Based on the basic principles of quantum mechanics, quantum key distribution (QKD) provides unconditional security for long-distance communication. However, existing QKD with relevant source protocols have limited tolerance for source correlation, which greatly reduces the key generation rate and limits the secure transmission distance, thereby limiting their practical deployment. In this work, we propose an improved QKD with correlated source protocol to overcome these limitations by discarding the traditional loss-tolerant security frameworks. Our approach adopts the standard BB84 protocol for the security analysis, under the assumption that the source correlation has a bounded range and characterized inner product of the states. We theoretically analyze the performance of the improved protocol at different levels of source correlation and channel loss. Numerical simulations show that our protocol achieves a much higher secret key rate and longer transmission distance than traditional schemes. In the case of typical parameters and 0 dB loss, our protocol achieves about 1.5–3 times improvement in secret key rate. Additionally, the maximum tolerable loss is enhanced by about 2–6 dB. This highlights a promising direction for enhancing the robustness and practicality of QKD with correlated sources systems, paving the way for their deployment in real-world quantum communication networks.