We co-sleep old skool style in the bed all together. we ensure that there are no pillows near her head and that the doona/blanket is well down and away from her. She generally sleeps in the crook of my arm (so my arm is above her head ITMS...if only BB had a drawing feature i could do a stick figure demo lol).

Friends who were concerned about rolling over etc have a tetra snuggle bed in between them.