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therapy notes and progress notes problem

I'm dealing with a problem I don't know how to handle and it's making me very anxious with panic attacks and dissasociation occurring because of it. First let me say it took me YEARS to be able to even talk to anyone about my problems. I finally found a great therapist as far as listening and understanding me. I have made progress with her- all this is heading for derailment because since I applied for healthcare they want my therapy notes! She was supposed to be making progress notes seperate from my therapy notes (she did not) since she didn't make progress notes they want to see my very personal therapy notes and by doing so it would become a permanent part of my medical record that ANY Dr. can view, not just psychiatric. I do not want to give access to my therapy notes- I had thought that was Dr client privledge, and that it was going to be kept private! Now I'm in a panic because I find out that it is not as private as I had thought. On one hand the "law" states that therapy notes are excluded from being sent out when medical records are requested UNLESS the patient authorizes that they can be sent. Well, I'm being pressured to do it even though I don't legally have to. If I don't I won't get the healthcare- so it feels like I have no choice- this has made me want to discontinue therapy forever. Anyone else ever in this catch 22 situation?
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