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Ray is absolutely right. I had the exact same problem on my '95 854 Turbo. During hard acceleration the red coolant light would come on. Found out that the stock grey coolant cap was warped and cracked, and it was leaking some coolant, not to mention depressurizing the coolant tank. I went to the dealer and they replaced it with a cool lookin' green/teal cap and topped off the coolant. Now no more problems, and no more light!
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'95 Volvo 854 Turbo: Gold Edition K&N Air Filter, Leather, 6 disc CD-changer, Rear Spoiler tinted windows
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