Our 95 850 Turbo (81,000 miles) has sprung an oil leak, amounting to about 1 quart/week, much of it on our garage floor. It started about two weeks ago, appearing on the crankcase beneath the flywheel housing. Our local Volvo dealer looked at it and believes it is the rear main oil seal ($790 to fix). Another dealer (who hasn't looked at it) says a more likely source is the seal in the oil return line from the turbo. Apparently the return line seal is the subject of a Volvo technical bulletin and is known to be a problem. Does anybody know of main oil seal problems in the 850 and, if so, any clue as to the cause?
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