Jo Grant leaves the show at the end of the tenth season. (Actually, it's worth reflecting on that statement for a moment; not many genre shows even have a tenth season, and even fewer have so many of their most popular episodes still ahead of them at that point...) Her player has come to the end of what passed for a story arc, and comes up with an idea for a new character.
One of the other players had briefly considered the idea of acquiring an NPC Contact - a mysterious journalist named 'Smith' who would have inside info on weird goings on for the players to investigate. With the campaign definitively moving back to outer space adventure, the idea is shelved as not worth the experience points, but it's given Jo's former player an idea. And so she creates investigative journalist Sarah Jane Smith.
In the real world, Sarah is consistently voted the most popular classic series companion. Likely for that very reason, she remains the only classic companion to appear in Nu Who so far, and also appeared in not one, but two, spin-off TV series... even if one of them deservedly sank without trace after the pilot episode. That aside, she clearly had a long and illustrious career, and often as the central character in her own right.