I purchased my first W250 in 1990 and drove it 235k until rust forced me to retire it.
I then removed the running gear for spares & scrapped the body.
I have owned a total of 5 CTD's and currently have 3.
I have had front & rear hubs off many times for service and have always adjusted the wheel bearings for zero play. Wheel bearings are not a special application.
Tapered roller bearings are in fact designed to be preloaded for zero looseness.
A loose bearing can in-fact cause premature seal failure!
GM's 14 bolt full floater specificately states that the wheel bearing's be adjusted for zero looseness.
Making the final adjustment of the bearings with the wheels & tires on permits you to better feel any looseness and eliminate it when making that fine adjustment.
The jam nut set-up used in the front requires special care when adjusting because when you torque the outer jam nut against the inner nut it puts additional load on the bearing so it may take several attempts to get it right. You need to set the inner nut a bit on the loose side because when the outer jam nut is tightened it will eliminate the looseness.
As far as the adjustment nuts backing off or tighting & destroying the bearing a bit of loctite will eliminate that problem. I also use Loctite on the rear nylock nuts used in the old 1st Gen's.
Tim