Grease and flour a 12 cup fluted Bundt pan or a 10-inch tube pan. Beat cake mix, dry pudding mix, water, eggs and oil in a large bowl with an electric mixer on low speed until blended.
Beat on high speed for 2 minutes. Gently stir in apples. Pour into prepared pan. Bake 50 minutes to 1 hour or until a toothpick inserted in the middle comes out clean. Cool 20 minutes and remove from pan. Cool completely.
Microwave caramels and milk in a microwaveable bowl on HIGH 1 + minutes, stirring every 30 seconds until blended. Cool 10 minutes until slightly thickened then drizzle over cake. I used the Smuckers syrup here and just drizzled it all over.