Karen is there any way you can go for a second opinion to another RE? I would if it's possible because you never know what possibilities are out there and what else another DR might pick up on that this Dr hasn't.
I think if anything they want you to get your wish and not waste the time with the IUI, but at the same time it wouldn't hurt just to see if another doctor thinks along those same lines? It's just a thought, if you're not happy with what he said you need to be able to know what your options are from anothe professional

Please keep us posted!!!