We use the Jesus Storybook Bible with our kids just about every morning. The stories are adapted from the Bible in kid-friendly language without dumbing down the theological content. The stories are Christ-centered and well illustrated. Although they can be a little long for small children (we shorten them), the Jesus Storybook Bible is a rich resource for teaching your children about God and his plan for all creation through Jesus.
Next month Zondervan is releasing a Deluxe Version which includes MP3s (get some free now), which will be great for the car. Check out the free resources on the new website.