Yeah. The "very small amount" is part of what keeps me from worrying about the difference in cost between motor oil and a firearm-specific product.
As far as toxicity goes, here are my 2 cents worth:
Cent #1. I'm not really worried about getting it on my hands--I think more about having it run out of my carry gun (in admittedly small amounts) onto my clothes, or having it (again, in admittedly small amounts) spray onto my face during recoil.
Cent #2. To be perfectly frank, I don't really even worry that much about it at all. It's just that it's so simple to find a really good product that doesn't have the issue that I can't come up with a good reason not to go that route. I mean, if it were really hard to find non-toxic gun lubes that were great performers, or if the cost differential was actually significant (to me), then I could rationalize going with something like motor oil. But neither of those things is true so I can't really convince myself that there's a good reason to use motor oil.
I suppose that some people really do need to budget so carefully that the difference in using a product that is ideal vs a cheaper cost lubricant is an issue. If I were in that situation, I wouldn't have any problem using an automotive lubricant--although I'd probably go with ATF instead as it seems like a better fit for firearm lubrication. But I'm not in those kinds of financial straits, so I am currently lubricating my guns with a clear, odorless, non-toxic oil that provides great lubrication and excellent corrosion protection. I'm sure it costs more than motor oil or ATF, but I don't care that it does and, in fact, I couldn't even guess at the difference in price.
AND, it comes in a bottle with a convenient applicator so I didn't have to pay extra to buy one or hassle with transferring the oil into a separate container for use.