When I first got my '98 V90 with 74,000 miles on it, it had a similar problem. When I went over small, sharp bumps, I could hear and feel rattling in the steering wheel, like something was loose somewhere. There was also a small amount of free play in the steering wheel, about 1/2 inch at the rim of the wheel. My Volvo dealer wanted over $300 to dismantle the steering column and replace a bushing.

I took it to my independent mechanic instead, and he found that the pinch bolt on the coupler to the steering rack was loose. This coupler fits over the splined shaft coming out of the steering rack. Tightening this bolt took out all the play, and the steering feels like new, even now at 110,000 miles.

You might check this out before having your steering column dismantled or replaced.

Mike L ('98 V90, 110,000 mi; '82 245, 422,000 mi)