Mine does the inside "flapping" wheel thing, but doesn't seem to affect the handling. Think it's just a design flaw that when the ballstud cups wear a bit there's enough play to allow it to happen.
I can't see how it would break your servo horn though - the fact that it's flapping means it's loose and hence not stressing the horn - I reckon it's an unfortunate coincidence. Try a more robust servo horn, just make sure the servo saver isn't locked up solid.
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