The present paper outlines the many key functions that separators serve in lithium-ion batteries and describes a separator design – specifically, AlOOH-based nanocomposite membranes – which addresses several critical safety concerns for high performance lithium-ion batteries, while maintaining cell longevity. These nanoporous membranes exhibit an extremely narrow pore size distribution, outstanding dimensional stability, excellent compression resistance, and very high thermal conductivity. Safety and cell performance characteristics are correlated with fundamental materials and separator design parameters using a range of analytical techniques, characterization methods, and cell abuse tests. Opportunities for enhanced functionality are discussed.