One of the two requirements in order for your license to be promoted is your Safety Rating, referred to as SR.
Safety Rating tracks your driving habits in each racing discipline, and how many racing incidents you have during those races, across your entire iRacing ranked career.
The following situations will negatively impact your Safety Rating by accruing Racing Incident Points:
Contact with another Driver
Driving off the Racing Surface
Losing Control of your Car
Contact with another Object
The more incident points you rack up during a race, the more negative your net safety rating from that race will be. But if you drive clean and avoid these racing incidents, the more positive your net safety rating from that race will be. Keep in mind: Incidents are assessed to all involved drivers individually on a no-fault basis – no matter the circumstances.
The Safety Rating Scale is numbered from 0.00, all the way to 4.99. You can check your Safety Rating for any of your licenses by clicking on your helmet in the iRacing UI.
After every session, you can see any changes to your SR by going to the “Results” header and clicking on the last session you ran. Your safety rating is highlighted in its own box, showing you how much you gained or lost in that session.
At the end of each iRacing season, which happens quarterly, drivers who have completed their Safety Rating requirements, as well as their Minimum Participation Requirements, will be promoted to the next license level.
If you don’t feel like waiting for the season to end, you can “Fast Track” to the next license level by raising your Safety Rating to 4.0, or 3.0 as an iRacing Rookie. This will automatically promote you without having to wait for the end of the season, provided you have completed your MPR. Conversely, drivers who fail to maintain a minimum level of Safety Rating will be demoted to their previous license level.
Drivers with a Safety Rating below 2.0 will be demoted at the end of the season, and drivers below 1.0 will be demoted immediately.
A full table of Incidents, their Point Values, and the extent to which they are applied can be found in the
iRacing Sporting Code.
and also more details here: https://www.iracing.com/license-progression/