If you notice the smell of oil inside your car, it often means engine oil is leaking onto hot components such as the exhaust or engine block. While sometimes it’s a minor leak, burning oil fumes can enter the cabin and pose both a health and safety risk. An inspection will pinpoint the source and prevent further engine damage.

What does it mean if you smell oil in your car?

The smell of oil usually indicates a leak from the rocker cover gasket, oil filter, oil pan, or other engine seals. When oil drips onto hot engine parts, it burns and creates a strong odour that can enter the cabin through the ventilation system.

Common causes of oil smell in the car

• Leaking rocker cover (valve cover) gasket
• Oil filter not fitted or sealed properly
• Oil pan gasket leak
• Leaking camshaft or crankshaft seals
• Overfilled engine oil spilling onto components
• Oil burning due to worn piston rings or valve seals

Why do you need to fix this problem quickly?

Oil leaks not only cause unpleasant smells but can damage other components, create fire hazards, and lead to low oil levels that harm the engine. Burning oil fumes inside the car are also unhealthy to breathe.

How do you know when to get it checked?

You should book an inspection if:

• You smell burning oil while driving or after parking
• You notice oil spots under the car
• Smoke is coming from under the bonnet
• Your engine oil warning light is on or levels drop quickly

What happens during an assessment?

A mechanic will:

1. Check the engine bay for visible oil leaks
2. Inspect rocker cover, oil filter, and oil pan gaskets
3. Examine seals and hoses for leaks
4. Check engine oil level and condition
5. Test drive to replicate the smell and confirm the source
6. Recommend gasket, seal, or component replacement as needed

How much does it cost to fix?

Costs depend on the source of the leak. Minor fixes like tightening or replacing an oil filter seal may cost $100–$180. Gasket replacements typically cost $250–$600, while major oil seal repairs can exceed $1,000+.

Is it unsafe to drive with the smell of oil?

Yes. Oil leaks can lead to engine damage, fire risk, and harmful fumes entering the cabin. It’s important to have the car inspected and repaired as soon as possible.