The collision involved a silver Kia Sorrento 4 x 4 and a silver Ford Ka. The Sorento was travelling south and the Ford Ka was travelling from the Over Silton junction.
The driver of the Ford Ka, a 21-year-old woman from Middlesbrough sustained serious injuries during the collision and was pronounced dead at the scene.
The driver of the Kia Sorento, a 50-year-old West Yorkshire man was taken to the Friarage Hospital in Northallerton with minor injuries.
The road was closed in both directions while collision investigators examined the scene. The road reopened just after 11pm.
Police are appealing to anyone who was travelling in the area at the time who either witnessed the collision or saw either vehicle prior to impact to contact them.
Anyone with any information is asked to contact TC Mark Thompson at Thirsk Roads Policing Group on 0845 06 60 247, quoting reference 12110159621