"كَيْف اَلْعائِلة، إِنْ شاءَ ٱلله بِخَيْر؟"
Translation:How is your family? Well, God willing?
Yes. The translation of the second part of the sentence is a bit confusing. The literal translation is: "God willing they are alright?"
Having said that, in this situation, in English, one wouldn't ask a question, one would say: How is your family? I hope they're doing well. (or "God willing they're doing well" but very few people use "God willing" these days)