I use different email address for different people, and virtually every single one of them has been harvested and used to send spam from that person.
At this point I don't expect email to be secure at all. You basically have to expect that unless you are dealing with someone with IT skills their email will inevitably get hacked.
The implication is that email is NOT a good way of doing password resets. The problem is what's the alternative (that doesn't require specialized hardware, like a 2nd auth token generator)?