Dunk,
Yes, you're right...the TALLEST tire that will not rub is: 265/75/16. You can also go for 275/70/16 (which is slightly shorter--in diameter).
BFG AT KO is a great choice. They also come in stock size. I had both. The 265/75/16 did cause noticeable power loss...thus, i went back to stock size.
Go to this sub-forum to read more about tires (many threads on this topic):
http://www.toyota-4runner.org/forumd...p?s=&forumid=8
Hope this helps.