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A remote electric gauge with sending unit would be illuminated. I'm going to start researching that...
There is no good reason not to remove the oil light sender and mount the new sender there as long as the threads are the same. The stock oil light sender is just a simple switch. As long as some pressure is there, the light stays off. That is why it is so useless. 
Last year in my cage, I kept an eye on the guage for a month. Every day there was slightly less pressure. Therefore I could diagnose the problem and swapped motors before it seized up. If I only had an "idiot" light, I would have been the idiot stranded on the side of the road! 
Having a light that tells you there is no oil pressure left is like having an fuel level lamp that lights when your engine quits. 
1982 Pontiac Trans Am...K.I.T.T. in progress.
"It looks like Darth Vaders bathroom in here..."
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