As long as a condition of the application process is that you are required to go through a psychological evaluation, you can choose to apply for the position or not. If you don't want to be asked sensitive questions, don't apply for the job.
IMO this is no different than applying for jobs requiring security clearances...they probe very deeply into what would be considered very personal matters. They don't necessarily care about the answers, they just want to make sure you're not unstable in your personal life, and that you don't have secrets that could be used to blackmail you. For a security clearance they wouldn't care if you're gay, but they would care if you're secretly gay while married in a heterosexual relationship with kids, and absolutely don't want anyone to know about your secret life.
Having to go through this process is stated up front. You don't want to be asked the questions, don't apply.