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BMW E60 Oil Level Sensor Repair – 2004-2010 5 Series – All Models

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Repair Summary
The following article gives detailed instructions on performing an oil level sensor repair on a BMW E60 5 series car. Even though we have used a 2005 BMW E60 530i to perform this repair, this article can be applied to all BMW E60 and E61 5 series vehicles with minor modifications.
E60 5 Series M5
E60 5 Series 523Li
E60 5 Series 550i
E60 5 Series 545i
E60 5 Series 540i
E60 5 Series 535d
E60 5 Series 530xi
E60 5 Series 530xd
E60 5 Series 530Li
E60 5 Series 530i
E60 5 Series 530d
E60 5 Series 525i
E60 5 Series 525xi
E60 5 Series 525Li
E60 5 Series 525d
E60 5 Series 523i
E60 5 Series 520i
E60 5 Series 520d
E60N 5 Series 550i
E60N 5 Series 525xi
E60N 5 Series 540i
E60N 5 Series 535xi
E60N 5 Series 535i
E60N 5 Series 535d
E60N 5 Series 530xi
E60N 5 Series 530xd
E60N 5 Series 530Li
E60N 5 Series 530i
E60N 5 Series 528xi
E60N 5 Series 530d
E60N 5 Series 528i
E60N 5 Series 525Li
E60N 5 Series 525xd
E60N 5 Series 525i
E60N 5 Series 525d
E60N 5 Series 523Li
E60N 5 Series 523i
E60N 5 Series 520Li
E60N 5 Series 520d
E60N 5 Series 520i

A common maintenance issue on the BMW E60 5 series is failure of the vehicle's engine oil sensor requiring an oil level sensor repair. If your engine oil is at the proper level but your vehicle is still displaying  error messages and lights, your BMW E60 oil level sensor has failed. A failed oil level sensor will also generate a 27C3 fault code on your diagnostic scanner.

