CRITICAL: Conversations disappear when closing VSCode or navigating away

Description

Conversations are completely disappearing and becoming unrecoverable when:

• Closing and reopening VSCode
• Navigating to the chat summary page and returning to a conversation
• Switching between conversations

The chat history is lost with no way to recover it. This makes it impossible to maintain long-running development sessions.

Reproduction Steps

1. Start a conversation in Claude Code
2. Work for a while (multiple exchanges)
3. Close VSCode or navigate to chat summary page
4. Reopen VSCode or return to the conversation
5. Expected: Conversation history is preserved
6. Actual: Conversation is gone, completely vanished

Impact

• Severity: CRITICAL - Work cannot be persisted across sessions
• Blocker: Prevents any meaningful development work
• Frequency: 100% reproducible - happens every time

Environment

• OS: Windows (win32)
• Date: 2026-02-08
• Branch: hdfc-skr-snapshot (finance_app)

Current Workaround

Users are forced to manually create git backups of entire conversation transcripts after each session, which is not a sustainable solution.

Expected Behavior

Claude Code conversations should persist automatically and be fully recoverable when:

• Reopening VSCode
• Returning from chat summary
• Switching between active conversations

This is a core feature that should "just work".