It really boils down more to a statistical probability of failure.
In ASD you treat dead and live loads equally. For example, if you have a case where your dead to live load is 1 to 1 (say 200 kips dead and 200 kips live) the safety factor would be exactly the same as if your dead to live ratio was 1 to 3 (say 100 kips dead and 300 kips live) given the same total load.
LRFD recognizes the inherent unpredictability of loads and assigns a much higher "factor of safety" to live loads (we increase them by 1.6), whereas it recognizes that dead loads are most likely much closer to what you calculate (we only multiply dead loads by 1.2).
By the same token, LRFD also recognizes the uncertainty of different failure modes. For example, flexural capacity of a concrete beam is fairly predictable; therefore we count on 90% of the theoretical value. Shear in concrete, on the other hand is much less predictable; therefore, we only count on 70% of the value. I believe ASD also recognizes this to some extent, by applying different factors of safety to different failure modes, but I only really worked ASD for a few months, so I don't remember.
When all is said and done, you design so that the decreased member capacity with which you rely exceeds the capacity required by the factored loads.
In ASD you take the total loads that you expect on the structure and apply a single factor of safety to the members (say 2) regardless of the nature of the load.
It's worth mentioning that in the steel code (AISC), the publication of the 13th edition of the code attempts to unify the two. The way they did this was to calibrate load factors and resistance factors so that ASD and LRFD would yield the same factor of safety at a certain dead to live load ratio (don't quote me on this, but I believe it's 1 to 2).
My apologies for the length of this post.