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The key is the interpretation of "until it is actually needed."
Obviously an officer doesn't draw his gun every time he encounters a citizen just to get a leg up in terms of reaction time. Neither does he leave it holstered in the interest of avoiding a gun snatch when it's obvious that violence could be imminent.
Pulling out a gun before it's really needed raises the chances of unintentional discharges and also eliminates the security that a retention holster provides. But I'm CERTAINLY not advocating that police should try to handle obviously hazardous situations with fast-draw techniques to minimize the time the gun is out of the holster.
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