There is no specific instruction in the IVA conditions relating to compensation for pain and sufferinf, but most IPs follow the bankruptcy guidelines which allow such compensation, specifically ascribed to pain and suffering, to be retained. Only your own IP can say which way he or she will jump.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014 http://foggy.blogs.iva.co.uk