Settlers attacked the area on the western side of the village and opened fire on residents who tried to defend their homes, said Hani Odeh, mayor of Qusra.
Odeh said two other people were injured in the attack.
The Israeli military says it is investigating the reports.
The incident comes at a time of increased deadly attacks by settlers against Palestinians in the West Bank.
The latest death brings the number of Palestinians shot dead by settlers since the beginning of March to six, according to Palestinian authorities.
