**Exhibit 10.26**

**Director Compensation Arrangements**

The following summarizes the compensation arrangementsestablished between NeuroMetrix, Inc. (the “Company”) and its directorsthrough verbal agreements effective for the period from May 18, 2005through December 31, 2005:

The non-employee members of the Board of Directors ofthe Company (the “Board”), other than those affiliated with venture capitalfirms that were stockholders of the Company as of the effective date of theinitial public offering of the Company (*i.e.*William Laverack, Jr.), will receive annual cash compensation in theamount of $5,000 for service as a member of the Board, which will be paidfollowing each annual meeting of the stockholders of the Company. In addition,these non-employee directors will receive the sum of $1,000 for each board orcommittee meeting that they attend, provided that they will not be entitled toadditional compensation for attending committee meetings that occur on the sameday as a board meeting at which they attend. This cash compensation will be inaddition to any stock options or other equity compensation that the Companydetermines to grant to the directors on a case by case basis. The non-employeemembers of the Board that are affiliated with venture capital firms that werestockholders of the Company as of the effective date of the initial publicoffering of the Company will not be compensated for serving as directors,although the Company will reimburse these directors for all reasonableout-of-pocket expenses incurred by them in attending board or committeemeetings. Dr. Gozani, the only employee member of the Board, will not beseparately compensated for his service on the Board.

The following summarizes the compensation arrangementsestablished between the Company and its directors through verbal agreementseffective from and after January 1, 2006:

Each of the non-employee members of the Board, otherthan those affiliated with venture capital firms that were stockholders of theCompany as of the effective date of the initial public offering of the Company(*i.e.,* William Laverack, Jr.),will receive annual cash compensation in the amount of $10,000 for service as amember of the Board, which will be paid following each annual meeting of thestockholders of the Company. On January 1, 2006, each of thesenon-employee directors will be paid this annual cash compensation, on a prorata basis, for the period from January 1, 2006 to the anticipated date ofthe 2006 annual meeting of the stockholders of the Company, less a pro rataportion of any annual cash compensation previously paid to such directorattributable to this period. In addition, each of these non-employee directorswill receive the sum of $1,500 for each Board or Committee meeting that heattends, provided that such director will not be entitled to additionalcompensation for attending committee meetings that occur on the same day as aboard meeting he attends. This cash compensation will be in addition to anystock options or other equity compensation that the Company determines to grantto the directors on a case by case basis.

The non-employee members of the Board that areaffiliated with venture capital firms that were stockholders of the Company asof the effective date of the initial public offering of the Company will not becompensated for serving as directors, although the Company will reimburse thesedirectors for all reasonable out-of-pocket expenses incurred by them inattending board or committee meetings. Dr. Gozani, the only employeemember of the Board, will not be separately compensated for his service on theBoard.

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