 
Sensors....sensors...and more sensors. Our BMWs are loaded with them. And as we precariously cruise through the 10 year anniversaries of our wonderfully eccentric E60 5 series cars, those sensors will start to fail. More and more error lights and messages start to appear causing anxiety and that nagging voice in our head starts asking..." should I sell this damn car before anything else happens?". Unfortunately, the BMW Repair Guide can't make that call for you (personally we love E60s and prefer to fix them); but what we can do is teach you how to repair many of those sensors without paying a fortune at the dealership. Maybe that will sway your decision.
If you know that your engine oil level is ok and your iDrive is displaying an "Engine oil level below minimum!" warning and the dashboard oil light is illuminated, then you most likely need an oil level sensor repair.
IDrive message and dashboard warning for low oil levels may be due to a faulty oil level sensor.
If you are using a diagnostic scanner, you should also show a 27C3 fault code verifying the sensor is not responding. A 27C3 fault code means you will need an oil level sensor repair on your vehicle.
Typical fault codes for a faulty oil level sensor
View the detailed parts diagram for this repair.
Includes detailed part diagrams, part numbers and links to purchase all of the required components needed to complete this repair.
Before starting this repair, you must have the following required parts.
All BMW E60 5 series cars with M54 engine
Have a oil level light on but you oil level is ok ? The problem may be your oil level sensor, which keeps track of your engine oil level.
All BMW E60/61 5 series cars except M54 engine
Includes sealing gasket. This is the same factory part that would be installed at the BMW dealership. Cheap aftermarket electronic sensors have a know high failure rate. Only install a high quality replacement sensor in your vehicle.
The preferred engine oil for all BMW vehicles
The debate over which brand of oil is best for your BMW is worse than politics these days. All we can say is in our opinion, the best engine oil is factory engine oil. Genuine BMW TwinPower oil is the same engine lubricant that your BMW was shipped from the factory with.
For all vehicles with the M52 or M54 six cylinder engine
To be replaced during every oil change.
Fits all vehicles with the N52, N54 and N55 six cylinder engines
The most important component of your oiling system in your vehicle is the oil filter. It keeps contaminants from making their way through your engine and causing premature failure. Those small metal particles, if not trapped by the filter, would abrade all moving metal to metal connections within the engine and wear out components quickly.
Section 1 - E60 Oil Level Sensor Repair
  1. Jack and support front end of vehicle so you have clear access to the under body of the vehicle. Not sure how to jack and support your BMW? Read our article on the simple and safest way by clicking here.
  2. Remove the oil filler cap in engine compartment. The oil cap must be removed for proper oil drainage.BMW E60 oil level sensor repair - remove the oil fill cap so pan can drain properly.
  3. Using an 8mm nut driver, remove all of the perimeter bolts on the transmission belly pan on underside of vehicle.BMW E60 oil level sensor repair - remove the rear belly pan from bottom of the vehicleUse an 8mm nut driver to remove the pan
  4. Using a phillips screwdriver, remove the screws attaching the transmission belly pan to the front engine belly pan.BMW E60 oil level sensor repair - remove the belly pan
  5. Using a 10mm nut driver, remove the final center nut. Remove the transmission belly pan from vehicle.BMW E60 oil level sensor repair - remove the belly pan
  6. Using a 17mm socket and 1/2" drive ratchet, remove the four bolts attaching the engine skid plate to underside of vehicle. Please note these bolts may be in tight - use an impact wrench, breaker bar or rubber mallet if necessary to loosen.BMW E60 oil level sensor repair - remove the engine skid plate
  7. Remove the engine oil drain plug with a 16mm socket and drain oil into a 5 gallon low profile drain pan. BMW E60 oil level sensor repair - remove the oil drain plug.BMW E60 oil level sensor repair -drain the engine oil from the vehicle.
  8. Unplug the electrical connector from the oil level sensor by pinching in the the two tabs and pulling out. Sometimes the tabs can be quite slippery from oil and grime...if you have a hard time releasing the connector, use a pair of slip joint pliers to squeeze and remove.Squeeze the tabs on the oil sensor electrical connector and pull it loose.BMW E60 oil level sensor repair - if you cant get a good grip on the connector, use a pair of pliers.
  9. Remove the three nuts securing the BMW E60 oil level sensor to the oil pan with a 10mm socket. Grasp the BMW E60 oil level sensor and remove from the pan.BMW E60 oil level sensor repair - remove the oil sensor mounting nuts
  10. Thoroughly clean the oil pan underneath the sensor with a rag and some CRC Brake Cleaner. Make sure to remove any oil and road grime. The surface must be clean for the new sensor to seal correctly.Clean the surfaces thoroughly with CRC Brakleen
  11. Use CRC Electronics Cleaner to also thoroughly clean the electrical connector. Liberally spray the cleaner into the connector and blow out with compressed air if available. If you don't have compressed air, use a hair dryer set on high/cool setting. Use rags to wipe down outside of connector.BMW E60 oil level sensor repair - clean the electrical connector with CRC Electronics Cleaner
  12. Install the new BMW E60 oil level sensor and o-ring. Carefully tighten sensor nuts until they are snug. DO NOT OVERTIGHTEN...you will strip the the threaded studs. Make sure to install the o-ring! We have heard many horror stories of home mechanics forgetting the o-ring and watching all of their oil drain onto the street. Reinstall the electrical connector.
  13. Replace the oil drain plug. Always use a new crush washer. Torque oil drain plug to 25 Nm (18 ft-lb).BMW E60 oil level sensor repair - replace the oil pan drain plugTorque the oil pan drain plug to 25 Nm (18 ft-lb).
  14. If you are replacing the oil filter, do so now.
  15. Refill the engine with oil and replace oil cap.
  16. Replace the skid plate and transmission belly pan following steps 3 through 6 in reverse.
 
BMW E60 Oil Level Sensor Repair Finished
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