The victims were trapped in both cars and had to be cut free by the Mallorca fire brigade.
The accident occurred at around 8.30am at Coll Andritxol, at kilometre 27.5 of the Ma-1 road, according to sources from the Andratx local police.
The Audi A1 and the BMW 1 Series were travelling in two lanes in the same direction towards Palma when they collided because one of the vehicles did not give way to the other.
The two cars were left blocking the road as a result of the accident and the emergency services immediately arrived on the scene to help the victims.
Two patrols of the Andratx Local Police, together with ambulances, Mallorca fire brigade and the Guardia Civil responded to the accident which caused major traffic jams.
The injured woman was treated by medics at the scene and then taken to Son Espases hospital.
The Guardia Civil carried out alcohol tests on the driver of the Audi A4, who was unharmed, and he tested positive, for which is being investigated as the alleged perpetrator of a crime against road safety.
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It always amazes me that here in Mallorca, cars joining the main road from a slip road, seem to think they have right of way. This with a total disregard for using direction signals, makes for tricky driving.