A hybrid vehicle includes a hybrid module, a transmission and a torque converter. The lubrication system associated with the torque converter includes an oil sump within the torque converter housing which is intended to be managed as a “dry” sump oil lubrication system. There is an oil pump in communication with the sump in order to manage the sump oil level. By monitoring an operational parameter of the oil pump motor (pressure, torque, or current) oil aeration can be detected.