My ex-mechanic damaged the clock spring on my 240 years ago. Yes, if the driver air bag is non-functional it will light the air bag light on the instrument panel.
My understanding is that it is a big job on a 240. Can't comment on an 850. My take on that is "if ain't broke don't fix it"...:)
If you ever decide to fix it, disconnect the battery for at least a 1/2 hour and unplug the air bad sensor first. In fact, I would go a step further and cover the battery cables with plastic bags. And be extremely careful. That sucker can kill you!
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