[Chip27]

If the oil light is on all the time will that affect the way atv runs?How does alarm box affect this?

 

[Goober]

If the oil light is on all the time will that affect the way atv runs?How does alarm box affect this?

It could be the alarm box but more likely it is the oil temp sensor. Start by ohms checking the temp sensor using chapter 20 of the service manual and parts links in my signature block below. It’s an easy replacement and if that doesn’t fix it then suspect and test the alarm box.
I don’t think it will affect performance except you won’t know if it’s overheating.
You can dry out the alarm box in an oven. Connector side up and no more than 200F for at least three hours. Reinstall after completely cool

 

[shadetree]

check your pm.