Had to take my front wheel off because of a flat tire and this is what I came across in the process, a broken magnet sensor! Is this common? or is it because I rode without the front hub seal ring (part no. 92049 Image) Is it possible to ride with the broken magnet sensor with the hub seal ring? Thanks!

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It's hard to tell-is the hub missing a chunk of material? It's pretty obvious that you're getting contamination in the axle/bearing interface because of the rusting. Also, the p/n for the seal in the image is for a fork seal-not the hub.