 qt every 5000 miles is fine. And typically, the harder you drive it (higher rpms) the more it will consume. And every engine is different. Some will burn 1 qt every few thousand, some will go the 15k interval consuming less than 1qt. It's when your car starts deviating from its normal behavior that you should start suspecting an issue.
The issue with the sensor going bad is when your light turns on randomly and your oil level is fine.
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Olympic Peninsula, WA, USA
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2005 Mini Cooper 100k, British Racing Green/Silver-Black
04/2002 4.6is 140k, Silver/Black-Alcantara *FOR SALE*
1989 325iX 270k, Diamond Black/Black
1984 318i 370k *SOLD* (First Bimmer)
Honorable Mentions: '71 2002, '87 325, '90 325ic, '92 525it, '93 325i, '94 530i
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