After bringing the skull back to caius in balmora i was told i need more experince before i can any further is this still part of the main quest or did i stumble across a side quest? Also i am still at level 1 it is taking awhile for me to even get to level 2.

Weren't you supposed to bring that skull back to an orc? As for the "get more experience" bit, that's just a suggestion they give you to avoid running to your death. But don't worry, once you start leveling up, levels will become quicker to gain.

Yep, to the orc in the Balmora Mage's Guild.

I word of advice, alsways check your journal about what quest is active.

What the other said will help you.

I believe that there's a level 3 requirement before you can proceed to the next quest in the Main Quest.

Do some other things to get experience. (You do realize, I presume, that when it's level-up time, you have to sleep in a bed to make it happen. )