Aurin,
I wish you the best in this endevour. I started a WoT campaign back in november or december, and someone else picked it up. We played 3 times a month until mid March and all hit around 9-10th level. I guess I'll just hit what we did in that time (generally) and what problems we had.
I set the game when Tigraine was only about 15, long before she'd run away. Mordrellin was queen of Andor, Gitara her advisor. Aiel Wars had not happened yet. This nicely ducked the problem of the main story characters getting in the way, but caused a few of its own, including one very serious one. The smaller problems include some of the ones you mentioned. Certain PrCs and the Algai'd'siswai class becomes either unplayable or at least just unbelievable. Perhaps worse, it cut out some of the antagonist types. Trollocs and Myrrdrall were rare south of the Borderlands back then (though we still used them), but you couldn't really use gholams or dark hounds or any of the Seanchan beasties. No travelling meant we spent a good bit of time wandering about and since there's no map scale anywhere that we could find in the book or in the WoT Guide for the novels we just had to guesstimate how far things were.
The main problem we had though is that it was a time or relative peace. We eighty-sixed the idea before we even started of playing in the Aiel Wars because it would just be a huge pain to handle all that, but with all the Forsaken locked away except Ishy's occassional short-term escape attempts, the Borderlanders holding back the Shadowspawn, no Aiel causing fuss and no Seanchan trying to conquer the world, there's just not much to do. We spent our time involved in political and White Tower intrigue. This went fine for a while, and on the whole, even after it was over, we all agreed it was a really good campaign, but we just couldn't keep it up forever, not to mention that having Aes Sedai in your game makes somethings stupidly easy, like getting in to see important people, and something ridiculously hard (like doing anything on your own cause the fussy little witch is always telling everyone what to do and crossing her arms if she's not obeyed.)
Our real problem, though, and the one that caused us to stop playing for the most part is that, in our opinion, the game is broken past 9-10th level. While I think the designers did a fine idea of accurately representing all the classes mechanically, they did too good a job. Channelers become very powerful at higher levels and combat becomes an exercise in seeing who can get to a shadowspawn, any shadowspawn and get a hit off before the channeler kills it. None of the creatures present posed a real threat to us anymore. We took a Myrddrall & 10 trollocs (4 of us, the Aes Sedai didn't help) in under 15 rounds. Combat became boring, and thanks to my 18 Cha Wanderer/Gleeman social situations were silly as well. A +21 to Diplomacy & Bluff just smoothes so many things over and bonuses like that are easily attainable, even sans magic items, by mid levels.
Anyway, that's my take and I'd love to hear ideas you have to fix those problems, because we enjoyed the game and might like to play again if we could get past those issues.
Z