A system (100) and method is provided that facilitates functional safety monitoring of relay contacts. The system may include a contactless sensor circuit (108) that includes: an output signal antenna (110) positioned in the contactless sensor circuit to extend between at least two contacts (116, 118) of a relay (120); and first and second input signal antennas (112, 114) positioned in the contactless sensor circuit respectively adjacent the at least two contacts of the relay, such that the output signal antenna and the at least two contacts of the relay are positioned between the first and second input signal antennas. The system may also include a processor (102) configured to cause the output signal antenna to output a wireless signal (122) capable of being received by the first and second input signal antennas while the processor monitors wireless signals received by the first and second input signals antennas. The processor may be configured to determine that the relay has a fault based on the wireless signals received by the first and second input signal antennas, and responsive thereto output at least one communication (126) indicative of a fault with the relay being detected.