In this work, a robust channel model for the newly developed Indian Regional Navigation Satellite System (IRNSS) has been proposed considering a dynamic scenario due to receiver movement. The channel model takes into account various channel impairments such as random shadow fading with multipath fluctuations as well. Capturing the dynamic range variation, a two-state channel model is proposed here. The versatile Nakagami-lognormal (NL) composite distribution function is used for both the channel states, and the <inline-formula xmlns:mml="http://www.w3.org/1998/Math/MathML" xmlns:xlink="http://www.w3.org/1999/xlink"> <tex-math notation="LaTeX">$K$ </tex-math></inline-formula> -means clustering algorithm has been used for state separation. An extensive measurement campaign has been conducted at the L5-band of the IRNSS system to obtain real-time fading data, on which the non-linear curve fitting method has been used to extract pertaining channel model parameters. The accuracy of the proposed channel model is measured quantitatively using quantitative metrics such as mean square error (mse) and Kullback–Leibler divergence (KLD). The illustrated results showing the close match between the modeled and empirically obtained data validate the fact that the proposed channel model can be used to capture the combined effect of random shadowing and multipath in the received IRNSS signal.