is it dangerous to drive when trac off and service engine light is on?
That all depends on what you mean by dangerous, if you drive with any kind of common sense knowing you vehicle has a problem you should be fine, it is not going to fall apart in a million pieces but it should be checked over and repaired as soon.
Have a mechanic run a diagnosis on the wheel bearings. Should show a code since light is on. I'm willing to bet the wiring at the bearing hub is bad. Happened numerous times on my Alero, bearing itself is good just wiring went to crap.
By the way, it just won't activate traction control in snow. I've drove like that many times.
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