I also am crashing in single player campaign. Here's the error:

Faulting application name: arma3.exe, version: 1.40.129.533, time stamp: 0x54f47474
Faulting module name: nvwgf2um.dll, version: 9.18.13.4788, time stamp: 0x5503046a
Exception code: 0xc0000005
Fault offset: 0x006dfd5f
Faulting process id: 0x263c
Faulting application start time: 0x01d060ff70c6093a
Faulting application path: C:\Program Files (x86)\Steam\steamapps\common\Arma 3\arma3.exe
Faulting module path: C:\Windows\system32\nvwgf2um.dll
Report Id: 253cfa55-ccf3-11e4-953a-005056c00008

Installed the latest drivers played for 5 min then crashed again same error.

jimmy, you've had the same problems I'm having? you think its the card?

New Error:
Problem signature:

  Problem Event Name:	APPCRASH
  Application Name:	arma3.exe
  Application Version:	1.40.129.533
  Application Timestamp:	54f47474
  Fault Module Name:	arma3.exe
  Fault Module Version:	1.40.129.533
  Fault Module Timestamp:	54f47474
  Exception Code:	80000004
  Exception Offset:	0075a00c
  OS Version:	6.1.7601.2.1.0.256.1
  Locale ID:	1033
  Additional Information 1:	0a9e
  Additional Information 2:	0a9e372d3b4ad19135b953a78882e789
  Additional Information 3:	0a9e
  Additional Information 4:	0a9e372d3b4ad19135b953a78882e789

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I've also never seen an error pertaining or relating to anything involving PhysX.

Thanks for your attention on the matter.

I'm able to load into the games fine, its randomly while playing that it happens, and now it seems to be happening soon after logging in and a lot more frequently.

I've tired the -malloc=system, tried to clear DLL's, and I've tried to delete the file you mention and verifying as well. Issue still persists...

This happens for me in more than epoch. It just happened in King of the Hill. The issue is so frequent now I can't even play the game.

I'm having a similar issue, I've been using the dll fix as well which recently has stopped working. The game is now unplayable. How have you been dealing with this issue sg?