I can relate to what you're going through. I've been through similar things in my relationship with my father. I've also been recovering from a severe case of AF for 14 years.
Have you told your boss how you feel about his behavior? Have you used "I feel" statements when he's mistreating you?
Can you line up temporary and/or freelance work relatively quickly and easily? If so, I'd recommend option 2. If not, option 3 might be better temporarily. I know from much personal experience that balancing health issues with financial considerations can be very tricky. Option 3 will probably be trickier than option 2.