The head gasket seals the gap between the cylinder head and engine block. When it fails, that allows coolant to leak inside the combustion chambers. A leaky head gasket can also allow coolant to seep out near the exhaust manifold, causing the engine to run hotter. A sure sign of a blown head gasket is steam – what looks like white smoke — coming out of the exhaust system and often from under the hood. Because the engine is rapidly losing coolant, it will quickly overheat and should be immediately shut off.