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According to etiquette expert Myka Meier its actually a polite way for Kate to avoid shaking hands with people.
"When the Duchess is at an event, she holds her bag in front of her in both hands when shaking hands might be awkward," Meier tells Good Housekeeping. http://www.goodhousekeeping.co.uk/
Being the newbie royal that she is she wants to shake hands with everyone, so this gives her an excuse to not feel bad about it.
However another etiquette expert, William Hanson, has also weighed in.
"The Duchess of Cambridge may well prefer not to shake hands with certain people – but there are other ways to achieve this, as used by The Queen and other members of the royal family,” Hanson tells the Mail Online.
“It is protocol that you do not extend your hand to any member of the royal family (blood royal or those who have married in to the family) unless their hand extends first.
“With more experience, The Duchess of Cambridge will soon realise that she needn’t be too nice, extend and shake hands with everyone," he added.
"A courteous smile at those whom she does not have time to shake hands will suffice."