Very Good video on the procedure:
https://www.youtube.com/watch?v=44ZaDzNck1I
Part Numbers
• Bushing = 40210-ZY3-610 – (Vertical shaft bearing)
• C ring = 9052-ZY3-000
• Flat washer = 9053-ZY3-610
• You’ll also need a pair of snap ring pliers.
Removal
Put engine in forward gear.
Remove the lower unit as if you are going to change the impeller on the water pump. Don’t forget the bolt under the trim tab.
Look up inside where you pulled out the drive shaft. There you will see the bushing held in place by a C clip, riding on a metal flat washer. Remove the C clip. Pull out the bushing.
The outside of the bushing is rubber with a metal bushing inside. That metal bushing rides on a raised section of the drive shaft.
Clean out any corrosion and grease the bushing inside and outside liberally with marine grease. A two inch wide wire brush on a drill extension works well.
Installation
The cut-outs in the bushing go up toward the motor.