On 1.20.1
No physics with armor option doesn't work, if you enable it it just disable itself or just doesn't do anything

for the record this happened on Version 1.20.1 of Minecraft Java edition
i have attached a video, sorry for the low quality and watermark i needed to compress to comply for github

also if it helps i was using NeoForge

As far as I am aware none of the released versions should work on forge or neoforge for 1.20.2 currently? So are you sure your version information is correct as I would expect the mod to not load at all

hello! it was a typo my bad, i have edited it. it was on 1.20.1

The config is currently bugged. For me I have found a way to make it kinda work:
~ After enabling close the UI. Reopen it and click once on armor physics. It should show disabled but actually be enabled.
~ Alternatively go into the .minecraft/config folder then to wildfire female gender and inside the file named with your UUID edit the armor physics variable to true