The elves in my campaign are very insular and only really interested in their own thing. That's why your elvish history is so sketchy on what everyone else has been doing.
1st level characters start with 0 game points.
2nd level characters get 1 each for going to level 2. That'd give you 4.
3rd level characters get 2 each for going to level 2. That'd give you 8.
Hence 12 in total.
Normally in my tabletop games, they are given to a particular player, to save his or her ass, and buy new characters. But seeing as you are running the whole party, you can have all of them.
If you are not using the Game Points optional rules, each new character must start at level 1. That's the kicker. If you get to higher levels and suddenly want a replacement, they will be way below you in level.
If I were you I'd take the points, but act like you haven't got them unless it's a total emergency.
Multi-class counts as 1 level higher.

