A tough one. Sometimes you just want to hold someone and/or be held by that someone. There are days/nights when it will save your sanity. Personally I like cuddling. I'm a cuddler. Never had a GF that wasn't into cuddling as well. Have had a couple FWB's that weren't comfortable with it because they felt it would confuse the relationship. My current FWB (no GF currently) will sometimes come over just to cuddle and spoon.
It really boils down to personal preference. Some people like it and others find it creepy.
I've been lucky enough that the women I've been with liked cuddling, as I greatly enjoy it myself. In a multi-year FWB relationship, there were times when she thought we shouldn't be sexual anymore, but she craved contact, so she would still sleep (as in zzzz) with me, most of the time in the nude for the best body-to-body contact. Of course this kind of cuddling would inevitably lead to more than cuddling over time, and the 'WB' part of our FWB relationship would return.
In my current relationship, my wife and I have contact of some kind every morning and evening when we are together. Caresses, hugs, cuddling are a very much needed and appreciated part of our relationship. I couldn't be in a relationship with a hands-off, don't touch me woman.