As your racing, there shouldn't be check points or save progress. Races should last longer than 5 laps and full races should be available.
If you total your car, tough, you should not be able to rewind.
I can understand having lives in platform games and having check points on FPS (read check points and not save at any point you want), as I think that they fit into the genre. But with sports games mainly, it shouldn't happen. Would you have a replay feature on Fifa, in case you missed that chance? Or a replay feature on Fight Night, just in case you didn't weave away from that hook which dropped you?
The basis of racing is pushing your car to the max for extended periods, whilst managing wear and fuel and other competitors. If you make a mistake you lose time, positions and could rertire from the race. It takes away a massive part of the game if at somepoint you push just a little bit too hard and go off slightly on a corner and loser a place, or lose it under breaking on an entrance etc.
It's frustrating sure, when you know you've made a mistake, missed the apex, dropped it on the curb or what have you, but 'that's racing'.