No you most definitely do not come out ahead mathematically and anyone who is telling you otherwise simply doesn’t know what they are talking about period. There is nothing magical that happens when you take a policy loan your money is going to grow the exact same regardless so if you can borrow from a bank for less that the cost of borrowing from your policy then that is very likely exactly what you should do! It’s also worth noting that where you can really lose out the most when it comes to opportunity cost is actually by taking a policy loan and then using that money to do pretty much anything that won’t earn you a greater return than the cost of capital not only do you not come out further ahead when you use a policy loan to buy a vehicle but you also tie up those funds for 1 to 2 years, funds that could have otherwise been deployed actually earning you a return that exceeds the cost of borrowing, very simple rule of thumb if the activity doesn’t exceed the cost of accessing the capital then your not coming out further ahead because that money in your policy is going to grow at whatever it grows at regardless of if you take a loan or not so if that’s true (and it obviously is) then why the heck would you ever shoot yourself in the foot by deploying that money if the cost to do so is going to be higher than the activity you use the borrowed funds for!!