When the Igniting Items option is used, and a dropped item creates a fire, that fire can erase/overwrite a block, even non-flammable blocks. This does not break the block, it is simply gone.

This happens when the igniting item is in the space of a block which is smaller than a full block. For example, I have recorded a video with an Iron Fence, and an Ender Chest being destroyed:
https://streamable.com/x3fwf
(it is on top of an Ender Chest because it is shorter than a full block tall)

It can also destroy other mods' blocks such as item conduits and vacuum hoppers.

It happens in 1.10.2, 1.11.2, and 1.12.2. I've tested:
ItemPhysic Full 1.4.6/CreativeCore v1.7.3 with Forge 12.18.3.2511
ItemPhysic Full 1.4.9/CreativeCore v1.9.13 with Forge 13.20.1.2579
ItemPhysic Full 1.4.9/CreativeCore v1.9.14 with Forge 14.23.1.2585

Will there be a release for 1.10.2? Because, people were noticing this problem in Project Ozone Lite which is for 1.10.2 and has your mod in it.

Thanks for reporting this issue. It will be fixed in the upcoming version, which should be available soon.

Sorry, for not responding earlier, i was not at home the last days.

should be available soon.