Very good pics and description. Using a hammer and chisel in the process is a little scary to me and certainly is not an easy job. Certainly would be very costly to damge axle shafts and have to replace them along with the bearing as you stated.

I have not done on axles but have experience working in a large electric motor shop. We would use a torch with a soft flame to heat the inner race only while still on the shaft. It doesn't take a lot of heat or time to expand the inner race. A good adjustable flame propane torch should work if you don't have a oxy/acetylene rig. Once heated, try to pry lightly on the race. If it moves easily remove it by hand using hot work gloves of course.

To install new bearings, we used a bearing heater. The average weekend guy working on his XJ is not going to have a bearing heater. An alternative is to use a toaster oven to heat the complete bearing. Don't do it in the kitchen. You may want to buy a new one for the house though. The old on can be used in the garage from now on. Use enough heat to allow the new bearing to expand being care not to liquify the grease. There will be a little smoke so keep the door open or fan on in the garage. When heated the bearing should slip onto the fit on the axle easily. If snug, turn up the toasted oven a litte and try again. Once the bearing is on, verify the inner race is bottomed on the stop.

Again, I have not done this on an axle but motor bearing and axles bearing are virtually the same. What are your thoughts on this?
Dave