Looking for crumbling insulation and finding it could actually cause the harness to fail right away. If it is original you will likely have to replace it soon but that doesn't mean you want an inspection now to cause the failure. I would try to get the part number and ask the dealer whether that part number is the original or a replacement. The part number is near the source plug by the battery. You may to unplug to find it. If the car is running OK doing nothing is an option.

Sadly these cars are rather maintenance intensive at this age in their life - and parts have become very expensive, in many cases double what they were 3 years ago. But you do have a very low mileage example. Many of the troublesome and expensive systems were introduced with the HFM engine management system in 1993 - more sophisticated when new but not aging very well. The pre-93 SOHC 103 motors will probably have better long term operating viability.