Wa`alykum as-Salamu wa Rahmatullahi wa Barakaatuh.

Interaction between males and females who are considered as mahaarim or close blood relationship or marriage is judged differently than interacting with others.

There is nothing wrong with touching or hugging such relatives. While saying that, it is equally important to state that the rules can change when there is a risk of lustful thoughts, in which case, one should conduct accordingly.

The provisions of jurisprudence state that the laws are rendered stricter when faced with corruption.

Allah Almighty knows best.