Unplugging the sensors under the hood will cause a fault in the system. Even if the light was off it would then come on to indicate a problem with the system.
I don't remember what year the 2nd generation air bags came out, but if you are one fo those guys that has the seat set back and you sit low in the car you are far enough away from the bag to not get hurt if it deploys. I would get it replaced, but it is bucks.
I've been in two accidents, one of those as a passenger, the other one was no one's fault, just bad circumstances. Anyways, one accident I had no seatbelt on, the other I did. I liked the accident with the seatbelt much better. Neither car had airbags. I believe the most protection you can have is best.
Steve