I think we'll be expected to suspend disbelief on that one. There are already many almost unavoidable situations like this in game.

Spoiler ahead.

One example - In the end of the current story I am accused of murdering a VIP and escape to Coerthas, but I don't really need to hide out - I can teleport/stroll right back to Ul'dah without being arrested.


I'm sure many people will be willing to overlook this and still enjoy the story.

I think you'll be able to start at level 1 with the new race.