Teddy bear hugs are so personal,
there seems to be a therapeutic value for both the giver and the receiver.

If you've lost a loved one and want to offer your friends and family the chance to do something more long-lasting than sending flowers, consider letting them donate new Gund Teddy Bears to children in the hospital in the name of your loved one. 

Send New Gund Teddy Bears

After you register (below), your friends and relatives can come to this site and purchase two identical stuffed animals - one gets shipped to whomever they want as a remembrance or a comfort - and the identical twin is sent to a child in the hospital in the name of your loved one. Some may prefer to donate BOTH stuffed animals. Part of the arrangements will be for you to designate the Children's Miracle Network Hospital where you would like the teddy bear donations to go.
(UNM's Children's Hospital in Albuquerque, NM is the default option.) 

A mother recently contacted me seeking a means to create a legacy for her son, James, delivered stillborn. The thought of watching the beautiful flowers that people sent die was another painful reminder of their loss and they wanted others to do something instead that could help other children. MamaBearsPlace provided a means for them to donate teddy bears and create that legacy, with no effort on the part of the family. Over the next month, 30 teddy bears and other stuffed animals were donated in her son’s name to children in Washington DC's Children's National Medical Center. James' parents were very thankful for this partnership.

Here is part of the obituary, published in the Washington Post:

"Those interested in making a donation in memory of James are requested to donate a Gund stuffed animal to a child in the hospital via www.MamaBearsPlace.com. The family hopes to share the love and joy that James brought to them with children and families receiving care through the Children's Miracle Network. 
'There is no foot so small that it cannot leave an imprint on the world.' Anonymous."