BE key information is identified via infrared. It is normal, sometimes you need to change a key position or insert it correctly.
One of our customers found that this red piece was the obstacle in not reading the key. He said it’s a key manufacturing defect by the manufacturer, and they’ve been able to fix the bug by grinding/polishing the red piece.
If you are afraid to damage the key shell, better take the lid off the key and read. Hope it helps.