In-vehicle Augmented Reality Head-Up Displays (AR-HUDs) offer drivers integrated navigation and vehicle status information, thereby improving the driving experience. Many studies explored the effects of AR-HUD navigation design and information presentation on driving performance; however, these studies neglected the occurrence of inattentional blindness, which may lead to potential safety hazards. This study used a two-factor within-subjects design to investigate how dynamic effects (pulsation, blinking, movement) and color transparency levels (T1, T0.75, T0.5, T0.35) of AR-HUD navigation graphics influence inattentional blindness and user experience. The results indicated that color transparency significantly affects the drivers’ inattentional blindness behavior and user experience. Specifically, T0.75 resulted in the lowest inattentional blindness, while T0.5 was associated with the shortest reaction time (without blindness) and highest user satisfaction. Dynamic effects did not significantly impact inattentional blindness, but blinking reduced reaction time (without blindness). This study provides design insights for vehicle AR-HUD navigation interfaces.