My temperature gauge is always at max as soon as the key is in the on position on my R50, even first thing in the morning when the engine is definitely cold. I disconnected the sensor and it still reads at max. What part could go bad and cause this issue?

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Either the sensor, wiring or the cluster. Start by testing the sensor signal. Easy way to do it is with a scan tool.

- Nick

Are there any faults present in the system? Definitely test the sensor and check over all the wiring to make sure there isn't a damaged wire or loose connection. I'd also check fuses to make sure they're in good working order.