I like the way the death thing works at the moment, so I don't actually want to change that, all I want to change is the location that the Sov/Champ gets sent when they die.

Currently, its the nearest city (seems like).  Which doesn't give them any time to regain their health for the next fight.  Which creates an endless landslide against them, because you just head from city to city, which an injured almost dead hero will be in, and very quickly win.

If they got sent directly to the home city.  It should be farther back in their defensive line.  This should give them time to get a ton of health back, and hopefully be able to setup somewhere to stop the onslaught, and then push back, and reclaim some territory.