one SWAG -
would look for a worn pivot hole or bushing where that "loose" sector gear. may have lacked lubrication.
If further surgery or replacement is necessary, prolly best to replace both the pinion and the gear at the same time...

Check for wear to the shoulder bolt that holds the sector to the steering plate and check that the holes in the plate and the sector gear itself have not worn (elongated).
This is another situation where a little wear here and a little wear there on multiple parts of an assembly can add up to a lot of sloppy fit..........even though each individual part may not actually look very worn itself.
There is also the support bushing for the steering column pinion gear.......wear to it would also add to the total of cumulative wear of all parts in the assembly.