So, just to test things out, I set DampingConstantForAI to 20000, and sure enough there were late-brakes and pileups at Baku, but I also found my car was a lot more difficult to control, even though it's supposed to be for AI only. Didn't touch the standard DampingConstant for the player.
The effect it seems to give is it makes the suspension "slower", less grip, more wheelspin, slower acceleration and lower top speed.
I put it down to about 15000 and got to a point where there weren't any pileups at the castle section. My car was still difficult to handle though.
Also tried the tyre edit but that was actually worse, just as difficult to control even with assists and pileups every lap at the castle section.
I'll keep looking into it, I just want the odd car to outbrake themselves now and again.
Edit: Forgot to mention, I did find an XML in each track file - i.e. Monza_common.erp and go to the monza_common.trackmarkup.xml - go to the bottom of the file and there are entries for lockup_zone_01 and a specific start and finish on the track for, I assume, where cars will be scripted to lock up. I thought about making them longer but I haven't seen any effect so far. There are also entries for failures, how a lockup will occur i.e. by pressure or random - I've tried putting both. Again, haven't tested enough to see a difference. Have you tried messing with these files?