If it helps you feel any better, not all fearful behaviors are caused by abuse. A lot of dogs don't receive the socialization early in their lives to help them develop confidence with unusual things. This is why many puppy classes incorporate exposure to strange things: funny hats, umbrellas, sudden noises, etc.
Also, if a dog pulls a shies away from being hugged, cuddled, or kissed, it is possible that the dog simply doesn't like those behaviors. Hugging is a primate (including Human) behavior that dogs often dislike. When another dog puts its head over another dog's neck, it is often interpreted as a sign of dominance, not a heartfelt, emotional connection. If you look at the face of a dog who is being hugged, the dog often looks miserable because it isn't enjoying the hug itself. It might allow the hug to occur because it is a socialized, well-behaved dog, but it's often not something a dog will do on its own.
The cavalier is the only dog I've ever seen that comes to close to initiating a hug, which we've dubbed the "cavalier hug." The cav shoves its chest into the face of person it wants affection from. Cedar does this sometimes, and it's mostly done when she wants attention and I am ignoring her. I think that she's discovered that hugging is a great way to get a human to love on her, so she does it for attention because it works, not necessarily because she instinctively wants to hug.
Anyway, I hope it helps to think that these responses can be normal, canine responses to things rather than the result of abuse.
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