Navigation systems are considered as a fast and efficient source of road information to drivers. However, they can distract drivers with more potential accidents on the road. This study examined the effect of navigation systems on driver distraction and visual search while driving in different driving conditions. An eye-tracking system was used to collect visual search data from twenty young drivers while using a driving simulator. Several factors were investigated, including the driving environment (urban and rural), the illumination level (day and night), and the display of the navigation system (large and small) as well as their interactions. Several measures related to eye movements were used in this experiment, including percentage of total Global Positioning System (GPS) fixation duration, average duration of GPS fixation, GPS fixation frequency, the percentage of total dwell duration for the road ahead, the frequency of dwelling on the mirrors and driver’s right and left side windows, and the percentage of dwellings on the mirrors and driver’s right and left side windows. Statistical analysis of the collected data was performed with repeated measures analysis of variance (ANOVA). The experiment revealed that the small GPS display creates more distraction in terms of average gaze duration and total gaze duration. Moreover, daytime driving conditions increase distraction. Regarding the driver’s visual search, the study showed that the visual search area is wider and more spread out during the day, which leads to better driving performance. This study will compare small and large navigation displays to determine which one is more effective in reducing driver distractions, and contribute to understanding driver distraction and visual search while using the navigation system display.