Direct3D is related to DirectX and has nothing to do with drivers, other than whether or not your graphics card supports Direct3D. If you have a crappy graphics card then you can't use Direct3D. It's as simple as that.
To test whether or not DirectX is installed and functioning, go to Start->All Programs->Accessories->Run and type in "dxdiag" (without quotes) and hit enter. Hit yes when it prompts you. Go over to the tab labeled "Display" and tell us what it says for Name, Approx. Total Memory, and Current Display Mode. Please also tell us what it says at the box near the bottom labeled "DirectX Features"