A circuit for determining and/or compensating for a measurement error of a sheathed sensor due to a property of a sheath of that sheathed sensor comprises a first and a second terminal for connecting to a pair of sensor signal leads of a sensor element in a sheathed sensor and a voltage measurement circuit. A switching unit controls switching an electrical connection between a first and a second state. A correction measurement circuit generates a correction signal indicative of that a measured current running from the first terminal through the switching unit. A controller receives the measurement and correction signal in both the first and second state, and calculates an error value indicative of the measurement error and/or a sensor readout value that is corrected for the measurement error by taking the measurement and correction signal into account as obtained in both the first and second state.