Family Safe Movies went out of business in 2007, we keep this review here for posterity's sake.
Familysafe Movies is the only site we know of offering censored, "family-safe" films in Canada. They include over 1,100 edited Hollywood movies to rent or buy, edited such that they have no graphic violence, no sex scenes, no nudity, and no profanity. The company was set up by the Anderson Family, and their mission statement is "to offer clean, family-oriented entertainment alternatives to millions of everyday parents, children, people of faith, and other concerned individuals, who wish to control or eliminate the graphic violence, sex, nudity, and profanity found in today’s movies, on the internet, on television, and from other media sources." Each film is rated for "Family Viewing, Parental Discretion, Mature Subject Matter, or Unedited G or PG" as well as by an inhouse star system.
Their site is a bit difficult to navigate, but is perfectly functional. It doesn't have the extra bells and whistles like hyperlinked directors, actors, etc., or user reviews. They can even edit films you already own for $16.97.
Prices: As you'd expect for a niche service, FamilySafe costs a bit more. Their unlimited rentals are $22.97 for two discs out, $27.97 for three discs out, and $36.97 for five discs out.
Unlike most companies which offer 14 days, FamilySafe offer a 15-day free trial.