she's probably trying to push him into a lake or something while he keeps trying to press her boobs against him.. if that's the definition of a hug.. then alright, sure.
From casual friends or someone I barely know they make me very uncomfortable but then I'm British and we're not much into hugging other than family members.
Embarrass...no. They sometimes make me uncomfortable, as I do not care for most people invading my square. Exceptions are made for kids, (some) family, people I instinctively connect with, and the touched. I suppose I have become used to others hugging me, but that does not make me comfortable with it...that doesn't equate to being embarrassed by it, though.