I think the whole reason you want a random faction is because you want a challenge, so you should use all available points.
I think the bigger challenge is the balance out the point cost of each trait. Maybe make that a variable, so you have the choice to change.
That way, let's say you don't like the 'Brave' trait, then you can change the value to 8 points and it will be seldom selected. If you don't like it at all, you change it to 11 and it can't be selected.
This way you have total control over what traits you want and also custom it to your game style.
You could also give an AI more than 10 points, kinda a secondary difficulty setting.
I like the idea of new traits, and if you don't like the new traits you have the ability to disable them.
I edited my original factions using this:
http://myfreefilehosting.com/f/b7b297d8af_0.03MB
Though it did not work, Thanks Murteas for telling me how to fix it.
I'm getting excited about the mod. 
