Updated by Maarten Truyens
You can make images subject to conditions, similar to how you can make entire paragraphs subject to simple or advanced conditions.
You should be aware, however, how MS Word deals with images.
Essentially, your image can either behave like a character in a paragraph, or it can float above/below the text. You can modify this behaviour by right-clicking on your image in MS Word, and then choosing the Wrap Text option (in Windows), or navigating to the More Layout Options... (Windows) or Size and Position (Mac) dialog box.
Treating your image as a character
If you choose In line with text, then MS Word will literally treat your image as a big character, similar to a gigantic letter such as A or B or C. (We are not kidding: you can then even add underlining to the image, similar to how letters can be underlined).
In this case, you can simply add a condition to your paragraph, using a cyan prefix, similar to how you would add conditions to any other paragraph. After all, your image simply behaves like any other character in the paragraph.
Letting your image float above/below your text
If you choose any other option (e.g., Square or Behind Text), then you will notice that a small anchor-symbol is displayed when you select the image in MS Word.
This anchoring symbol links your image to the left of a certain paragraph. You must make sure that your anchor is attached to the paragraph containing your condition, as indicated in the screenshot below. In such case, your image will be removed together with the rest of the paragraph when the condition is not met.