You can update via the auto-update which should have appeared in your Plugins area. (If it hasn't appeared I think you might find deactivate then reactivating the existing plugin forces it to check the server for update and the button will appear).
You should also have received notification of the update via email, with a link in there to the zip file so you can manually upload if you prefer to do it that way.
Bugs... yes all these issues have been fixed in latest version, along with some others, and also some major upgrades to the player such as drag n drop playlist manager which many users were requesting.
Let me know how you go, and your help in identifying any further issues is always appreciated - as you know, it's really hard to test for absolutely everything so user feedback is really valuable.