What is this?

I am wondering what this part is called and how to check for deficiencies around it. It looks like it had
sparked or got burnt (There was black around the lower left edge). Bike is currently not running and I don't know its history. All other wires from the Stator, etc are in good shape.

Neutral light sensor.

Thanks Chris.

That part of the engine, behind that cover where the drive chain is, will pretty much always be covered in dirt and grime.. While youre in there, take notice of the clutch pushrod. The rod should just slide out of place, this is perfectly normal.. But there is a seal there that tends to get torn and leaks oil.. Take the clutch pushrod and smooth it from any burrs with scotch brite/sandpaper and replace that seal.