Steering Oil is hugely important to the performance and life of your car. It keeps things smooth and streamlined on the road. What does Steering Oil do? Steering Oil is the hydraulic oil/fluid that transmits the power in steering system. It helps create the pressure that pushes on either side of your car's rack-mounted piston, allowing you to turn the wheels with ease. Since the majority of cars uses power assisted steering (PAS) systems, this oil/fluid is essential for smooth steering. Is steering oil important Yes, Not only does power steering oil helps with the motion of your vehicle, it also protects against wear and tear. If you don't top up your power steering fluid regularly, then you risk damaging the pump, rack and pinion of your car.