Found a solution which prevents discoverability of computer while still allowing you to pair with discoverable devices and use PAN.
In device manager expand Bluetooth then right click your Bluetooth device. Select properties, details tab and pick 'device instance path' from selection list. Value displayed here is needed in the next step.
Open registry go to:
HKEY_LOCAL_MACHINE\System\CurrentControlSet\Enum
Under "Enum" fully expand entry corresponding with earlier 'device instance path' value.
Under "Device Parameters" add or edit attribute "Write Scan Enable" of type DWORD 32-bit and set value 0.
You may either disable then re-enable Bluetooth device from device manager or reboot computer for change to take effect.