A pleasant alternative to other, more vulgar terms that are derived from physical intimacies. A watered-down explicative. A term to be used when innocent ears are around or when the setting dictates that obscenities not be used (i.e. business lunch, meeting with parole officer, picking up the kids at daycare.)
Man 1: "Hey ya dumb SOB, that was my parking spot!"
Woman 1 (in Minivan with kids) "Yea, well go hug yourself"
Man 1: "My wife just left me."
Man 2: "Man, that really hugs."
Parole Officer 1: "The judge just rescinded your parole cuz your still addicted to crack and you knocked over that liquor store."
Reprobate 1: "Man, that hugs! you can tell that judge to Hug Off."