 Solution

An algebraic field extension $E/K$ is separable if every $\alpha \in E$ has a separable minimal polynomial over $K$.

For an inseparable example, take $K={\mathbb{F}}_p(t)$ and $f(X)=X^p-t$. Eisenstein's criterion at the prime $t$ in ${\mathbb{F}}_p[t]$, followed by Gauss lemma for polynomials, proves irreducibility over its fraction field. Its derivative is zero, and in a splitting field it is $(X-t^{1/p}{)}^p$, so it is inseparable.

Now let $M/K$ be a separable splitting extension of a nonzero polynomial $f$. Every irreducible factor $g$ of $f$ has a root $\alpha \in M$, and $g$ is a scalar multiple of the minimal polynomial of $\alpha$. Separability of $M/K$ makes this polynomial separable. Therefore every irreducible factor of $f$ is separable, which proves the requested conclusion in the factorwise convention. The squarefree qualification under the alternative convention is explained in part (a).