Yes Carol and Jen!  That is exactly what is happening to her.  Under the neck, in the joints first then it spreads around underwear lines etc.  She scratches, and her skin seems so thin that if she takes off some skin while scratching it is all the way down to the "white" part of the skin.  It is also hard to stop the bleeding.  She is scarring so badly I don’t know what to do.  I will "reapply" the sun screen as you suggested Jen.  The only time I was really reapplying was after getting out of the water.  I give it to her in the morning, and then have to trust the school to put it on her when they go out to play. 

Thanks!