"Leurs femmes lisent."
In most cases "leurs femmes" would probably mean "their wives", not "their women". However, "their women" could also be right, for example in the case of an ethnographic description of a society. So I agree it should probably be accepted.
(this is where Duolingo's system is too limited: an actual teacher would allow several translations, but explain how each one is different from the others, and to which contexts they can relate)