A new speed limit and more safety measures are being introduced at Berry Down Cross after a vehicle ploughed into a house.
Devon County Council has expanded a £2.2million scheme to improve the safety of the A3123.
The council was awarded the funding from the Department for Transport's Safer Roads Fund to improve the road at Lynton Cross last year.
New safety measures at Berry Down have been added to the scheme. It follows an incident in August where a vehicle drove into the side of a house at Berry Down Cross.
The incident was the second at the property in the space of nine months.
A new 40mph speed limit will be introduced, as well as new high friction surfacing, illuminated cats eyes and vehicle actuated signs and chevrons.
Sue Pile, whose house is being rebuilt following the crash, welcomed the news but feels the speed limit should be reduced further.
She said: "It is positive, but it is just a case of when it will happen. Until they put it in we are still vulnerable.
"I am glad they have reduced the speed but to me 40mph is still far too fast.
"However, it is positive they are doing something. I will hold my breath and wait and hopefully they will crack on and get it installed. Then I might get a good night's sleep."
The council has also drawn up preliminary designs for the Lynton Cross project, with the A3123 getting priority for the junction.
A safe crossing point for the B3230 will still be provided. The designs give the council the opportunity to close the Hore Down Gate to Two Potts road and remove accidents from the junctions.
The council's cabinet member for highways, Councillor Stuart Hughes, said improvements to the road were vital.
He said: "Between 2012 and 2016, there were 27 collisions on the route if you include the Mullacott Cross roundabout, so it's vital that we make improvements on the A3123.
"Following the most recent crash at Berry Down, the county council has also expanded the proposed scheme to include a number of innovative solutions at this location."
Initial plans for the scheme proposed to improve the section from Lynton Cross and Hore Down Gate to Two Potts.
However, the plans would have meant relocating a number of utility services and putting the scheme over budget.
Councillor Andrea Davis, county councillor for Combe Martin Rural, said: "This route is not only essential for residents but also visitors and businesses, those of us who regularly use it are very aware of the nature of the road and the amount of incidents which occur on it.
"The safety improvements at Berry Down are very much welcomed. It is very good news for us all in the area that this road will receive this vital funding."