One thing I've noticed is that dynasties seem quite dull. A few ideas to spice it up (I reference ASoIaF below, so spoiler warning):

1) Have the heir be able to take over if the sovereign dies. Maybe have it so the heir gains a boost if the sovereign dies, gaining some of their parents essence or skill points to help give them a chance to get back in the game (you don't want a young, inexperienced heir taking over). Still, reward the slayer appropriately, but don't just wipe out the faction. Like in ASoIaF, when Eddard Stark dies, Robb takes command of the House, leading them to war. This is a much more realistic solution, and it gives the heirs more value.

2) Furthermore, characters could be made more interesting with more traits. Why not have random events that affect the dynasty in certain ways. Crusader Kings had a system where a random event would happen (see here for example http://i31.tinypic.com/erlpty.jpg). This could add a trait to the character involved. For example, your son could ask to go riding with his friends. You could refuse or let him go. This could branch into a number of outcomes. If you let him go there could be 70% chance he gains a positive trait (becoming a skilled horseman), 30% a negative one (falling from his horse and injuring himself). Positive could be "Skilled Rider- Additional movement and combat speed when mounted" and Negative "Crippled- Reduced movement and combat speed". If you refused his request there could be a 50% chance he accepts your decision (no change), 20% chance he becomes sheltered by the experience, not allowed to interact with his friends (a charisma reduction) and a 30% chance he disobeys, becoming impulsive/independant.

Obviously these are just ideas, there are probably much better traits that could be thought up, but hopefully you get the idea. I think this could make the game a bit more interesting and add some value and personality to the sovereign and his family.