1. Microwave caramels and water in deep microwaveable bowl on HIGH for 2 to 3 minutes or until caramels are melted and mixture is smooth, stirring every minute.
2. Dip apples into hot caramel mixture; turn to evenly coat. Scrape excess caramel from bottom of apple.
3. Refrigerate coated apples to set caramel. Then, generously drizzle with melted chocolate using a spoon. Let stand on lightly greased or waxed-lined paper tray until chocolate is firm.