Quite the misstep, but she's for Hillary, and when you put politics first, even if you're the biggest feminist in the world, you come out with anti-feminism.
Watch the full interview. Bill Maher lures into other embarrassments, like when she asserts that feminism has no boundaries then characterizes the abuses in Muslim countries as something that needs to be dealt with within those countries, by Muslim women:
ADDED: At 6:36, Maher asks, "Is feminism something that goes beyond our borders?," and Steinem says "Oh, yes, absolutely, it is totally beyond borders." Maher follows up: "Then why aren't [sic] the way women are treated in the Muslim world considered more of a feminist cause?" She says, "It is! Are you kidding me? Of course, it is!" She mentions the women in those countries who see it as a feminist cause, then tries to pivot away from Islam with "All monotheism is a problem." And — wisely — "Islam being attached to the government is the problem." Maher bears down: "40 countries have Sharia law and under Sharia law...." He lists some very burdensome limitations on women. Her response is: "A lot of feminists in the Islamic world are taking Muhammad's words and pointing out that, you know, his first wife was a real estate agent and smarter than him and richer than him." (Maher says: "A real estate agent?! For what? Century 7?) She says that in his day Muhammad was "a reformer on a lot of issues for women." Now, it's "another story." And then: "Only you could get me to defend any monotheism. I can't believe I'm saying this." He says he's not asking her to defend Sharia law, only saying it should be a big cause for the people who fought for civil rights in the 60s and against apartheid in the 80s. She says: "It is, including for the women in those countries."