I have shitty old ATI Radeon HD 9500. Downgraded crimson beta edition drivers to version 15.3 or something, then it started working.
U dont have to reinstall directx, just try DX 9ex, DX 9, DX 11 in game setup. It might work better with different setup.

This error has listed also common technical problems topic in Poe forums (didn't help for me when I had problem):

https://www.pathofexile.com/forum/view-thread/73322

Solution :
D3D device error
Check your graphics card can handle Pixel Shader 3.0
Check that your PC isn’t defaulting to the Integrated card, which can usually be done by right-clicking on the Path of Exile shortcut and choosing to run the game with the dedicated graphics card.
You may have an old production_config.ini file in Documents/My Games/Path of Exile. Remove this file and try loading the game again.
You may also need to run the installer a second time, and check that you have the correct installation of Direct X.

This post was edited by LolBastard on Mar 27 2017 05:20am

I got sli gt 750m video cards, deleted the production_config 5x already, think i have dx9/11

hm..idk

That's called Jonathan Roger's awesome programming skills, what a mess

This post was edited by JohnMiller92 on Mar 27 2017 03:48pm

This error pissing me off