It is safe.
If the server doesn't work properly, choose a different one (note that you have to untick the 'select server automatically' option for it to work).

Also, no server was 'hacked'.

Old versions of electrum had a 'vulnerability' which allowed server to show a message.
This was exploited by quite a lot malicious server to show a faked 'update message'.

Your coins never were at risk. Never download electrum from anywhere else than https://electrum.org/.
And preferably always verify the signature before installing it.