'Lonely Runs Both Ways' was released in 2004, and eventually went to gold. Alison was unimpressed by it's perfomance and said "...the group was probably the most unprepared we've ever been" for the album and that songs were chosen as needed rather than planned beforehand. Despite this it reached number one in 'Top Bluegrass Albums', number six in 'Top Country Albums' and 29 in 'The Billboard 200'.

In 2007, Krauss released the anthology "A Hundred Miles Or More: A Collection, which was a collection of soundtrack work, duets with artists such as John Waite, James Taylor and fiddle player Natalie MacMaster.

Other soundtracks on which she has performed include Twister, The Prince of Egypt, Eight Crazy Nights, Mona Lisa Smile, Divine Secrets of the Ya-Ya Sisterhood, Alias, Bambi II and Cold Mountain where the song "The Scarlet Tide" by T-Bone Burnett and Elvis Costello was nominated for an Academy Award. She also contributed the song "Jubilee" in the 2004 documentary Paper Clips and performed with Brad Paisley in the successful video and single "Whiskey Lullaby" from his album Mud on the Tires.

Krauss was married to Pat Bergeson from 1997 to 2001. They had one son, Sam, who was born in July 1999.

Discography