I don't know much about computers but this one is fairly recent (like only a year old). In the beginning the display drivers crashed once in a while, like maybe once a few weeks and a tech buddy of mine just said spiral knights was unoptimized, whatever that means. Lately, it's been crashing pretty much every level with all of my settings on low. This doesn't happen with any other game. Is my computer dying or is there something wrong with spiral knights?
This is the processor: http://ark.intel.com/products/65511/Intel-Core-i5-3450-Processor-6M-Cach...
And this is the computer model: http://www.cnet.com/products/gateway-dx4800-05e/specs/
I'm running Windows 7. This computer is maybe a year old at most.
Something I recently changed in the settings was making the Anti-Aliasing level 1x (down from 4x) because I thought that would help it run smoother at the cost of looking more pixelly, but could that be why this is happening a lot more recently? I'm not sure how that works since, as I've mentioned, I know basically nothing about computers or technology.
Normally for most graphics cards, and especially for integrated graphics like on your computer, you can improve performance by updating the graphics drivers. According to your link your computer is using an integrated NVidia GeForce 9200. Please try downloading and installing the most up to date driver version from NVidia's website linked below.
NVidia Driver Download Page
If this doesn't help please try submitting a bug report after you log back in from a display driver crash. The Bug report should be able to capture what went wrong and let us troubleshoot further. If you haven't submitted a bug report before you can make one by pressing F2 or by using the /bug chat command in game. Please let us know if you submit a bug report.