This is normal. It's not any problem with the car or cooling system, it's a problem with how they made the gauge look to the driver. As long as the fan engages prior to the needle being in the red, all should be fine. If you're overly concerned, any good garage can plug into the car and monitor the temperature that it gets to prior to the fan coming on. This can be compared to the specification for the car listed in the factory service manual.
A tip - make sure the plastic air dam is still on the car under the radiator. It plays a big part in cooling (even when the fan isn't running). Over time, it can disappear from the car often without a driver knowing since it is only held on by 2 flimsy springs.
Lane [ lane (at) evilplastic.com ]
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I have a 95 saturn SW1 with an automatic transmission. when i purchased this car, the cooling fan didnt work, and it wasnt a problem in the winter, but now that it's getting hotter out, i decided to fix it, so i replaced the relay, and the coolant temperature sensor, which were both broken, and the fan works, but only when it gets VERY hot, like all the way to the white line just before the red. i was wondering if this was a problem with my pcm, or what else it could be.