It happened just before 3pm on the A386 near Bideford and involved a BMW, a Vauxhall Astra and a Citroen Dispatch.
A 41-year old woman from Torrington, who was passenger in the Astra, died at the scene.
A 29-year-old man from Bideford was detained on suspicion of causing death by dangerous driving - he was later released under investigation pending further enquiries.
Police are appealing for witnesses.
“Disappointment” over North Devon funding settlement
There could be up to a five per cent drop in core spending power
Controversial Exeter road consultation to begin in the New Year
Drivers ‘rat-run’ through hospital to dodge Exeter road closure
Family homes to replace former Plymouth language school
Targets for housing takes priority over other planning concerns
South Hams big bang ban turns into a damp squib
'Silent fireworks are just not the same'
Exeter care agency rated 'inadequate' and in special measures
Bosses at Horizon Care insist change
