Here's an alternative proof: first note that any quantum map, $\Phi(\rho) \mapsto \sigma$ that can be written in the Kraus form, that is, as $\Phi(\cdot) = \sum_{j} K_j (\cdot) K_j^\dagger$, with, $K_j^\dagger K_j \geq 0, \sum_j K_j^\dagger K_j = \mathbb{I}$ is a CP map (see for example, Nielsen and Chuang, or Page 26 of https://arxiv.org/abs/1902.00967). This is also the "usual" way to prove CP-ness: find a set of Kraus operators for the map $\Phi$ that satisfy the above condition. Also, note that the TP part is straightforward since you can just take the trace of $\mathcal{E}(\rho)$ and show that is it $1$.
Now, note that $\rho+X \rho X+Y \rho Y+Z \rho Z=2 I$, therefore,
$$ \Phi(\rho) = \left( 1- \lambda \right) \frac{1}{4} \left( \rho+X \rho X+Y \rho Y+Z \rho Z \right) + \lambda \rho = \frac{1}{4} \left(1 + 3\lambda \right) \rho + \frac{(1- \lambda)}{4} \left(X \rho X+Y \rho Y+Z \rho Z \right). $$
Then, we can see that the Kraus operators are $K_{0} = \frac{1}{2} \sqrt{1 + 3 \lambda} \mathbb{I}$ and $K_{i} = \frac{1}{2} \sqrt{(1- \lambda)} \sigma_{i}$, $i=1,2,3$, where $\{ \sigma_{i} \}$ are the sigma matrices. Hence this map is CP because it has a Kraus representation.
Note: The Kraus operator form also reveals why in $d=2$, the limit for CP is $-1/3 \leq \lambda \leq 1$ (note the square roots in the Kraus representation). This can be generalized to $d$-dimensions.