1) Freelancer is new, and has been added in the latest version. Since this mod has a different recruitment system, if you enlist with less than 100 renown, you start as a village troop (usually infantry). If you enlist after you get 100 renown, you enlist as a castle troop (usually cavalry). There are still some bugs with freelancer, but overall works fine. And it's also one of my favourite features, together with the reworked morale.
I remember playing a battle as an Eridanian footman against a largely superior Haelmarian army. After a fierce resistance, the lines broke, and panic ensued. I had no idea what to do, and i decided to flee as well.
As a simple soldier, there's very little you can do, and the effect is generally quite good in my opinon.
2) that's odd, they are supposed to be gun-toting cavalry. I'll check the files.