I've been happy with Google's Picasaweb. You need a gmail account, but it's a free service, unless you want more than 1gb of storage. I use the Picasa software for the uploading. It's also a decent viewer and organizer for your own computer. You can upload video as well.

I haven't made anything private, but I also don't link to my albums on public sites. My in-laws know the address and watch for new folders. They are able to keep up with us that way. You can make a photo private, but still hot link to it if you want.

Here's a hot link example.: