That's oil PRESSURE, not oil level. When the pressure is down it means that the main and/or rod bearings have worn and the clearance between the bearing surfaces and the crankshaft have become so large that the oil pump cannot pump enough volume to keep up the pressure. In short, the engine is almost through. You'll be needing a rebuilt engine soon.
When the oil pressure is low, it can also mean that the oil pump is bad (that would be much cheaper to repair or replace than the whole engine). There are several ways to find out easy if the engine is bad and neads rebult. First, does it burn oil? You can check the oil level from time to time to see if it is going down. When the car is in Neutral/Park, press the accelerator several times a bit stronger and check what is going on at the exaust. If it burns oil, the smoke from the exaust will be black (at higher RPMs), and you will feel the specific smell of burned oil. Bad cillinders or head gasket can cause mixing of oil and engine coolant. Simply open the surge tank and check the coolant. If you can see that it is greasy and find tracks of oil in it, then the engine is gone. Also, on the engine oil dipstick you can sometimes notice white sludge, caused by mixing oil and coolant. If none of this happens, then you should check the oil pump.
(Sorry, if it burns oil the smoke from the exaus will be WHITE - black smoke usually means bad combustion)
If the oil light is on it is seriously low and is probably more than 2 quarts low. Check the level and add until it is full. You now know how low it was.
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If it it a change oil light it is telling you it is time to change the oil. There should be another light that is the oil pressure light.
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you will have to chage your sending unit or your float guide inside your fuel tank drive safe
use oil 10-30 and change the oil sensor
SAE 10w40 full synthetic. Change it every 5,000 miles or every year whichever comes first.
Make sure the oil is full.
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Check Oil Pressure Switch. It's about $60 at Toyota
Light has no full form