In forza 6, while racing at night, is it possible to smash your headlights and then causing you to have to race at night without headlights?
Yes. It can be a pain too.
Yes. Or just choose a vehicle without lights to begin with.
It does get quite dark at times.
Mistakes will be made.
I lost the headlights in the first turn at Spa. With the driving line on, it posed challenges. Without it… well, I hope your insurance is paid up. 
can your damage settings to Sim
One thing I’m curious about but haven’t had the chance to test yet - are broken headlights fixed if you pit?
Unfortunately not. A real pain in the ass if you’re driving endurance races (Le Mans 300 miles for example) this issue can ruin your whole run if you’re driving without braking line and have rewind deactivated. That is the reason why I have rewind on on endurance races. Too much risk of ruining such a long race because you can’t repair your headlights in the pit.
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So I have to ask because I haven’t been able to get a response in other threads to figure it out.
Let’s say I have my damage set to cosmetic. Now I start an endurance showcase event, will it automatically turn damage and wear on to simulation or not? How about the AI - I know the AI aren’t affected by simulation damage mode if you have it on during regular play. Are the AI affected by damage and wear on Endurance races???
I want to play these with simulation on but only if the AI is affected as well. I’m not going to take the disadvantage and have to pit if the AI can ignore it.
If you start a endurance race with cosmetic damage on it will stay that way you won’t have to pit.
The AI are affected by fuel usage either way so even if your running cosmetic damage they will still pit. I learnt that the first endurance race I did accidentally left cosmetic damage on & walked away with it while the AI were in the pits.
Yup, the AI pits no matter what damage setting you are running on. Just to re-underline though - headlights can be damaged on either cosmetic or simulation damage, and cannot be repaired, so be careful if you’re doing the Le Mans night race!