Does the travel rule require a physical address or does any address (PO Box for ex) suffice?

The travel rule was penned long before CIP. There are no stipulations on the type of address with respect to travel rule.

Going one step further, we have a customer who does a lot of wires (title agency) who many of their wires will only have the state and maybe the town and state for the beneficiary (our customer) address. To me this does not meet the rule but I’m getting push back from other departments. Does anyone else reject a wire for partial address for the beneficiary?

As many of the following items as are received with the transmittal order:

Name and address of the recipient.
Account number of the recipient.
Any other specific identifier of the recipient.

If you receive it, then you have to transmit it. Whether you require them to provide you a zip code of the beneficiary is a business decision.